When You’re Paying Too Much

Having the right call center software is often essential for the success of your call center operations, and choosing a suitable provider depends on your business needs and how much you’re willing to pay. 

If you pay too much for features you don’t need or seats you aren’t filling, for example, the residual impact on your budget can limit the overall growth potential of your business. 

When You’re Paying Too Much For Call Center Software

It may not always be obvious that you’re overspending on call center software, but there are several indicators that can help you find out. 

When you’re paying month-to-month instead of annually 

Call center solutions typically have monthly and annual payment options, and most providers will offer you a discount if you choose to pay annually. It’s fine to pay for the first month or two to make sure that the platform is right for you, but once you know that you’re going to keep it, don’t forget to switch to a one-time payment for a full year because it will save you money in the long run.

For instance, if a call center charges $45 per month for each agent but $450 per year, paying annually will save you $90 per agent per year.

Thus, if the option is available and you can afford it, opt for an annual billing plan—especially if you have a large team in your call center. Just remember that an annual billing plan doesn’t offer much flexibility, so you won’t be able to switch tools without waiting for the right time or taking an extra hit with overlapping expenses. If you don’t plan on changing tools frequently, then it’s perfect.

You’re a small team with the most expensive plan

Most call center software providers offer tier-based pricing plans. If you’re a small team of a dozen or so agents, then you may not need an enterprise or premium plan—even if your budget can cover it. 

Some business owners assume that having more features means better outcomes. This is not always the case because small teams may not use the so-called premium features, and sometimes the premium tiers are only cost-effective for larger teams in the first place. 

A lower-priced tier could have essential tools like call recording, call routing, an IVR system, and softphone applications. Premium features like CRM integration, omnichannel support, and advanced analytics may not affect your team’s ability to be fully operational.

Therefore, choose the pricing plan that suits the size of your team. Consider the features and tools available on each tier, and look for the most essential ones that can do the job without additional costs. Keep in mind that some call center software providers offer starter plans for smaller teams, and most of these can be scaled up to grow with your team. 

Your software can’t scale with you

No matter the pricing or billing plan you choose, if your call center software can’t scale with or adapt to the needs of your business, then you’re probably paying too much for it. In other words, call center software that can only support your team to a certain extent before you have to transfer to a different one is never cost-effective. It can also hinder your customer support operations when you have to retrain agents and subject your customers to downtime during a changeover. 

It’s common for call center software providers to place limits on the number of users allowed on each plan, so be sure to look for those that let you pay for additional spots. Scaling up should be an easy process, so make sure you can do so without issues. Otherwise, you may have to pay the costs of switching to another provider down the road. 

You only use features that are available in a cheaper plan

If you’re paying for a middle-tier plan, you need to make sure your team is using the features that separate it from the plan before it. If you discover that your team only uses basic features, you’re probably overspending.

Many call center owners choose a given plan because they think their agents will benefit from extra features and add-ons. Since that’s not always the case, it’s important to gather feedback from the agents on the front lines who actually use (or don’t use) the extra features. 

Carefully evaluate your usage by asking your agents about the software solutions and what features they actually need. Find out if it makes sense to downgrade so that you only pay for what you use. 

If you’re not sure about a plan you haven’t purchased yet, some providers let you book a demo so you can preview the software’s tools.

You get the business phone with the software unnecessarily 

Some call center software providers offer a bundled phone service, meaning you get the software plus a physical business phone system for an additional monthly subscription. Many claim that this will make your experience with the software smoother and better, but you may just be adding to your overall expenditure.

If your agents can use a software solution with their existing phones, then these business phones are probably frivolous costs. Similarly, if your business already has a phone system that can work with the software, then there’s no need to repeat the costs. 

Thus, don’t get the bundled phone system if you don’t need it. Consider a standalone software solution for your call center to avoid unnecessary costs.

When you’re paying for “just in case” users

Most of the time, you’ll pay a monthly or annual price per user. This means that any extra seats you pay for without using them will inflate your costs.

Having additional seats available may seem like a smart move, but it’s often unnecessary given the fact that many plans allow you to add and remove seats at will. If you pay for unused seats for a long period of time, then you might as well light your money on fire.

The solution to this problem is simple—just pay for what you need now instead of what you might need later. Pay for the exact number of users you have and only add users who will use the system daily.

If you have a small team, consider software providers that offer a pay-as-you-go billing plan. This way, you won’t have to commit to a long-term and potentially expensive plan.

Monthly and annual billing plans with fixed pricing are more common, but the main benefit of this approach is that you get an idea of your budget straightaway.