Toll-free telephone number

A toll-free, Freecall, Freephone, 800, 0800 or 1-800 number is a special telephone number which is free to the calling party, and instead the telephone carrier charges the called party the cost of the call. A toll-free number is assigned from a special dialing prefix range (also known as area code) such as 1-800.

The price of the call to the called party is usually based on factors such as the amount of usage, the number experiences, the cost of the trunk lines to the facility, and possibly a monthly flat rate service charge.

Contents

History

'Freephone' services appeared in the United Kingdom in the 1960s, with the Post Office introducing such a facility in 1960.[1] A toll-free service was originated in the United States on May 2, 1967 by AT&T as an alternative to collect calling and to reduce the need for operators. AT&T referred to the service as IN-WATS, or Inward Wide-Area Telephone Service (see WATS lines). The first company to use toll-free lines hosted numbers for major companies. Americana Hotels, Budget Rent a Car, Hyatt Hotels, Marriott Hotels, Roadway Inns, Sheraton Hotels, and Quality Inn were a few of the major companies hosted. They grew very quickly but still went out of business. When this happened, all the major players reacted by leasing space in and behind that original Call Center location (93rd and Bedford in Omaha, Nebraska) in strip malls so they could continue to answer their toll-free calls and also rehire the already-trained staffing and management. Northwestern Bell and AT&T dedicated staff to the 'Res City' area and their staff actually had offices located in the same strip malls to help make the transition and service the accounts going forward. That corner of 93rd and Bedford became known as 'Res City' because of all the Call Centers taking reservations there.

As the Call Centers continued to compete for the same talent pool, the larger chains relocated into buildings specifically built for them near the area while others moved outside of the state to avoid the direct competition for staffing.

Northwestern Bell and AT&T continued to cater to the businesses in Omaha and would activate service within 24 hours for clients in Omaha, giving Omaha a major advantage over other locations that would have to wait weeks for service. In 1983, Northwestern Bell and AT&T in conjunction with Telesystems and First Data Resources/WATS Marketing, developed a method to use Direct Inward Dialing (DID) to handle traffic so Call Centers no longer had to have dedicated lines or trunk groups as they are called, to handle each telephone number. This was a major improvement in Call Center call flow design and this type of called number identification is still used by Call Centers today.

Roy P. Weber from Bridgewater, New Jersey was the inventor of the second-generation 800 toll-free number system in 1978. Weber's U.S. Patent No. 4,191,860 was filed July 13, 1978 and issued March 4, 1980 and assigned to AT&T. AT&T started to use this new technology from the Weber patent in 1982. Weber's invention was called 'Data Base Communication Call Processing Method' ... more commonly called today a 'Toll-Free Call' or '800 Call'.[2]

Growth of 800 toll-free numbers as a business tool

From 1967 to the AT&T breakup in 1984, AT&T had an absolute monopoly on assigning 800 numbers to subscribing customers. Billing during that period was based on average hours usage per line per month. This type of billing required users to adjust their active lines based on actual peak hour usage to avoid buying hours at higher low tier rates. Usage would average 13-15 cents per minute depending on the traffic being billed.

From 1984 to 1993 Toll-Free customers were locked into a system that led them to the telephone carrier like AT&T or MCI that assigned them their 800 number. To increase competition, the FCC, in 1991, ordered the implementation of 800-number portability by May 1, 1993. 800 Number Portability means that toll-free numbers are not associated with a particular telephone carrier such as AT&T or MCI. 800 subscribers can switch to another carrier without changing their toll-free number. Before toll-free number portability, toll-free subscribers were locked into their carriers. They could not change those carriers without changing their 800 numbers. Starting in the early 90s, Toll-Free 800 Service became a viable business tool with the use of Vanity Numbers such as 1-800-FLOWERS. With these changes, rates have continued to fall and the majority of large users are now buying toll-free services for less than 2 cents per minute. Toll-free has become so popular that the 800 area code ran out of available numbers, so additional area codes (currently, 855, 866, 877, 888) were added to meet increased demand.

In 1985, British Telecom in the United Kingdom started using 0800 (Freefone) and 0845 (local-rate) numbers.[3]

Toll-free vanity number for branding & direct response

A toll-free vanity number, custom toll-free number, or mnemonic is a 1-800 telephone number that is easy to remember because it spells something and means something like 1-800-FED-INFO. A vanity number, being a phoneword, is easier to remember than a numerical phone number such as 1-866-348-7934. Businesses use easy recognizable 1-800 vanity numbers as both a branding and a direct response tool in their advertising (radio, television, print, outdoor, etc.).

Vanity numbers have some disadvantage for users of some advanced mobile devices. Some smartphones do not have the apportioned letters on the keys used for dialing, so one is unable to do alphabetic dialing without some other cross-reference to the actual phone number. This can be overcome by phonewords also being accompanied by the actual numeric phone number, allowing users of such smartphones to dial using the numeric phone number.

