| True story: When the Iron Curtain started | | | | top dozen or two will work quite well. |
| loosening in the 1990s, and another wave of | | | | All carriers will advertise a “per minute” |
| Soviet emigrés hit the U.S., the inevitable | | | | charge, ranging from about 2 to 5 cents, but you |
| “human interest” stories began popping up. | | | | should remember that this is their standard |
| One of the most interesting concerned the | | | | “state-to-state” rate. Their in-state and |
| inability of a considerable fraction of new arrivals | | | | international rates will usually be printed a bit |
| to adjust to, of all things, American supermarkets. | | | | smaller or referred to elsewhere. A few providers |
| A few reports claimed that some Soviet | | | | offer a rate as low as 1.9¢ when calling their |
| emigrés returned to the USSR because they | | | | other customers, while others may require online |
| could not choose among the hundreds of kinds of | | | | billing and payment to secure the lowest |
| breakfast cereal. | | | | advertised rate. Always keep an eye open for |
| This side of the curtain | | | | other requirements that will affect your rate. |
| Westerners, Americans in particular, are not afraid | | | | Other fees add up quickly |
| of choice or choices. Looking at the incredible | | | | Some providers will charge a monthly fee, but |
| proliferation of long distance providers and calling | | | | most offer ways around it and these |
| plans, some people may become just a bit | | | | “monthly” or “statement” fees |
| overwhelmed. However, in America we | | | | are waived if the billing exceeds, say, $20, and/or |
| understand that the reason for such abundant | | | | if you use the online billing/payment feature. |
| choice is driven by both corporate competition | | | | Another important consideration, of course, is the |
| and consumers’ desires. And, coming full circle | | | | “billing time increment” and the |
| in a rather odd way, we note that one thing | | | | “minimum call length.” At the high end, |
| consumers desire – more than anything else | | | | some carriers have the “60/60” plan, |
| – is choice. | | | | meaning every partial minute is charged as a |
| The sheer number of long distance carriers and | | | | minute and one minute is the minimum call length. |
| plans may seem daunting, but there are really | | | | Other plans range from 6/18 and 6/6 (the |
| only a handful of hard and fast measures by | | | | majority fall in these categories), while one |
| which one can compare the providers. These | | | | company has made its reputation on one-second |
| measures are easy enough to locate, quantify and | | | | billing with a 1/1 plan unique to the industry. |
| compare, but the final decision will hinge on the | | | | Another important consideration involves time, |
| unique, completely individualized way that these | | | | which has a direct and storied relationship with |
| hard measures stack up for each company or | | | | money (“time is money”). This, of course, |
| individual, as well as other influences that | | | | involves the average amount of wait time for |
| economists often call “soft” factors. The | | | | customer service. In recent rankings at a |
| importance one places on one consideration over | | | | cross-section of sites, these times ranged from |
| another, or the resistance one may have to one | | | | under a minute to 1, 3 (majority of providers) and |
| or another feature, hard or soft or both, will | | | | even 10 minutes. For businesses, this is even |
| combine to make each decision unique. | | | | more important than it is for individual consumers, |
| The first distinctions | | | | for whom it is still quite important. |
| The way you set about comparing long distance | | | | The big picture |
| providers begins with what you are doing, that is, | | | | Only by considering how your home or business |
| whether you are seeking a carrier for your home | | | | really, truly works (or doesn’t work) will you |
| or your business. These two paths overlap and | | | | be able to arrive at a plan that makes sense and |
| closely parallel each other today, although there | | | | achieves the goals you have set for it. You can |
| are still enough differences to change your search | | | | balance several goals – saving money, |
| parameters based on the target, home or | | | | improving efficiency, archiving messages, etc. |
| business use. One of the major differences | | | | – at the same time, although you will likely |
| between home and business “shopping” | | | | want to concentrate on one, perhaps two, of the |
| for phone plans is that your business will get a | | | | most important things. It is unlikely that you will |
| better quality of sales pitch, of course, since it | | | | get everything you want, at the level of |
