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Best business telephone answering services

What are telephone answering services and why do businesses use them?

Telephone answering services let trained agents answer calls for your business, so customers get help at any hour.

  • They cover calls after office hours and during peaks.
  • They act as your front desk, reception, or helpline.
  • They come in flexible plans to fit your call volume.

Businesses often face demand for support beyond normal hours. This leads to smart fixes, such as hiring a call center. In these setups, telephone answering is one of the services on offer.

What is a telephone answering service?

A telephone answering service is a support feature where an agent answers calls for a business. They act as a reception, front desk, or helpline. Usually, an agent takes one call at a time. A backup agent or team may help when call volume rises.

What is a telephone answering service
What is a telephone answering service

Telephone answering services for your business

Firms in many industries use a call answering service to provide extensive support, even after office hours. For many, this is a smart step toward outsourcing customer service.

Answering calls is common in travel and tourism. This includes airlines, hotels, and travel agencies. These sectors need strong support so customers feel cared for from the start.

Hospitals and clinics also use this service. For example, a patient may call to book a doctor’s appointment. Banks and credit card firms offer 24/7 help too. Their lines handle stolen cards, fraud, and account questions. Whatever the industry, a telephone answering service can handle callers at any time of day.

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Types of telephone answering service

A business can pick a plan based on its call volume and industry. Some providers charge by the month, by the minute, or by the call. It depends on the agreement. For a wider view, compare call center outsourcing prices before you choose.

Standard/flat rate plan

Standard plans cover basic answering, like front desk or virtual reception. Providers charge by calls, minutes, or a fixed monthly fee. However, this does not include transfer rates, holiday pricing, or foreign language fees.

Custom plan

Some businesses expect heavy call volume, above the maximum of 500 minutes. For them, providers offer a custom quote. So they may mix per-minute, per-call, and after-hour services based on monthly demand.

Per-minute

This is the most common way to charge. Providers group charges by the minutes a business uses. Firms can also buy minutes in bulk at the same or a lower rate. For example, 100 to 150 minutes often costs about $99 to $200 per month. A plan up to 500 minutes can run around $400 to $600, plus extra fees. A flat rate plan suits firms with medium to high call volume, mainly after hours.

Per-minute telephone answering service pricing
Types of telephone answering service

Per call

Providers also charge per call for low to medium volume. Call centers and business process outsourcing firms often use this, at about $1.12 per call. However, the meaning of a call can vary. It may include quick hang-ups, transfers, or system work like fax or email. To avoid surprise charges, businesses should predict their daily call count.

Specialized/per industry

Some providers set prices by the industry they serve. They may charge more for extra professional services or for compliance. For example, medical answering can cost about $0.71 to $1 per call. Bilingual answering can start near $0.60 per call. Round-the-clock and extended-hour service often starts at about $0.99 per call. If you need nonstop coverage, 24/7 multilingual support can be a strong fit.

Pay-as-you-go

This plan fits on-demand to a low volume of calls. Businesses pay a flat rate plus a per-call charge each month. For example, a provider may charge about $40 per month plus $1.12 per call. Still, extra fees can push the total higher.

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Types of telephone answering service
Types of telephone answering service

Additional (hidden) charges

Beyond the regular fees, providers may add more charges to a bill. Sometimes they do not mention these at first. So businesses should watch for charges such as:

  • Foreign service fees
  • Holiday surge
  • Account setup/activation
  • Transfers
  • Toll-free numbers
  • Compliance charge
  • Other charges (e.g., third-party integration or late payment)

KPIs for telephone answering services

Every call matters with a telephone answering service. So a business should measure each call to get the best value. It helps to track a few key call center metrics. Here are the main ones.

Customer satisfaction

The goal of an answering service is great support, 24/7. So firms should measure how happy each caller feels. This covers whether issues get fixed, how helpful agents are, and whether the caller stays. Strong customer service values guide agents toward better calls.

Average handle time (AHT)

This is the average length of a transaction. To keep callers calm, firms should track how long an agent handles a call. It includes talk time, hold time, transfers, and related tasks. A longer handle time can signal poor service, though not always. It also helps firms plan how many minutes to buy.

Average time on hold

This shows how long a caller waits on hold. A few things can affect it, such as:

  • Work related to the call
  • Transfer time to another section

It also shows why callers drop off when held too long.

Abandonment rate

Most callers abandon a call when no one answers fast. This can happen after long holds, too many transfers, or no answer at all. The rate matters most when a provider bills for unanswered calls. It also shows whether a live answering service treats callers well.

Average speed of answer (ASA)

How fast a call should be answered depends on the service level agreement. For example, many call centers aim for 80/20. That means 80% of calls answered within 20 seconds. This keeps callers on the line. It also stops firms from paying extra for answering too fast.

First call resolution

Finally, this shows if the agent solves a caller’s issue on the first try. Usually, a higher rate means happier customers. So it is one of the most important metrics for both sides.

Telephone answering service companies

An in-house helpline has clear drawbacks, mainly for small businesses. Besides salaries and benefits, you must fund the workspace, network, and gear. You also need office space, a desktop, VoIP, a CRM system, and cloud storage. On top of that, many staff will not agree to night shifts. Night work adds costs like night differentials and larger health benefits. These depend on the labor laws of the state. For many firms, call center outsourcing solves these problems at a lower cost.

Philippine call centers

Many BPO companies, like Cloudstaff, offer telephone and live answering services. They come with fair prices and strong equipment. As a result, clients get reliable, quality service.

Businesses can hire top talent at a fraction of local pay. With a good answering service, you skip worries about gear, network, and limited hours. Most of these firms also run 24/7 for added ease. To learn more, check the Top 40 BPO companies guide.

Telephone answering services FAQs

What do telephone answering services do?

Trained agents answer calls for your business at any hour. They act as your reception, front desk, or helpline.

How much do telephone answering services cost?

Costs vary by plan and volume. Providers may charge per minute, per call, or a flat monthly fee, plus some extra fees.

Which businesses need a telephone answering service?

Travel, healthcare, and finance firms use them the most. Still, any business with after-hours calls can benefit.

What metrics measure answering service quality?

Track customer satisfaction, average handle time, and abandonment rate. Speed of answer and first call resolution matter too.

Key takeaways

  • Telephone answering services keep your lines covered around the clock.
  • Plans include flat rate, per-minute, per-call, and pay-as-you-go.
  • Watch for hidden fees like holiday, transfer, and setup charges.
  • Track KPIs like satisfaction, handle time, and first call resolution.
  • Philippine BPO firms offer quality answering at a lower cost.

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