North America

Toll-free numbers in the North American Numbering Plan (NANP) are sometimes called "One-800 numbers" after the original area code which was used to dial them. They include the area codes 800 since 1967, 888 (since 1996), 877 (since 1998), 866 (since 2000) and 855 (since 2010). Area codes reserved for future expansion include 844, 833, 822, 880 through 887, and 889.

Some regular area codes may be deceptively similar to toll-free prefixes (e.g., 801, 818, 860, etc.). These similarities have also been exploited by fraudsters in international locations that can be direct-dialed with what appear at first glance to be domestic area codes, including 809, 829, and 849, which are official prefixes for the Dominican Republic and 876 which is the area code for Jamaica. Toll-free numbers are also sometimes confused with 900-numbers, for which the telephone company bills the callers at rates far in excess of long-distance service rates for services such as recorded information or live chat.

These toll-free numbers can normally be called from any phone in Canada or the US, though the owner (and sometimes the provider) can put restrictions on their use. Sometimes they accept calls only from either Canada or the US, or even only from certain states or provinces. Some are not accessible from payphones. Calls from payphones assess the toll-free owner an additional fee in the USA as mandated by the FCC. Although toll-free numbers are not accessible internationally, many phone services actually call through the USA, and in this case the toll-free numbers become available. Examples of these services are the MCI Worldphone international calling card and Vonage internet telephone. However, many calling card services charge their own fee when their toll-free numbers are used to make calls, or when their toll-free numbers are used from pay phones.

When a NANP telephone number is written or printed as an international number, the number should be prefixed by a "+1" and a space, e.g.: +1 555-555-5555. The groups of digits within the NANP number should be visually separated by dashes, spaces or periods per ITU-T Rec. E.123 to make them easier to recognize and remember. However, when writing toll-free numbers that are not accessible from other countries, in order to make it clear that the initial 1 is not a country code, the plus-sign (+) and space should not be used, e.g. 1-800-xxx-yyyy. Restrictions (such as the number is not available from pay phones, cell phones, Canada, or other countries) should also be stated with any listing, but often are not. Although phone companies do not charge the caller for any toll-free number, charges may be billed by the recipients of these calls by some other method.

From many countries (such as the UK), US toll-free numbers can be dialed, but the caller first gets a recorded announcement that the call is not free; in fact, on many carriers, the cost of calling a 'toll-free' number can be higher than to a normal number.

US toll-free numbers could at one time be accessed from certain other NANP countries on a paid basis by replacing the 800 by 880, 888 by 881, and 877 by 882. Thus, to reach 1-800-xxx-yyyy from a NANP country where it was blocked, 1-880-xxx-yyyy could be dialed. This is no longer true; areas codes 880, 881 and 882 have since been reclaimed for future use.

In addition, US toll-free numbers may be accessed free of charge regardless of the caller's location by some IP telephone services.

How toll-free calls are handled by operators

In the US and Canada, both interexchange carriers (IXCs) such as Sprint/Nextel, AT&T, and Verizon, and Local Exchange Carriers (LECs) such as Verizon and AT&T offer toll-free services.

The format of the toll-free number is called a non-geographic number, in contrast to telephone numbers associated with households which are geographic. (Since the advent of cell phones (1985) and Internet phone services such as Vonage (2002) households can have any area code in the USA—it is still geographic in the sense that calls from that area code are considered local, but the recipient can be physically anywhere). In the latter case, it is possible to determine an approximate location of the caller from the area code (e.g. New York or London). Toll-free numbers in contrast could be physically located anywhere in the world.

When a toll-free number is dialed, the first job of the telephone operator is to determine where the actual physical destination is. This is achieved using the intelligent network capabilities embedded into the network.

In the simplest case, the toll-free number is translated into a regular geographic number. This number is then routed by the telephone exchange in the normal way. More complicated cases may apply special routing rules in addition such as Time of Day routing.

Toll-free numbers are specific to each country. For example, a Sweden Toll-free number starts 020 and in Ireland, Thailand or Australia a Toll-free number would start with 1800-xxxxxx.

Technical description of toll-free number routing in the U.S.

The IXCs generally handle traffic crossing boundaries known as LATAs (Local Access and Transport Areas). A LATA is a geographical area within the U.S. that delineates boundaries of the LEC. LECs can provide local transport within LATAs. When a customer decides to use toll-free service, they assign a Responsible Organization (RESPORG) to own and maintain that number. The RESPORG can be either the IXC that is going to deliver the majority of the toll-free services or an independent RESPORG.

Taking a closer look, when a toll-free number is dialed, each digit is analyzed and processed by the LEC. The toll-free call is identified as such by the service switching point (SSP). The SSP is responsible for sending call information to the service control point (SCP), routing the request through at least one signal transfer point (STP) in the Signalling System 7 (SS7) network. SS7 is a digital out-of-band method of transmitting signaling (call control) information in the Public Switched Telephone Network (PSTN). The SS7 network is a packet-switched network carrying signaling data (setup and tear down of the call and services) separate from the circuit-switched bearer network (the payload of the telephone call) in the AIN services network. The SSP asks the SCP where to send the call.

