Multiply the calls you miss each month by the share that would have turned into work, then by your average job value, then by 12. For a small trade business that can easily reach tens of thousands of dollars a year, before counting repeat work and referrals.
How do you work out what a missed call costs?
You only need three numbers, and you can find all of them yourself.
yearly cost =
missed calls a month
× share that would have booked
× average job value
× 12
The model is deliberately simple. It only counts the first job from each lost caller, so it's a floor, not a ceiling. Our missed call calculator does the sum for you.
What does that look like for different businesses?
Here are worked examples. The inputs are assumptions chosen to be realistic for a small business, not survey data. Yours will be different, so treat these as a way of seeing the shape of the problem.
| Business | Missed calls / month | Would have booked | Job value | Yearly cost |
|---|---|---|---|---|
| Plumber | 15 | 35% | $450 | $28,350 |
| Electrician | 12 | 35% | $400 | $20,160 |
| Builder | 4 | 10% | $25,000 | $120,000 |
| Dental clinic | 20 | 30% | $350 | $25,200 |
| Property manager | 6 | 30% | $2,000 | $43,200 |
Assumptions for illustration only. Property manager figures count new landlord enquiries and first-year fees.
How do you find out how many calls you miss?
Your phone already knows. Open the call log on your mobile, or log in to your phone provider's online account, and count the missed calls for a normal week.
- Multiply that week by four to get a month.
- Leave out spam, withheld numbers you don't recognise, and calls you returned within a few minutes.
- Look at when they happen. If most are in the evening or while you're on site, that tells you where the gap is.
What share of missed calls would have booked?
Think about the calls you do answer. Out of ten new enquiries, how many become paid work? That's your booking rate. Missed callers are probably a little less likely to book, because some were only shopping around, so use your normal rate or slightly lower.
What should you use for job value?
Use the average invoice for a first job from a new customer, not your best job. If you have a lot of repeat customers, you can use a yearly customer value instead, but be honest with yourself about it.
What does the formula leave out?
- Repeat work. A plumbing customer who's happy with the leak repair often calls you for the next job too.
- Referrals. Lost customers can't recommend you to their neighbours.
- Reviews. Fewer jobs means fewer chances for a good review.
- Your time. Every call-back that goes nowhere takes time you could have spent working.
How do you stop losing those jobs?
There are a few ways to cover the calls you can't take. Each has trade-offs:
- Voicemail is free, but relies on the caller leaving a message. Text back vs voicemail
- An answering service puts a person on the phone, but often only takes a message. Text back vs an answering service
- An AI voice receptionist answers by voice. Text back vs AI voice
- Missed call text back replies in writing within seconds and books the job. How Conversiq does it
