Missed calls

    What do the calls you miss actually cost?

    An unanswered call costs the same to buy as an answered one and shows up in the ad account as a conversion. This puts a yearly number on the ones that ring out, and separates the ones you win back with a callback from the ones that are gone.

    Try:

    Your numbers

    Calls

    From the phone system or call tracking, not from memory.

    Anything that went unanswered, including after hours if you advertise as available then.

    Actually spoke to them. Leaving a voicemail is not reconnecting.

    Value

    ServiceTitan, United States and Canada, 2022 — inbound call to booked job

    Use your own if you know it.

    Where this default comes from: ServiceTitan, more than 3,000 trade businesses across the United States and Canada, June 2022. Inbound call to booked job. No Australian equivalent exists. ServiceTitan, Data Report: Average Call Booking Rates (US & Canada, 2022)

    Average invoice excluding GST.

    After labour and materials, before overheads.

    Your cost per lead. Set it to zero if the calls are all organic or word of mouth.

    The answer

    Gross profit lost a year

    $53,127

    110.7 jobs that were never booked

    Calls missed a month

    33

    22% of 150

    Won back by calling

    11.5

    35% of the missed calls

    Gone for good

    21.5

    Reached somebody else instead

    Revenue lost a year

    $132,818

    110.7 jobs at $1,200.00

    Advertising spent on calls that rang out

    $35,640

    396 calls a year at $90.00

    How this was worked out

    Calls missed
    150 × 22% = 33
    Gone for good
    33 × (100% − 35%) = 21.5
    Jobs lost
    21.5 × 43% = 9.2
    Revenue lost a month
    9.2 × $1,200.00 = $11,068
    Gross profit lost a year
    $11,068 × 40% × 12 = $53,127

    What each improvement in answering is worth a year

    Missed rateCalls gone for good a monthJobs lost a yearGross profit lost a year
    22%21.5110.7$53,127
    15%14.675.5$36,223
    10%9.850.3$24,149
    5%4.925.2$12,074
    0%00$0

    Zero missed calls is a target nobody hits — trades work in roof cavities and under houses. The row is there to show the size of the whole prize, not to suggest it is available.

    What to do with this

    • 33 calls a month go unanswered. After callbacks, 21.5 are gone — 9.2 jobs, $11,068 of revenue and $4,427 of gross profit every month.
    • Over a year that is $53,127 of gross profit. Weigh that against what answering those calls would cost — an answering service, a part-time person, or a rule that every missed call gets rung back inside five minutes.
    • Separately, you spent about $2,970 a month buying the calls that rang out — $35,640 a year of advertising that produced a ringing phone and nothing else.
    • Ring back inside five minutes or do not bother. The person with water on the floor has already called the next business on the list, and a callback two hours later reaches someone who has been sorted out.

    Change anything above and the link in your address bar changes with it, so you can send the exact result to whoever needs to see it. Nothing you type is sent anywhere — the whole calculation happens in your browser.

    What this does, and how the maths works

    What it does

    • Counts the calls that ring out, then removes the share you genuinely win back by calling them straight away.
    • Converts what is left into lost jobs, lost revenue and lost gross profit, monthly and annually.
    • Prices the advertising you spent buying calls that nobody answered, which is a separate loss on top of the revenue.

    How to use it

    1. Get the missed-call count from your phone system, call tracking or handset log. Do not estimate it — this is the number people are most wrong about.
    2. Enter the share you call back and actually reconnect with. Reaching voicemail does not count.
    3. Set a booking rate, or use one of the published trade figures and read the caveat.
    4. Enter your average job value and gross margin, then read the annual figure.

    The formula

    • Missed calls = calls × missed rate
    • Calls gone for good = missed calls × (1 − callback recovery rate)
    • Jobs lost = calls gone for good × booking rate
    • Gross profit lost = jobs lost × job value × gross margin

    Reading the answer

    • Compare the annual loss against what an answering service or an extra part-time person costs. In most trade businesses the loss is larger, which makes this the easiest decision on the site.
    • The advertising figure is a second, separate loss. You paid for those calls at the same cost per lead as the ones that connected.
    • If the missed rate is above about a quarter, no amount of extra advertising will fix the business. It will just buy more calls to miss.

    What it cannot tell you

    Not every missed call is a lost customer — some ring twice, some are suppliers, some are people who were always going to call three businesses. Set the callback recovery rate honestly rather than optimistically, and treat the answer as the size of the problem rather than a debt someone owes you.

    Where every figure on this page came from

    Every default in the calculator above is either your own number or a figure from one of the studies below, with the market and the sample stated. Nothing here is an estimate somebody felt was about right, and no United States figure is wearing an Australian label.

    1. ServiceTitan, Data Report: Average Call Booking Rates

      ServiceTitan · 2022 · measured in US & Canada · medium confidence

      More than 3,000 trade businesses across the United States and Canada, June 2022.

      Measures inbound CALL to booked job, not lead to job, and the fieldwork is from 2022. There is no Australian equivalent.

    FAQ

    Frequently Asked Questions

    Everything you need to know about working with SoudCoh

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    It costs the gross profit on the job you did not book, plus the advertising you spent to make the phone ring. On a $1,200 job at a 40% gross margin and a 43% booking rate, one permanently missed call is worth about $206 in gross profit. If the call came from advertising at $90 a lead, that is another $90 gone. Twenty permanently missed calls a month at those numbers is a little over $49,000 a year of gross profit, before counting the advertising.

    Some do and some do not, which is why the callback recovery rate is an input rather than an assumption. Urgent work is the clearest case: someone with a burst pipe rings the next business while your phone is still going to voicemail. Quoted work is more forgiving — a callback within the hour often still lands. Set the recovery rate for the kind of work you do rather than taking the default.

    Compare the annual gross-profit figure this tool returns against the annual cost of the service. That is the whole decision. The comparison usually favours answering, because the loss scales with your advertising spend while the cost of a service does not — the more you spend on ads, the more expensive each unanswered call becomes.

    For emergency work, minutes. There is no Australian study we could find that puts a number on this for trades, and we are not going to quote the widely circulated response-time statistics because none of them trace to a dataset we could check. What is not in doubt is the mechanism: the customer's problem does not wait, so a callback competes against whoever answered in the meantime.

    Only if you advertise as available then. If your ads say 24/7 and the phone goes to voicemail at 9pm, that call is missed and it was expensive — emergency searches are the dearest ones in the account. If your ad schedule matches your opening hours, an after-hours call is a bonus you never paid for.

    If the number is uncomfortable

    We will read
    your real ones.

    Send us the account rather than the estimate. We will tell you what it is actually costing to win a job, which part of the chain is leaking, and whether it is worth fixing — before anyone asks you to sign anything.