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Procurement Market Intelligence Report

Telephone Answering Services
Sourcing Guide & Market Trends

Comprehensive intelligence for making smart purchasing decisions

Learn about actual and potential costs

How much should I pay for Telephone Answering Services?

What is the average price of Telephone Answering Services?

This procurement report includes pricing information to help you purchase Telephone Answering Services. Our analysts provide a benchmark price and a price range based on key pricing factors to help you understand what you should be paying for this specific product or service. To see the average price for this and hundreds of other products and services, subscribe to ProcurementIQ.

Has the price of Telephone Answering Services been rising or falling?

Analysts look at market data from the previous three years to determine an overall price trend. You can use the recent price trends to help you understand price volatility and plan your budget.

I’m not ready to purchase Telephone Answering Services yet. Will I pay more if I wait too long?

We forecast the next three years of price movements by looking at factors likely to affect the market's supply chain, such as inputs, demand and competition. You can then use the price forecast to figure out the best time to purchase.

What other costs are associated with purchasing Telephone Answering Services?

Our analysts calculate the total cost of ownership and assign a level of low, moderate or high, depending on things like customization, integration and installation. Use this information to budget for Telephone Answering Services with a reduced risk of unexpected costs.

See how we display average pricing information, trends and market data.

Find the vendor to meet your needs

Where can I purchase ?

ProcurementIQ estimates that there are about 3,740 telephone answering service suppliers in the United States. Collectively, the top four firms account for less than 30.0% of market revenue, indicating a low level of market share concentration. Suppliers are required to make minimal up-front capital investments to enter the market and... Subscribe to learn more.

Questions to ask potential suppliers

How can I gain leverage during negotiations?

Experience and Expertise

How long have you provided these products to your longest-tenured client?

What qualifications does your staff have and what measures do you take to keep those qualifications up to date?

What industry do you most commonly supply this product for?

To what extent will ordering multiple products from your firm allow me to save on costs?

What is your repeat business rate for businesses in my industry and how does that compare to your overall rates?

Supply Chain Risk

Over the past three years, what percentage of your revenue has been dedicated to raw input materials? How has that changed?

Has the availability of raw materials tightened due to the coronavirus outbreak?

Over the past three years, what percentage of your revenue has been dedicated to labor?

How have fluctuations in input prices affected the prices of your products during the past three years?

How do you mitigate sudden price increases in raw materials?

When input prices rise, how much of the cost is absorbed by you and how much is passed onto buyers?

How, if at all, has your supply chain been affected by import tariffs levied in 2018?

Regulation

How do you manage regulatory change? Do you have regulation advisers or methods to track regulation?

How have changing regulations influenced your pricing now and how will the changes affect prices over the life our proposed agreement?

What ongoing training procedures do you provide for your staff?

Have you ever been found to be noncompliant with regulatory frameworks?

Amid widespread health concerns during the COVID-19 pandemic, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Relevant Experience

What is your previous experience working within our industry?

How comparable is our product or service to those of your other clients?

How would describe the types of clients you primarily work with?

How are the operations of your other clients similar and different to ours? What challenges will this pose?

How has your product/service helped similar buyers operate efficiently during the pandemic?

Employee Turnover

What is your average turnover rate for employees?

What incentives do you offer your employees to reduce the likelihood of turnover?

How do you mitigate the adverse effects of employees leaving mid-project?

What measures do you take to reduce the learning costs associated with assigning new employees to an account in order to ensure your employees continually provide effective services?

Quality

What safeguards have you established to ensure quality in your services?

What type of training do you provide your employees?

Do you offer any type of service level agreement (SLA)? If so, what are the terms of that agreement?

How available are your staff to talk through your service processes to ensure service requirements are being met?

Amid widespread health concerns, what contingency plans are in place to mitigate risk to your clients and employees? Do you offer clients any flexible exceptions, such as contract suspensions?

Reporting

Through what channels do you deliver your call reports? What is the delivery cost associated with each of these channels?

How often do you provide your reports? Can reports be delivered more or less frequently? How does the frequency of reporting affect the cost of the service?

Do you offer any compensation for inaccurate or delayed reporting?

To what extent can the structure of your reports be customized to my particular requirements?

Availability of Resources

What measures do you take to ensure your resources can accommodate your daily call volumes?

What contingency strategies do you have in place in case your call volume exceeds your resources?

When was the last time your call volume exceeded your resources, causing you to miss client calls? How did you compensate those clients whose calls you missed?

How do large call volumes affect the timeliness of the creation and delivery of your call reports?

Are you experiencing fluctuations in demand as a result of the coronavirus outbreak? What measures are you taking to handle increased/reduced demand?

Ancillary Services

What other business process outsourcing services do you offer?

Is there an inherent benefit to bundling these services with your telephone answering services?

Do you offer any ancillary services free of charge or at a discounted rate?

Do you have any partnerships that may benefit me? Do your partners offer discounts to your clients?

What new solutions have you introduced to address issues brought on by the coronavirus pandemic?

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Key elements for every RFP

What should my RFP include?

Project Budget

If one exists, buyers should specify the maximum budget for services.

Buyers should define payment schedules.

Buyers should request detailed cost breakdowns for the various types of services requested.

Buyers can reference the Benchmark Price and Total Cost of Ownership sections of this report for assistance in creating a budget.

Selection Criteria

Buyers should evaluate suppliers based on the viability of their submitted work plan, relevant experience and call center location(s).

Buyers should request references from current and former clients with similar service needs.

Buyers should evaluate suppliers based on cost.

For detailed selection criteria requirements, buyers should reference the Buying-Decision Scorecard section of this report.

Project Schedule

Buyers should specify the desired contract length.

Buyers should detail circumstances by which a contract can be terminated.

Buyers should provide a due date for proposal submissions.

Buyers should communicate to prospective suppliers when bid awards will be posted.

Evaluate major factors to mitigate risk

How risky is the supply chain?

The upstream supply chain poses minimal risk to suppliers and buyers of telephone answering services. Telephone answering service suppliers rely on few critical inputs. Instead, these services depend on relatively unskilled labor that can be readily sourced. The abundance of qualified labor limits the risk of labor shortages and prevents... Subscribe to learn more.

HIGH

MEDIUM

LOW