Free calls to 0845 numbers

From 16 January 2009, 14 million BT customers with any of their call inclusive packages will benefit from free calls to 0845 and 0870 numbers.

Currently, BT subscribers pay up to 5.8p a minute for 0870 numbers and up to 1.96p a minute for 0845 numbers, with an additional call set up fee of 7p.

The move will see 0845 and 0870 numbers classified in the same way as standard landline numbers and included in call inclusive packages for home users. A spokesman from BT said that the move will cost tens of millions of pounds, but that the company had decided to give their customers what they want.

We at ITC believe these changes are an astute marketing move by BT. The proposed Ofcom restructuring of 0870 call pricing (where calls to 0870 numbers will be reduced to the same price as calls to a landline number) have been repeatedly delayed since January 2008 but are presently expected to be introduced in Spring 2009. By taking the initiative and making this move now, BT is taking a calculated and limited risk as any financial losses are likely to be short term, whilst being seen to take the lead amongst the big players.

Background

The inclusion of 0845 numbers in BTs call minute packages is warmly welcomed by ITC. It has, however, always been difficult to understand why service providers have historically excluded calls to 0845 numbers (costing 1.96p per minute) from call packages whilst including landline calls which often have comparable call rates.

We at ITC believe that the exclusion of all 08 numbers from call inclusive packages was to retain the revenue levels generated from these services. We feel that this move from BT is a good step in the right direction but should be extended to cover other services such as 0844 which is now widely advertised.

We hope that this move by BT will encourage other service providers offering call inclusive packages to include 0845 and other ‘08’ numbers as part of their package.

Good news for 0845 Users

In the longer term, this pricing change by BT may mean a resurgence of popularity for 0845 numbers. Ofcoms last review of non-geographic numbers had seemed to indicate the coming demise of 0845 numbers; 0845 dial up internet services are declining and the new 0345 range heralded as the likely replacement. These changes will go a long way to improving the public perception and image of the popular 0845 range.

0845 could now be the ideal non-geographic service for customers and companies alike; 0845 is free to call for the 14.5 million BT customers, 0845 allows organisations to offer excellent customer service through the use of intelligent network routing (disaster recovery, divert on engaged, tailored call statistics, detailed billing etc). For the company advertising 0845 numbers there are no call charges to receive 0845 calls as there are with 0800 and 0300 calls.

The Future?

With this positive mood in the air our next question is whether this model will extend to the mobile network providers? A very welcome move would be to include 0800 numbers in mobile call packages. (Calls to 0800 “Freephone” numbers can currently cost over 20p per minute when calling from a mobile phone).

Independent Telecommunications Consultants
15th January 2009

Back to News »