How does toll free telephone service work?

Posted on June 20, 2008 by smsgov

Toll free numbers enable callers to reach businesses, organizations, and non-profits without having to pay for the call. This marketing tool has been so successful that the available 800 numbers are decreasing while demand is growing at unprecedented rates.

A toll free number forward to, or rings, at any local number and on any phone. It does not require a special set-up of installation of any kind. There are four toll free pre-fixes, 800, 888, 877, and 866, and they all work the same way. Calls to these numbers are charged to the subscriber, not to the caller. Vanity numbers spell a word or phrase that relates to the business.

Available numbers are managed through a database maintained by the 800 Services Management System (SMS/800). Service providers assign and reserve numbers off the database for their customers on a first-come, first-served basis. To get started, subscribers simply contact a service provider such as the ones we list on our site SMSGOV.com and find a suitable vanity number or numerical sequence, then sign on for service.

When choosing toll free service, subscribers typically can select from a menu of services—calls routed to land lines, faxes, emails etc. and a variety of other features that suit their needs and their budget. Once a number is assigned, it stays with the owner permanently. If a company grows or moves locations, the numbers remains, safeguarding the connection to all their customers.

According to the FCC, toll free numbers are becoming increasingly popular for business and personal use. Toll free numbers increase market reach, enhance customer confidence, establish recognition of brand image, and sustain businesses during times of a weak economy.

The popularity of the 1-800 number, launched in 1967, led the Federal Communications Commission (FCC) to add the new pre-fixes 888 and 877 in the mid-1990s. When availability of those numbers plummeted, 866 was added in 2000 to overcome the shortage.

Industry insiders are looking ahead to the release of the 855 numbers reserved by the FCC. However, the launch of these numbers is not expected anytime soon and experts advise that anyone looking for toll free service should sign on now. Waiting for the “perfect” toll free number is a mistake. Dwindling stock and increase demand is creating a competitive market for 800 numbers.

Filed under: Information | Tagged: , , , , | 51 Comments »