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Mobile Phone Business Packages

Last Updated
July 20, 2010

Choosing the Right Mobile Phone Package

When choosing a mobile phone package, it is crucial to consider what your needs are.

A package that is perfect for one business may be completely wrong for another.

The three most important factors in choosing a mobile phone package are:

  • Who you call
  • When you call
  • How much you call

Most business packages are charged monthly, and paying a higher rental cost will give you extra inclusive minutes or cheaper rates on your calls. Inclusive minutes are part of many packages; you pay for a number of minutes upfront at a greatly reduced cost as part of the line rental each month. There are many packages available, and finding a suitable package can be difficult, but will save you a lot of money in the long run.

Who do you and your Employees Call ?

The costs of mobile phone calls vary considerably depending on the type of phone called. Phone calls to landlines and to the same network are the cheapest, while phone calls to other mobile phone networks can often cost up to 5 or 6 times the cost of same network calls. It therefore makes absolute sense to purchase the same network for all employees that will have mobile phones. Not only will this reduce call charges significantly, it may also give you enough spending power to be able to negotiate a small discount. If the majority of people you or your employees would be contacting use landlines, or if there will be a large number of internal calls, then it makes sense to look for a package which offers cheap landline rates or a number of landline/same network minutes included. If your contacts mobile phone numbers are mainly based on one network, then it may reduce costs significantly to sign up for the same network provider to reduce call charges. If your contacts are based across a number of mobile networks, then it would make sense to look for a package that offers a good cross network rate or includes a number of inclusive minutes to all networks. These are more expensive, but will work out cheaper compared to the actual call costs.

When do you and your Employees Call ?

There are usually two types of mobile packages. Those that have a fixed rate all day, and those that have a peak (usually 9am-6/7pm) and an off-peak (usually 6/7pm to 9am) rate. To get the most cost effective mobile package, you need to carefully consider the times that you or your employees will be making calls, as the varying rates are different enough to make a substantial difference to the cost of your bills. If you or your employees make all of their calls between 9am and 5pm (the times most common for businesses), then it makes sense to go for the cheapest peak rate, or an all day package with higher off-peak and lower peak rates. Packages with included ‘anytime’ minutes will also save you money. If you or your employees make all of their calls outside of office hours (for example: night shift workers), then it makes sense to go for the package with the cheapest off-peak rate. As most calls will be made outside of the peak rate, it does not matter too much if the peak rate is high, as long as the off-peak rate is low. Packages with lots of included off-peak minutes will usually save you money. If you or your employees make calls throughout the whole day, then it makes sense to go for a package that offers a low fixed rate. Peak and off-peak rates are not important, and going for a package with two rates will invariably cost more. A fixed rate allows calls at anytime of day, without worrying about expensive charges at certain points.

How Often Will you and your Employees Call?

The monthly rental costs of packages vary considerably along with the call charges. The general rule is, the more you pay in monthly charges; the more inclusive minutes you get, and the more you save on call costs. However, there is no point paying for 10,000 inclusive minutes a month, when you only expect to use 500. Many packages allow you to split the inclusive minutes over several phones, which works out more efficiently for businesses with several mobile phone users. It is also commonplace for you to be able to change the package you are on every month or two. So if you choose a package that is too expensive, you can move to a different package that is better for you without losing too much. Inclusive minutes normally come in three forms: (1) Off-peak – These minutes are only valid to landlines and same network calls during off-peak times (usually 6/7pm to 9am), and are therefore only of use to businesses making phone calls outside of office hours. They are the cheapest form of inclusive minutes, but also the least likely to be of importance to businesses. (2) Anytime – These minutes are valid to landlines and same network calls during both peak and off-peak rates. They are of use to businesses that make phone calls to landlines or the same network during normal office hours. They are of particular use if a large number of internal mobile to mobile calls will be made. They are more expensive than off-peak minutes, but considerably more useful for the majority of businesses. (3) Any Network / Anytime – These minutes are valid to landlines and all networks during both peak and off-peak times. They are of use to businesses that make large numbers of external phone calls to companies or customers that may not be on the same network. They are the most expensive form of free minutes, but if needed, will save you considerable amounts on the cost of cross network calls.

Is it worth paying for inclusive minutes?

There is little doubt that inclusive minutes can save you a lot of money. However, if your mobile phone is used almost entirely for incoming calls or short infrequent outgoing calls, then it will normally be cheaper to simply pay for what you are using. In cases where your mobile phone use is small, it is not worth paying for free minutes that will not be used; instead, opting for a basic package with a lower monthly rental will be cheaper in the majority of these cases.

Pre-Payment

Some businesses use a system of pre-payment (“Pay as you go”) for their mobile phones. This is where all calls are paid for in advance. Talk credit is bought and added to the phone, and calls can be made until this credit runs out. Pre-payment is available on all of the major networks, although it is normally advertised as just a consumer service, not a business service. The main advantage of pre-payment is that you only pay for what you use. There are no monthly charges, and there is no need for any contract. This also makes it impossible to run up a large phone bill as everything will need to be bought in advance. The main disadvantage is that call charges are more expensive than contract phones, and there are no inclusive minutes. This means that any business making more than two or three brief phone calls a day will probably be better off on a contract package. It is also difficult to implement pre-pay phones for employees, as there will be lots of extra administration involved in purchasing phone credits, which is one reason why small business are the majority users of pre-pay phones for business use. There is also a risk that calling credit will run out in the middle of an important conversation. With pre-payment services, you pay for the phone and then connect. The phones will be more expensive as those on contracts are subsidised by the service providers. If however, your business needs a phone for incoming calls only, or makes only a small number of short calls, then pre-pay services will more than likely work out cheaper.

Article Index

  1. Mobile Phones in Business
  2. Mobile Phones in Business - Disadvantages
  3. Business Packages
  4. Examples of Mobile Phones in Business
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