Toll Free vs Local: Which Virtual Number Is Right for My Business?

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If you’re an up-and-coming business or an entrepreneur, chances are you need some sort of way for customers to contact you. One of the most effective ways to allow customers to get in touch with you is through a virtual phone number.

Having a virtual phone number means you can take business calls practically anywhere in the world. If you are a small business, you can have a virtual phone number be forwarded to your cell phone, and answer even if you’re at home.

Toll Free vs Local – What’s the Difference?

You have a few options for what kind of virtual phone number you can use. You can use a business toll free number, like 800, 1800, or 0800. These are national phone lines that allow callers to reach your company without being charged for the call. Most countries have their own version of a toll free 800 number. For example, the UK has 0800 and 0808 numbers, New Zealand has 0800 and 0508, and China has 400 numbers (though there are major restrictions on calling in China).

The other common virtual number type is a local phone number. This is a phone number with a distinct dial code depending on the city it is located in. These numbers are not free for the caller who is dialing in. Most major cities have a handful of area codes (for example, Atlanta has 404, 770, and 678 as their major area codes). One other big difference between toll free numbers and local phone numbers is that they are not as regulated as toll free numbers.

Many times, local phone numbers can be much more difficult to set up. Depending on the city and country where you want to set up a local phone number, you may have to provide proof of residency or other additional paperwork to activate your number. Essentially, this means it can be harder to port (transfer) your number if you choose to change carriers.

Virtual Vanity Phone Numbers

Another thing to consider when looking at buying a virtual number is whether or not you want to splurge on a vanity phone number. A vanity phone number is meant to make your business stick out, and be memorable to customers who see your advertising.

When looking for a vanity phone number, you first need to decide is you want a toll free vanity phone number, or a local one. Depending on who your audience is should really be what steers you towards local or toll free. Generally speaking, toll free vanity numbers are likely to be remembered more often.

Some virtual number providers even offer search tools, where you can type in what you would like your number to say, and then they will show you the available numbers. One thing to keep in mind is if you are looking for a local vanity phone number, you will most likely only be able to customize the final 4 digits of the phone number. If you choose for a toll free vanity number, there will be a little bit more customization available.

Custom vanity numbers will come at a price. Think back to a time where you were driving down the interstate, you probably have seen a billboard for a law firm and with a phrase like PAIN or LAWYERS in the number, so it looks like this: 1-800-LAWYERS. That’s an example of a vanity toll free number, it’s easy to remember, even though you only saw it for as few seconds while driving past it.

Pros of a Toll Free Virtual Number

Generally speaking, toll free numbers can be easier to remember (especially if it’s a toll free vanity number). Not only are they easier to remember, but they can help your company give off a bigger presence. With a toll free business number, customers can call you free of charge, which removes any reluctance a customer might have to call your business.

A toll free number can show your company is established, credible, and professional. People are more likely to trust a toll free number vs a local one, especially if they’ve never been in touch with your company before.

Toll free numbers are also very easy to port from one carrier to another. Since they are centrally regulated, it is easy to get all the necessary information to transfer over.

Woman Talking on Phone
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Cons of a Toll Free Virtual Number

As great as a virtual toll free number can be for your business, it doesn’t come without a few downsides. Unfortunately, toll free numbers can be expensive, especially if you have your eyes on a toll free vanity number. There’s a lot of competition for the best toll free numbers, so chances are, you might have to pay for it if you’re looking to secure one.

Another possible con is toll free numbers could make your business almost look too big, and people may assume they are going to be talking to some automated machine. Some people just assume toll free numbers are spam calls, and may not answer them if you try to reach out to them.

Pros of a Local Virtual Phone Number

So maybe you’ve done some thinking, and you think a toll free number may not be right for your business, or maybe you want a local phone number as well. Local phone numbers give your business a localized presence, unlike toll free numbers. Customers will know you’re local when the recognize the dial code, and may be more likely to answer or call in. People tend to see local businesses are more reliable, and may even pay more for a local service, whether it be because they think it will be better quality or they want to support local business.

You can also use a local phone number in your marketing and advertising. Even something as simple as having your local number in your email signature can help increase calls and leads. You can also have a variety of local phone numbers, as they are so easy to obtain, so you can use those numbers in particular areas where you would like to market.

Cons of a Local Virtual Phone Number

Generally speaking, local phone numbers can be harder to set up, particularly in other countries. Often times, governments may require some sort of documentation showing a local business address to obtain a local phone number. Additionally, customers will have to pay for calling into your business, unlike a toll free number.

Final Thoughts

All in all, choosing the right number for your business is an important decision and should not be taken lightly. It’s best to sit down and really drill down who exactly your business is targeting before deciding what kind of virtual phone number to choose.

Another thing to be taken into account when choosing a virtual number provider, whether it be for a local or toll free number, is the features that accompany the service you purchase. Most virtual number services will offer standard features such as call routing, call recording, call forwarding, and some of the more advanced ones will offer call analytics.

The size of your business will really decide which features you will need. Chances are, smaller local businesses may not need things like call analytics, so you have to do your research before to make sure you’re getting the right service for your business.

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