According to a 2023 study by Salesforce, 92% of customers are more likely to make repeat purchases after a positive customer service experience. Building an outstanding customer experience requires an omnichannel approach with careful attention to detail. Business phone numbers are one element of this strategy. A business phone number helps an organization convey professionalism, build trust, and communicate efficiently.
Global VoIP services are set to grow from $158.72 billion in 2024 to $361.53 billion by 2031 at a CAGR of 12.5%. As more companies turn to technology to stay connected, business phone numbers are a fundamental part of this ecosystem. These numbers provide more than just a way to make and receive calls.
The right business phone number can streamline operations and strengthen your brand's presence.
In this guide, we’ll explore the different types of business phone numbers, their benefits, and how to choose the right one for your company.
What is a business phone number?
A business phone number is a dedicated phone line used specifically for business purposes. It's often a separate line from your personal phone number, providing a professional and easily identifiable way for customers, clients, and partners to contact your business.
A business phone number lets you keep your personal number private, using a dedicated 10-digit number for all work-related communication.
What is the difference between personal and business phone numbers?
Unlike personal numbers, a business phone number isn’t tied to any physical location, traditional landline telephone system, or device; it's typically part of cloud-based or Voice over Internet Protocol (VoIP) systems. It can be used across multiple devices and locations, and it comes with features designed to meet the demands of business communications, such as:
- Call forwarding
- Automated responses
- Integration with customer relationship management (CRM) systems
Phone numbers for businesses separate your professional and personal lives, making it easier to maintain a healthy work-life balance.
Types of business phone numbers
Each type of business phone number suits different needs. There are four main types of business phone numbers to choose from.
Local (or fixed) numbers
Local or fixed numbers are associated with a specific geographic area or city, typically tied to a landline or fixed-location service. These numbers have area codes that identify them as belonging to a particular region, city, or country.
For example, phone numbers in the format +1 (212) xxx-xxx are Manhattan numbers, while +1 (917) xxx-xxx can be from anywhere in New York City.
Businesses often use these numbers to create a localized customer experience. These numbers are often competitively priced since you pay local rates when calling from within their designated region.
Local numbers can also be used with virtual phone systems, allowing businesses to manage calls from multiple locations through a central platform.
Toll-free numbers
Toll-free numbers, also known as freephone numbers, are designed so that the receiving party—the business—covers the cost of incoming calls, making it free for the caller.
In most countries, these numbers are identified by specific prefixes, such as 800, 888, 877, 866, 855, 844, or 833.
Businesses use toll-free numbers to give customers a free way to reach them. However, given their popularity, toll-free numbers tend to be more expensive, take more time than local numbers, and are harder to secure.
Note: Consider using toll-free numbers for marketing campaigns; they are easier to remember and can drive more calls and engagement.
Virtual business phone numbers
Virtual business phone numbers operate online and aren't tied to a specific phone line or physical location. This allows businesses to make and receive calls from anywhere using smartphones, laptops, or VoIP systems.
These numbers can be local, toll-free, or even international. They often include features such as call forwarding, voicemail, auto-attendants, and integration with other business tools.
Virtual phone numbers for businesses are popular for those that need flexibility, scalability, and the ability to manage calls from remote or distributed teams.
Note: Ensure prompt payment when you opt for virtual phone numbers; if not maintained with regular payments, they may be reassigned.
International business phone numbers
International business phone numbers help establish your presence in the global market. These numbers allow customers in different countries to contact a business without incurring international calling fees: calls are routed through a local number in the customer's country.
Depending on the region and your business needs, international phone numbers for business can be toll-free or geographic (numbers have an area code linked to a particular locality). They offer global reach without needing a physical office in each location.
Shortcode numbers
Shortcode numbers are short, easy-to-remember phone numbers typically consisting of five or six digits used primarily for SMS and MMS communications. They are ideal for marketing and promotional campaigns, allowing customers to easily interact with automated systems for information, voting, or promotions. Businesses use shortcode numbers to streamline communications and boost customer interaction.
Note: These numbers are highly effective for engaging customers and ensuring high campaign response rates.
Benefits of having a business phone number
A dedicated business telephone number presents several benefits, especially when integrated into a comprehensive business phone system. Let’s look at some of the key benefits below.
Build a strong brand image
Business phone numbers play a significant role in brand image and credibility. A dedicated business number signals that your company is established and reputable, reassuring customers that they’re dealing with a legitimate service.
Get better security and reliability
Business phone numbers can become targets for cybercriminals since they’re frequently used to transmit sensitive customer data.
But, as a result, most business phone number providers have high-level security and privacy measures in place to avoid cyberattacks, data theft, and unauthorized access. They usually hold necessary compliance certifications such as ISO 27001, PCI-DSS, and SOC, ensuring your business communications are secure and reliable.
Integrate with your CRM software
Integrating your business phone system with your CRM software connects your communication channels with customer data for a more comprehensive view of each interaction.
Employees can quickly access a caller’s purchase history, support tickets, and last customer service interaction to improve issue resolution or lead capture. It also enables you to prioritize high-value callers to improve acquisition and retention.
