If you run a local service business, you know the moment: you are on a job, with a customer, or driving, and the phone rings.
If you miss it, you might get a voicemail. You might call back. You might still win the job.
But “might” is expensive.
Below are two quick ways to estimate what missed calls may be costing you:
- A simple napkin version you can do in under a minute
- A more detailed version that is still easy to use
Step 1: The napkin version (under 1 minute)
Use this when you do not know your exact numbers.
Assumptions (simple on purpose)
- About half of missed calls are real opportunities
- About one out of three opportunities becomes a job if handled well
Quick formula
Lost jobs per week (approx) = Calls per week × Missed call rate × 1/2 × 1/3
Then:
Lost revenue per week (approx) = Lost jobs per week × Average job value
Example
Let’s say:
- Calls per week: 40
- Missed call rate: 25% (1/4)
- Average job value: $350
Lost jobs per week = 40 × 1/4 × 1/2 × 1/3 = 1.65 jobs per week
Lost revenue per week = 1.65 × 350 = $578/week
Optional: zoom out
- Monthly: 578 × 4.33 = about $2,502
- Yearly: 578 × 52 = about $30,056
This is not perfect. It is designed to be fast and directionally correct.
Step 2: The simple calculator version (2 minutes)
If you can estimate one conversion number, you can get a cleaner result.
Inputs you need
- Calls per week
- Missed-call rate (percent you do not answer live)
- Conversion rate (percent of missed calls that would turn into booked work if you handled them well)
- Average job value (dollars)
Formula
Lost revenue per week = Calls/week × Missed% × Conversion% × Avg job value
Where:
- Missed% = missed-call rate as a decimal (25% becomes 0.25)
- Conversion% = your best estimate as a decimal (18% becomes 0.18)
Example
Assume:
- Calls per week: 40
- Missed-call rate: 25%
- Conversion rate: 18%
- Average job value: $350
Step by step:
- Missed calls per week = 40 × 0.25 = 10
- Lost jobs per week = 10 × 0.18 = 1.8
- Lost revenue per week = 1.8 × 350 = $630
Zoom out:
- Monthly: 630 × 4.33 = $2,728
- Yearly: 630 × 52 = $32,760
A quick note about repeat business
If customers come back over time (annual service, seasonal maintenance, repeat visits), the real impact can be much larger than the first job.
If you have a rough customer lifetime value number, use that instead of average job value.
What to do next (before you buy software)
These are practical steps that reduce missed-call loss right away:
- Set a call-back promise (example: “We call back within 15 minutes”) and follow it
- Tighten your voicemail message so you capture name, need, and best call-back window
- Define after-hours rules (urgent vs non-urgent, next-day booking, message-taking)
- Text back missed calls (example: “Saw your call. How can we help?”)
- Track one metric weekly: missed calls, and how many turned into booked work
Most businesses do not lose because they are bad. They lose because the phone workflow is not designed for real life.
Do the math yourself
Missed Call Revenue Calculator
Estimate how much revenue missed calls may be costing you.
Total inbound calls your business receives
Percent of calls you don't answer live
Percent of missed calls you would have won
Typical revenue from a single job or sale
Lost Revenue
This is an estimate. Real results vary based on call quality, competition, and follow-up.