The LEC will determine to which IXC that number is assigned, based on the customer's choice. Toll-free numbers can be shared among IXCs. The reason a customer might do this is for disaster recovery or for negotiating a better price among the carriers. For example, a customer may assign 50% of their traffic to Sprint and 50% to AT&T. It's all up to the customer.

Once the LEC determines to which IXC to send the call, it is sent to the IXCs point of presence (POP). The IXCs SCP must now determine where to send the call. When it comes to routing, the SCP is really the brains of the long distance network. Once the final determination of where the call is supposed to go is completed, the call is then routed to the subscriber's trunk lines. In a call center or contact center environment, the call is then typically answered by a telephone system known as an automatic call distributor (ACD) or private branch exchange (PBX).

The subsequent routing of the call may be done in many ways, ranging from simple to complex depending on the needs of the owner of the toll-free number. Some of the available options are:

All of the above routing features are sometimes referred to as static routing features. These routes are put in place and are not usually changed. If changes are required, a customer usually has several options to make changes. A customer can call the IXC or an independent RESPORG directly via a special toll-free number to make changes, or a customer may be able to make changes through direct access to the network via a dedicated terminal provided by the IXC.

China

800 toll-free numbers

400 toll-free numbers

Differences between 800 and 400 numbers in China

Australia

Toll-Free (usually referred to as Free Call or Free Phone)

Local Rate numbers

A system similar to 1800 numbering exists where 6 or 10 digit numbers prefixed with 13 (one-three), 1300 or 1301 (colloquially one-three-hundred) can be called at local call rates regardless of location.

Mobile phones

United Kingdom

In the United Kingdom, toll-free telephone numbers are known as "Freefone" numbers and begin with the prefixes 0800, 0808 or the old C&W range of 0500. 0800 is the most common used prefix. Additionally, numbers in the range 0808 80xxxxx are reserved for not-for-profit helplines.

Since Orange UK introduced charges for dialing freephone numbers in December 2005, all British mobile networks (excluding giffgaff[7]) now charge for calls to freephone numbers, with certain limited exemptions (notably Childline). The UK mobile operators offer an alternative product to organisations who wish to provide toll-free services - 5-digit voice short codes which are sold through mobile aggregators.

Freephone numbers can be obtained for free, with calls charged from 1 penny per minute. Toll-free calls are also still available via the operator, although largely superseded by the 0800 system - a commonly seen phrase in advertisements was "Dial 100 and ask for freephone <business name>".

Universal International Freephone numbers

A Universal International Freephone Number (UIFN) is a worldwide toll-free "800 number" issued by the ITU. Like the 800 area code issued for the NANP in the U.S. and Canada, the call is free for the caller, and the receiver pays the charges (except on certain cell phones). UIFN uses ITU country code 800, so that no matter where the caller is, only the international access code (IAC), the UIFN country code (800) and the 8-digit UIFN need to be dialed. Currently, about 60 countries participate in the UIFN program.[8]

Freephone around the world

Countries around the world use different area codes to denote toll-free services in their own networks. Some examples are:

See also

References

  1. ^ BT Plc. "BT Archives (1960)". BT Plc. http://www.btplc.com/Thegroup/BTsHistory/1912to1968/1960.htm. Retrieved 11-May-2009. 
  2. ^ Roy P. Weber. Data base communication call processing method. US patent 4191860. Filed Jul 13, 1978. Issued Mar 4, 1980.
  3. ^ BT Archives:Events in Telecommunications History:1985 BT Group. Accessed 23 Aug 2011.
  4. ^ Australian Government Department of Broadband, Communications and the Digital Economy (2009-05-21). Policy and Legislation: Numbering: Numbering Plan. Accessed on 2009-06-23.
  5. ^ "Annual numbering charges". ACMA. http://www.acma.gov.au/web/STANDARD//pc%3DPC_2467. 
  6. ^ "Auctioned". ACMA. http://www.smartnumbers.com.au/smartnumbers/action/viewHome. 
  7. ^ giffgaff prices:UK tariffs who are a SIM-only mobile phone company giffgaff.
  8. ^ List of countries International Telecommunication Union. Accessed 24 Aug 2011.
  9. ^ "Toll-free lines - Green Line - 800". O2. http://www.o2.cz/podnikatel/en/toll-free-lines/88638-zelena_linka.html. Retrieved 21 July 2011. 
  10. ^ http://www.ofta.gov.hk/en/numbering/no_plan/2009/200903.pdf
  11. ^ http://www.comreg.ie/_fileupload/publications/ComReg0802.pdf ComReg numbering plan information

External links