When you are evaluating different SIP termination providers you need to make sure that you are comparing apples to apples. Because the rates the different SIP termination providers are quoting you may not be the real rates – what you will pay may actually differ once you start adding special surcharges, fees and penalties. They may give you a great rate deck, but be sure to check the fine print so that you are comparing real rates and not fake rates.
So what are some things you should look out for?
First of all you really need to know the statistics for the traffic you have. If your business is using a PBX or an automated telemarketing solution chances are high that you are able to pull a so called CDR file from your equipment which often summarizes the most important statistics.
Many SIP providers do not like short calls and calls that do not complete like dialing non existing numbers. These types of calls cost them the same resources as long calls to set up, yet they do not yield to much revenue. In order to make these calls profitable they often charge additional fees if the percentage of calls that fall into the undesired categories.
Some of the most important surcharges to watch out for are:
- Surcharge for not meeting the average desired minimum ACD/ALOC. ACD stands for Average Call Duration and ALOC means Average Length Of Call. These are both synonyms for the same thing. If your calls are too short they will cost you more. Many SIP termination providers require a minimum average duration of 30 seconds.
- Surcharge if you have too many calls that not connect. The ASR is the percentage of calls that do not complete. This is not an issue for most people unless you are using a automated dialer that dials sequential ranges of telephone numbers.
- Unfavorable traffic blend: some areas are more expensive to terminate calls to than others. Be sure that there are no restrictions as to having to send a certain percentage of calls to low cost areas.
As with everything when selecting a SIP provider you need to make sure that you read the fine print and make sure that you are comparing the real rates including all surcharges rather than just the rate sheet that they sent you.
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