Missed call cost is the revenue impact of failing to answer an inbound phone call. The calculation combines several factors: the probability that the caller would have booked (booking rate), the average revenue of that booking (average ticket size), and the long-term value of retaining that customer (customer lifetime value). A simple calculation: if your booking rate is 60%, average ticket is $350, and you miss 5 calls per day, you are losing 3 potential jobs per day at $350 each, or $1,050 per day, $382,500 per year. Adding customer lifetime value multiplies this because each missed caller represents not just one job but all future jobs they would have booked if they had become a customer.
Most contractors underestimate their missed call cost because they cannot see the revenue that never materialized. When a caller reaches voicemail and books with a competitor, there is no record of the loss in your accounting system. Calculating and understanding your missed call cost is the first step to understanding the ROI of investing in automated call answering.
AutoRev provides call analytics that show how many calls are received and answered, giving you data to calculate your actual missed call rate. Most contractors discover that AutoRev's subscription cost is recovered within the first 1-3 booked jobs that would otherwise have been missed. The ROI calculator at autorev.ai helps contractors quantify their specific opportunity.
Inbound phone calls that go unanswered, reaching voicemail or disconnecting, resulting in lost leads and revenue for the business.
The total revenue a business can expect to earn from a customer over the entire duration of their relationship, accounting for repeat purchases, referrals, and maintenance contracts.
The percentage of inbound calls or inquiries that result in a scheduled appointment or confirmed job, measuring how effectively a business converts leads to bookings.
A tool or framework that estimates the financial return on a business investment by comparing expected revenue gains or cost savings against the cost of the investment.