Question: A few months ago, I considered switching long distance companies.  Now I am looking at changing local phone companies.  What do I look for?

Answer: Last month, we talked about the issues to watch for when evaluating long distance carriers.  Much of the same advice applies when you consider switching your local telephone service provider as well.  Carefully verify any promised savings and get it in writing.  Also, insert an escape clause in your contract if the service is bad or the costs are higher than promised. 

Then check out their customer service.  The customer service staff can make or break the whole deal.  A professional, empowered support team will quickly and fully resolve problems, correct billing errors, and explain services, keeping you apprised of new features. 

Conversely, an ineffective team will view your account as a mere number and your call as a nuisance.  Their goal seems to be to end the call in the easiest and quickest way possible.  After all, they will have many more waiting for them. In addition, there are two important items to determine.  The first is longevity. 

• How long have they been in business?

• How long have they been in your market?

• And how long has the sales person been with the company?

The longer the time, the greater the stability and the better the likelihood that they will be there for you long-term.

The second item is whether or not they have their own equipment.  Some providers are “facilitates-based” meaning that they have made a substantial equipment investment in your area.  The converse is “carrier-based.”  They may use various terms to describe this, but in essence, they buy services from a local “facilities-based” company at wholesale prices and sell them to you below that company’s retail price.  As a result, it becomes a matter of margins and they need to keep their other expenses low in order to stay in business. 

Both the facilities-based and carrier-based approaches have their merits, as well as downsides.  Any effective sales representative will be able to tell you why their company’s method is better for their business and why the other approach is not used.

Lastly, do some checking on the financial stability of the company.  Most alternative local phone companies have been hurt financially in the past two years and several are in bankruptcy or emerging from it.  You want to make sure that the company you select will be there for you long term.

Learn more about telephone answering services and discover how the might be able to help you.