Why Your Outbound Calls Are Losing You Money

In 2025 and 2026, data shows that over 95 percent of calls labeled “Spam Likely” are never answered. For B2B teams that rely on outbound calls, this means most sales efforts fail before a conversation even begins.

This is not a minor technical issue. It is a direct revenue problem. When calls go unanswered, leads cool off, pipelines slow down, and sales targets are missed. Picture a sales rep making 100 calls with the right list and the right message. Almost no one picks up. On the prospect’s screen, the call simply shows as “Spam Likely.” Hours of work turn into zero conversations.

Major carriers like AT&T, T-Mobile, and Verizon use strict systems to block scams and robocalls. While this protects consumers, it also means real business calls can be flagged. For B2B leaders, that single label can quietly kill answer rates and damage brand trust. Addressing this issue is essential for growth. 

This article explains why call labeling is hurting your growth, how it affects your sales funnel, what it means for your bottom line, and how businesses can take practical steps to improve call answer rates before opportunities slip away.

How Spam Labels Hurt Call Answer Rates

When carriers flag a business number as “Spam Likely” or “Unverified,” answer rates drop immediately. In many outbound programs, contact rates fall by 40 percent or more after a label appears. This happens before a prospect hears a word from your team.

Carriers track engagement signals closely. Low pickup rates and ignored calls reduce a number’s reputation score. As that score declines, labels become more aggressive. In advanced cases, calls are blocked at the network level. Therefore, teams may see SIP code 608 Rejected, which means the call never reaches the recipient’s phone.

Once this stage is reached, outbound performance cannot be fixed with better scripts or training. The problem exists upstream, inside carrier filtering systems that decide whether your call is allowed through.

The Answer Rate Problem: A Massive Revenue Leak

When a call shows up with a Spam Likely or fraud warning, most people don’t answer and recent industry research reveals just how destructive that can be:

• More than 95% of calls labeled as “Spam Likely” are never answered. Legitimate calls caught in these filters experience dramatically worse connection rates, sometimes answer rates under 5% compared to branded calls.

• In a real-world client dataset, marking calls as spam led to a 37% drop in answer rates and nearly 8,600 calls being outright blocked, compared to just a few dozen when calls showed up normally.

• Traditional outbound benchmarks now show B2B answer rates averaging as low as 12–18% in optimal scenarios; a stark contrast to even lower rates for unlabeled or flagged calls.

Every unanswered call is a dollar lost in pipeline value, and worse, a lead that cools off while your sales team waits for a callback that never comes.

Why This Matters for Your Business

Mislabeled or blocked business calls are more than an inconvenience, they are a serious revenue risk. When legitimate calls are flagged as spam, businesses face reduced answer rates, lost revenue, and operational challenges. The impact can be felt across teams, from sales reps to customer service, and even affect hiring decisions in some cases.

Key impacts of mislabeled calls include:

• Lost Revenue: Missed calls can cost businesses anywhere from $5,000 to $1,000,000, depending on size and volume.
• High Prevalence: Recent surveys from ACA show that 78% of businesses experience mislabeled or blocked calls.
• Lead Decay: When calls go unanswered, prospects cool off, respond to competitors, and conversion rates drop.
• Increased Costs: Lower connect rates raise customer acquisition costs and reduce ROI on marketing and sales efforts.
• Brand Trust Erosion: Prospects who later discover a legitimate business was flagged may hesitate to answer future calls.
• Revenue Loss Statistics: Industry research shows 81% of businesses have lost revenue due to incorrect spam labeling, and 15% report losses exceeding $100,000.

With most B2B teams relying on phone calls to qualify leads, schedule demos, and close deals, missed calls directly slow pipeline momentum. Even strong marketing campaigns fail to convert when prospects never pick up the phone. For businesses of all sizes, timely conversations are critical for growth, renewals, and expansion.

Industries Most Affected by Mislabeled Calls

Certain industries are more likely to have their outbound calls flagged or mislabeled, especially those that make a high volume of calls. Financial institutions and insurance agencies, for example, often experience lower answer rates than businesses in other sectors.

