How Local Presence Dialing & Caller ID Affect Global Answer Rates (2021 Data)

Modern day business communications require a local touch to succeed. Decision makers know that local presence dialing with local VoIP service unlocks big benefits for businesses, including local caller ID during international calls. But how valuable are the benefits? The data is in, so it's time to find out what local voice service does for business in international markets. 

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Effective Global Outreach Starts with a Local Voice

You know the old saying, “It’s not what you know, it’s who you know.” Connections are important in life and in business. When it comes to sales, local connections take on increased importance. People want to buy from others close to them. Whether it’s a mom-and-pop store or a corporation that started locally but has since grown to serve a global customer base, everyone loves to support the hometown team. 

But before they’ll listen to your pitch, or believe that your business will support them in return, potential customers want proof that you’re local to them. They want to feel like someone who cares about the same places they care about, and who might know the same people they know, is taking care of them, even if that person is actually a continent away. That’s where local presence dialing and caller ID service provides a boost to your outbound calling strategies.

What is Local Presence Dialing?

So how does your international business magically appear local in your most important markets? One of the easiest, effective methods is adoption is through local presence dialing. 

Local presence dialing, or local voice termination, is a service where businesses making outgoing calls can control the caller ID (CLI) displayed to the recipient. This allows inside sales reps or call center agents dial outbound calls while appearing to be from the same local area code as the call recipient. Local presence calling dramatically improves a business' contact rate, or the percentage of outbound calls that are answered by prospects. As agents make calls, they appear to be calling from a local business. 

The idea behind local presence dialing is that when call recipients see a local caller ID, they’ll be more likely to answer the call - and your sales rep or call center agent will be more likely to complete a transaction. It's no wonder why local caller ID service is the most popular reason for companies to seek this solution, but there are several more benefits for partnering with a modern local voice provider.

Local Presence Dialing vs. Caller ID Spoofing

Unlike caller ID spoofing, a tactic used by fraudsters to fake a phone number during outbound calls, local presence calling implies a partnership with a local telephony network to carry out your calls. In addition to local caller ID controls, partnering with a local VoIP phone service ensures you hear the best call quality possible during calls and usually results in lower total calling costs once you're set up.  

Local presence is normally referenced when discussing outbound calling strategies, but the service can be used for inbound calling as well. Using this service for incoming calls is known as local VoIP origination while the outbound component is known as local voice termination. AVOXI's TrueLocal numbers are an example of 2-Way Voice, which means your calls both originate and terminate using a local VoIP network. 

Why are Companies Relying on Local Presence Calling?

So why has local presence calling become such a necessity lately? For starters, partnering with a local voice network includes the benefits of local caller ID as well as superior call quality and reliability. The second reason, and arguably the more important on, is the overwhelming improvement in answer rates companies see when they adopt local presence (more on that soon). But what prompted the need in the first place?

Changes in customer expectations were already pushing international communications in this direction, and those trends continue accelerating faster and faster since the global migration to virtual communications. Recently gathered data around consumer expectations for business interactions paint an interesting picture:

  • Decline in consumer trust due to fraud. 40% of the billions of robocalls made each month are fraudulent. Consumers are suspicious of incoming calls, rarely answering calls from unfamiliar area codes.  
  • Customer visibility is at an all-time high. 80% of customers say experiences provided by a company are as important to them as its product. 
  • Customers answer their phones less often. Three out of four calls are unanswered due to unfamiliar area codes. Calls are even less likely to be answered when displaying an international caller ID. 
  • Contact rates are down, but the phone is still king. While companies use more digital channels than before, the phone is still king for revenue-generation. Phone conversations are 10x more likely to lead to sales than email. 
  • Modern communication systems must support remote teams. 76% of support functions are now fully remote, with remote marketing positions on the rise. Small businesses and large corporations alike implement cloud-based solutions so they can easily manage their phone numbers, agents, and call flows from anywhere in the world.

The Universal Benefits of Local VoIP Termination

Why are so many companies jumping to local presence dialing? Does local presence dialing actually work and is it really necessary? If you want to boost your answer rates and your transaction success rate, it sure is! Here are the most prominent benefits of local presence dialing.

Familiarity Sets a Comfortable Tone for Your Conversation

People like talking with someone with whom they have something in common, and geography is a strong unifier. Our homes define us. When we think we’re talking with someone else from our “home”—whether that’s someone from our neighborhood or our larger area code—we feel like we belong. When your team reaches prospects from a local number, you’re implying to those prospects that your business belongs in the hometown of their mind, and they can belong with you, too. 

Amazing Call Quality Standards Start with Local VoIP Networks

When working with a VoIP provider to make calls using local presence, you’ll gain access to quality call services backed up by multiple server locations and extensive backup systems. VoIP offers increased call quality and stability over analog systems. If you’re running call operations in multiple countries, choosing a VoIP service with local presence dialing is a more stable choice than contracting with local carriers and relying upon the PSTN.

Prospects Actually Return Calls to Local Area Codes

Wouldn't it be nice if prospects ever returned your missed calls? Of course it would! And if that seems like a fairy tale, you know you've never used a local presence dialing system before. Local caller ID services multiply the number of times customers actually call back, which comes as no surprise. If people are less likely to answer calls from unfamiliar area codes, of course they are less likely to return a missed call to unknown numbers. When call recipients see a local number on their missed calls list, they’re more likely to call it back.

That becomes even more apparent when it comes to international dialing. If your company does international outreach, you already know how essential local caller ID if you ever expect prospects you miss to call you back. 