Better call management
Business phone numbers often come as part of a complete business phone system. These systems offer advanced features to enhance call management, including:
- Conferencing
- Recording
- Forwarding
- Transcription
- Playing music or a pre-recorded message while customers are on hold
These features enhance the customer experience and help the customer support team save time. For instance, a call transcription converts a customer’s speech into text, allowing agents to scan and reference conversations quickly. Call recording provides invaluable training materials, enabling supervisors to review calls and offer personalized feedback to improve staff performance.
How to choose the right business telephone number
Choosing the right phone number for your business depends on your requirements and the type of connection you want to establish with customers. Here are a few factors to consider.
Assess your business needs
Evaluate your business needs, customer base, and the kind of presence you wish to establish. The table below provides a handy shortcut to understand which type of number best suits your business.
Consider long-term flexibility
Opt for a solution that meets your current needs and adapts to your business's growth. Make sure that the number you choose offers:
- Scalability: Choose numbers that can scale with business growth, allowing you to switch from local to toll-free or international as needed.
- Portability: Select numbers that can be retained if you decide to switch providers.
Budget for initial and ongoing costs
There are two types of costs associated with a business telephone number. Initial costs including setup fees, equipment costs, and purchasing specific numbers. Ongoing costs encompass monthly fees, per-minute charges, and additional features.
Consider these costs to budget effectively and avoid unexpected charges that could impact your business finances.
Understand legal and compliance requirements
Every country follows certain rules and regulations that dictate the type of business number you can choose. Confirm that the provider you decide to work with complies with:
- Privacy laws, including data protection and customer consent laws like the California Consumer Privacy Act (CCPA) and General Data Protection Regulation (GDPR).
- Industry-specific regulations like the Health Insurance Portability and Accountability Act (HIPAA) in healthcare and the Payment Card Industry Data Security Standard (PCI DSS) in financial services.
- Audit and documentation requirements: Does the provider maintain accurate records and regularly review them?
Set up a business telephone number in 3 steps with Plivo
Plivo provides a straightforward and efficient solution for acquiring and managing virtual numbers worldwide. With a robust CPaaS platform, your business can maximize customer engagement across various communication channels.
Plivo provides local, mobile, and toll-free numbers to enhance customer experience.
Plivo ensures brand recognition, higher throughput and growth with mobile numbers, 10DLC (10-digit long code), short code for SMS and MMS. Also, with SPI forwarding or via responsible organizations (RespOrg) bring your own business numbers (voice) using existing phone numbers. Engineers can easily integrate Plivo with extensive documentation, SDKs, and support for various programming languages.
Here’s how you can set up a business telephone number with Plivo in three simple steps:
1. Sign up with Plivo
Plivo offers a free trial account for you to test the platform and explore its features. If you’re already a Plivo user, log in.
2. Configure the number
Once logged in, go to your Plivo console and click “Buy Numbers.” Select the type of number you need—local, mobile, or toll-free—and choose the region it should represent.
For example, if you need a local virtual phone number for eastern Massachusetts, enter 508 as the local area code and hit “Search.” Plivo will then generate a list of available virtual phone numbers to rent. You can review the details of each number, including its support for voice, SMS, MMS, and monthly fees.
3. Set up call management features
The major benefit of using Plivo is the ability to customize settings according to your business needs.
You can set up call forwarding, call transfers, voicemail, and other features to ensure your virtual number works seamlessly.
Features of Plivo’s virtual business telephone number services
Listed below are features offered by Plivo to cater to your business needs:
- Number porting: Transfer or “port” existing phone numbers from one service provider to another without needing to change them.
- Automatic call recording: Record phone calls automatically for quality assurance, training, or legal compliance.
- Call forwarding: Redirect incoming calls to another number to ensure they are answered, even if the primary line is unavailable.
- Caller ID: Display the number (and sometimes the name) of the caller, letting recipients see who is calling before they answer.
- API verification: Use Plivo’s API to confirm user identities or validate phone numbers, often utilized for two-factor authentication (2FA) or account security.
- Number lookup: Retrieve detailed information about a phone number, including carrier, location, and type (mobile or landline), useful for segmentation and targeting.
- SMS API: Send and receive text messages programmatically via Plivo, supporting automated messaging, alerts, and notifications.
- Omnichannel contact center: Manage customer interactions across multiple channels like phone, SMS, email, social media from a unified platform to deliver consistent and efficient support.
How much do business phone numbers cost?
Plivo provides two flexible pricing models, you can either opt for competitive pay-as-you-go phone number pricing with add-on features included or an annual agreement with volume discounts, customized rates, and premium support for larger businesses as you scale.
Review all of Plivo’s number pricing options here: Phone Number Pricing — Long Code, Toll-Free, Short Code
Conclusion
Getting a business phone number is a must for businesses of all sizes, given that it strengthens your brand image and provides credibility.
Whether you're a small business looking to establish a local presence, a growing enterprise expanding internationally, or a global company aiming to connect with more customers worldwide, the right business telephone number can make all the difference.
Request a trial with Plivo to set up and manage a business phone number with ease. With effective features like call management, CRM integration etc, Plivo offers everything you need to enhance customer interactions and support your business growth.
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