Other industries commonly impacted include:

• Telemarketing

• Sales and lead generation

• Debt collection

• Non-profits

• Real estate

• Political campaigns and polling

In addition, any business that relies heavily on outbound calls to reach clients or leads is at risk. This includes sectors such as healthcare, utilities, service providers, and financial services, where connecting with prospects quickly is critical for conversions and customer engagement.

The Psychological Impact of Unverified Numbers

However, unverified, unknown, or generic numbers trigger instinctive caution in customers. With spam, phishing, and voice scams on the rise, prospects are quick to avoid calls that seem suspicious, often before they even hear who is calling.

Here’s how unverified numbers affect customer behavior:

1. Immediate Distrust

• Fear of scams: Prospects often assume unknown numbers are fraudulent.
• Safety concerns: They worry about financial or data risks.
• Defensive stance: The caller now has to prove legitimacy before any conversation can happen.

2. Risk Aversion and Cognitive Load

• Avoidance behavior: 74%–80% of consumers skip calls from numbers they don’t recognize.
• Overestimating danger: Even legitimate calls can be ignored to avoid potential loss.
• Quick closure: Ignoring the call feels safer than figuring out if it’s real.

3. Emotional and Brand Effects

• Annoyance and fatigue: Unverified numbers add to the frustration of spam.
• Undervalued perception: Customers may feel the business is unprofessional or doesn’t value their time.
• Negative brand association: First impressions suffer when a business call looks suspicious.

4. Behavioral Consequences

• High non-response: 87% of unknown calls go unanswered.
• Lost opportunities: Legitimate leads are missed before any conversation can occur.
• Competitor advantage: Companies using branded, verified caller IDs often win because they appear trustworthy.

For B2B businesses, likely a business labels are not just an inconvenience, they actively block opportunities, slow pipelines, and reduce revenue. So, in order to connect with leads effectively, it is essential that your calls are recognized and trusted. 

How Missed Calls Lead to Lead Decay in Your Sales Funnel

When prospects ignore calls because the number looks unverified or suspicious, it doesn’t just stop at one missed connection. Each unanswered call starts a chain reaction that weakens your sales funnel.

In modern B2B sales, timing is everything. Fresh leads lose interest fast, and even qualified prospects can go cold if they aren’t engaged promptly. This is what sales teams call lead decay-the rapid loss of a lead’s interest or value over time when follow-up is delayed or never happens.

The Opportunity Cost of Missed Connections

Every unanswered call is a lost opportunity:

• Voicemail dead-ends: A qualified lead that goes to voicemail may never respond.

• Hot leads turn cold: While SDRs wait for callbacks, prospects lose interest.

• Competitor advantage: Follow-ups shift to email, but by then prospects may already be evaluating alternatives.

Impact on the Sales Funnel

Sales pipelines rely on a steady flow of conversations. A drop in call answer rates means:

• Fewer qualified opportunities

• Lower conversions

• A pipeline that slows down and weakens over time

Marketing Spend at Risk

Missed calls don’t just hurt sales, they waste marketing dollars. Every lead generated is an investment, and when a call isn’t answered, that investment loses value. Simply put, unverified numbers not only reduce answer rates but also accelerate lead decay and quietly drain revenue before the sales team even has a chance to pitch.

Solutions to Mislabeled Calls

Mislabeled calls can frustrate any business, but there are clear steps you can take to minimize their impact and improve call answer rates.

Some effective strategies include:

• Proactive phone number monitoring: Keep track of your outbound numbers to ensure they are recognized and not flagged. Accurate Caller ID increases the likelihood that prospects will pick up.
• Branded Caller ID (BCID): Display your company name and logo on the recipient’s phone. This builds trust, improves answer rates, and offsets the costs of mislabeled calls.
• Ethical dialing practices and data hygiene: Maintain clean, up-to-date contact lists and follow regulations for outbound calls to reduce spam flags.
• Register your business number with carriers: Verifying your number with carriers decreases the chance of being mislabeled as “likely a business” or “spam” and strengthens your caller reputation.

Explore How A Professional Caller ID Correction Service Can Help

At Likely A Business, we help businesses take control of their outbound calls. Our Caller ID Reputation solutions allow you to identify flagged numbers and improve your call recognition, helping to reduce mislabeled calls by up to 95% within the first month.

Take the first step toward better answer rates and stronger customer connections. Reach out to our team today to learn more and get a personalized plan for your business.