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TAS Trader article

NAEO Conference - March 13-16, 2011

           

A Call to Compete Upward

By Gail O’Connor

I recently conducted a market survey in my area and was disappointed to discover that progress being made to benefit the telephone answering service industry had been thwarted.  To my dismay, I discovered giant leaps and bounds in a backward direction.  I was shocked to discover that base rates and other services that we rely on to make a profit have been dramatically reduced or eliminated all together.

Gone were the twenty-eight-day billing cycles, holiday charges, email, fax, relay charges, and so forth.  I sense fear all over the place, but what exactly are we afraid of?  The recession could benefit our industry, as our services are obviously less expensive than hiring a secretary.  I can count on one hand the number of clients who have stopped using my service due to the economy; customers recognize our value, especially in a slow economy.

I just do not understand why we don’t compete “upward” so that everyone benefits.  Our operators deserve raises, bonuses, and better compensation.  Our vendors have increased their costs as well.  It seems that the very fees we require to “band” together to charge our clients, have been eliminated to “one-up” the competition.  We all suffer when rates and other charges are reduced or eliminated.  If this continues, we are going to underprice our services to the point where no one will profit, and it will be the end of an industry.  I wonder if this trend is localized or nationwide.  It is almost embarrassing that this is the standard of our worth.

I plan to remain competitive and keep my rates as they stand.  I believe that customers appreciate quality above all else.  I am not a “discount” answering service, and I refuse to participate in undermining my call center’s worth.

Gail O’Connor is the owner of The Telephone Secretary in Fullerton, CA.

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