| represents a larger potential customer. | | | | excellence you expect, from your calling plan or |
| Another primary distinction in this day and age is | | | | long distance provider. Be realistic, but also stay |
| which phone technology is to be used. Will it be | | | | informed. |
| standard landlines, VoIP (Voice over Internet | | | | Because prices change so quickly, service levels |
| Protocol), cellular or some mix of these? Some | | | | change over time and communications equipment |
| individuals, as well as some small businesses, have | | | | goes obsolete faster than ever, it is important to |
| consolidated all their phone operations in the | | | | stay abreast of these aspects of your home or |
| cellular domain, because of the continuing price | | | | business calling plan(s). You will cause more |
| decline for this technology. Regardless of the | | | | problems than a small savings is worth if you |
| choice you do make, remember that the pace of | | | | jump around all the time among continuously |
| progress is accelerating, not declining, and you | | | | changing phone plans. Make your best plan as you |
| must revisit all technology-related areas of your | | | | forecast your needs over the next quarter (for |
| home and company at least twice a year. For | | | | business) or year (for home) and, unless |
| businesses that want to stay on the leading edge, | | | | something drastic happens in the time being, wait |
| of course, it should be at least quarterly, and the | | | | to jump ship until your next review point. |
| fact is that corporate IT executives read daily | | | | The summary (for now) |
| about advances in communications, computing and | | | | If you are reading this article as preparation for a |
| other infrastructure. | | | | first major phone strategy change, expand your |
| Due to length limitations and a desire to provide | | | | research from this general overview to the |
| needed focus, we will leave VoIP and | | | | specific long distance provider “comparison |
| cellular-for-business phone plans for another article. | | | | shopping” pages, scores of which are awaiting |
| We will focus instead on the differences among | | | | your click out there in cyberspace. In addition to |
| the leading landline long distance providers. The | | | | the cold, hard numbers, consider some of the |
| same sort of competitiveness, technological | | | | companies’ “soft” factors, such as |
| advances and infrastructure issues that come up | | | | • company background and reputation, |
| here will be found in any comprehensive articles | | | | • Dun & Bradstreet and Better |
| on those subjects, too. | | | | Business Bureau reports or complaints, |
| Major providers, advertised rates | | | | • your relationship with sales and/or |
| There are literally hundreds, if not thousands, of | | | | customer service personnel, |
| local and regional long distance providers, and a | | | | • simplicity vs. complexity of the contract |
| declining number as they achieve national and | | | | (if one is required) and |
| international size and reach. In addition to the | | | | • openness of the provider to discuss |
| “old line telecoms,” such as AT&T | | | | special, “tailored” account features that |
| and the “Baby Cells,” a huge number of | | | | you need. |
| telecommunications firms have exploded into | | | | The main difference among long distance |
| existence over the last 20+ years. Although there | | | | providers, unfortunately, are ones that may not |
| are still some fly-by-night firms and fast-buck | | | | be apparent during the “shopping phase,” |
| operators, a number of the new telecoms have | | | | and turn up “down the line” a bit. This |
| established themselves as effective and profitable | | | | makes getting references and checking a |
| over the years. | | | | company’s background even more important |
| ECG, PowerNetGlobal, 3U, Unitel, AmeriCom, | | | | than ever. Talk to your colleagues, friends and |
| CoVista, TCI, Pioneer Telephone and Opex are | | | | acquaintances. Read as much as you can, and |
| among the several dozen major providers that | | | | never hesitate to ask the important questions. |
| seem to end up playing “musical ratings” | | | | Understanding the differences among long |
| on various “Top Ten” lists of long distance | | | | distance providers will take a little time, but it is |
| providers. All have their fans, and some people will | | | | time well spent when you recall how vital your |
| undoubtedly point to various other firms as | | | | phone – and the dependable, cost-effective |
| “better than all of ‘em.” However, for | | | | communication it represents – is to you and |
| an article such as this, a general comparison of | | | | your business. |
| the differences among such firms, looking at the | | | | |