Local Caller ID Brings Game-Changing Benefits for Outbound Sales

People prefer doing business with people they know. And in the US & Canada, people are more wary of potential fraudsters than ever before. The logic behind local caller ID service seems sound, and data from other organizations supports that. For example, a recent SoftwareAdvice survey found that people are four times more likely to answer calls from local area code numbers than toll-free numbers. That’s incredible! The survey also found that 27% of participants are likely to answer calls from local numbers they do not recognize, but that drops to 7% for unknown toll free numbers and even lower when they see "unknown caller" or an international number as the caller ID. 

Statistically speaking, that data shows a significant difference. Personally speaking, that difference is mind-blowing! But that survey is focused on participants in the US & Canada. But, what's the effect of local presence dialing in international markets?

How Local Caller ID Affects International Answer Rates

Since the launch of TrueLocal, AVOXI's local voice service or originating and terminating calls, we've monitored our network data closely to track the success of local caller ID service during international calls. And so far, the data is loud and clear. Callers in every country we offer TrueLocal presence in are more likely to answer the phone and return calls when it's a familiar area code calling them. Stand out examples from our global network include:

  • Customers in China are 10x more likely to answer calls from companies using local numbers. 
  • Customers in Costa Rica are 3x more likely to answer calls from local phone numbers.
  • Customers in Singapore are 15% less likely to answer calls from non-local area codes. 
  • Customers in the United States are 10% less likely to answer calls from unfamiliar area codes, including local area codes from different states. 

As you can see, TrueLocal has a not-so-subtle effect on international answer rates! That's been especially true for APAC and EMEA regions, in part because there's a higher likelihood of strange caller ID issues during international calls to those regions. And with STIR/SHAKEN changing the rules for VoIP termination the US and Canada, the importance of local VoIP termination in the world's largest market continues to evolve.  

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Go Deep with the Experts on the Global Benefits of Local Phone Service

Interested in diving into the data with us while learning how other global companies use local presence dialing in their business? Check out Look Local, Sell Local: How to Increase Your Global Call Answer Rate. In this short webinar, our experts show you how to leverage your voice calls to better connect with customers and increase engagement. The webinar covers popular questions like:

  • How to improve your answer rates in popular but difficult markets like Australia, China, Russia, Singapore, and more. 
  • Why your calls sometimes show "unknown" or "international" caller ID, and how to avoid caller ID issues when dialing abroad.
  • How to avoid long approval times with local regulators, as well as security risks and fraud attacks on your numbers. 
  • How to reduce the total costs of communications while expanding your reach.
  • How to get professional looking phone numbers in 170+ countries within minutes.

Who Uses Local Presence Phone Service?

Looking for some inspiration for how to get the most of out your local presence phone service? Let's start with the organizations that leverage local VoIP termination most often. Today, the kind of organizations that get the most use out of local presence phone service includes:

  • BPOs & Call Centers: Since BPO call centers own sales and support call responsibilities for large organizations, and they are often located out-of-country, it's no wonder why they prioritize partnerships with local voice termination providers in their target markets. Learn more telecom solutions for BPOs & call centers →
  • Outbound Marketing & Sales Teams: Any department whose operations consist of reaching leads by phone want to put their best foot forward by appearing to be local, and thus, somewhat familiar from the start of their pitch. Learn more about the role of local caller ID in outbound sales strategies →
  • Unified Communications: Many companies providing unified communication solutions use local presence to connect people from around the world. But more often than not, they are reselling services from a local VoIP provider in the regions they can't support. So if you're using local caller ID in markets like APAC, you may already be using AVOXI's services! Learn more about unifying you communications with SIP trunking →
  • Sales Enablement Platforms: Still not convinced that local presence is essential for outbound sales? Just look at what the leading sales enablement platforms prioritize. After reviewing the data, it's no surprise that platforms like SalesLoft partner with local voice providers so they can offer local presence dialing in their platform. Learn voice API for embedded communications →

The Reliable Choice for Local VoIP & Caller ID Service

Interested in reliable, high-quality voice termination around the world? If that's a yes, you're in the right place! We encourage you to continue using our free resources to educate yourself and arm yourself with the knowledge you need to make a confident, competent decision about your voice termination providers. And when you're ready to compare carriers, we hope you'll consider AVOXI during your search.

AVOXI is here to deliver the highest ROI for any organization we partner with. No overly complicated buzzwords or sales hocus-pocus; if we aren't confident we're the best voice provider for your needs, we'll help you find the best fit even if that means pointing you towards a different solution. The reason so many organizations trust AVOXI as their voice termination provider include:

  • Secure & Reliable Global Voice Network. Transport Layer Security (TLS) and Secure Real-Time Transport Protocol (SRTP) encryption, plus 24/7 fraud monitoring and live support, helps ensure the highest level of security for calls. 
  • Exceptional Call Quality Globally. Our resilient global network delivers an average MoS score of 4.2 for international traffic, thanks to 50+ local carrier connections and optimized routes for minimum call congestion and packet loss.
  • Outbound Calling with Local Caller ID. AVOXI's TrueLocal 2-Way Voice Numbers, which include local VoIP termination & origination, are now available in nearly 30 countries!
  • Affordable Local VoIP Rates. No carrier but AVOXI consistently delivers reliable, high-quality audio at such affordable rates globally. Talk to us today for our latest local VoIP termination rates.
  • Unmatched Global Number Coverage. Provision and configure routing rules in minutes for any of our 40K numbers in inventory, all from one intuitive user interface. We provide inbound numbers in 170+ countries, including local caller ID service in regions most providers just can't reach.
  • International Porting Expertise. When other carriers say it can’t be done, our world-class porting team finds a way. Our international porting team can transfer numbers in over 100 countries and regions at no cost. 

Go Global with Local Voice Today

Ready to see what local voice termination with caller ID can do for your organization? We appreciate your interest! Talk to us today to schedule a dedicated demo or to request our A-Z local VoIP termination rates.