Business Communication 
Business owners know the paradox well: you want the phone to ring because it means new business, but you dread the ring because it interrupts the work you need to do.
Incoming calls can be overwhelming. Yet, missing them is not an option as 67% of customers hang up in frustration if they can’t speak to a real person, and most won’t call back.
To solve this, businesses turn to a virtual receptionist. But before you hire a remote employee, you need to know that the definition of this role has changed. It’s no longer just about hiring a person to sit in their home office answering your phones; today, AI receptionists, powered by AI technologies, can handle the same tasks faster, cheaper, and with zero wait times.
This guide will explain what a virtual receptionist is, how it works, and compare the human live option against the digital alternatives like Nextiva XBert.
What Is a Virtual Receptionist?
A virtual receptionist is a service — either a remote human professional or an AI-driven system — that manages your incoming calls and customer interactions from outside your office. Unlike a traditional on-site or front-desk employee, a live virtual receptionist works remotely — from a home office or a call center — using VoIP technology to answer phones as if they were in the room with you.
Virtual receptionists act as an extension of your team, so no live call goes to voicemail, and every caller feels heard.
What Does a Virtual Receptionist Do?
Whether human or AI, a virtual receptionist handles the administrative functions and busy work of call management with high-quality call answering services.
- Answering & routing: Picking up phone calls instantly and directing them to the right department using call forwarding.
- Appointment scheduling: Booking consultations or meetings directly into your calendar.
- Screening: Filtering out spam and scheduling appointments across systems using integrations like calendars or CRM tools.
- FAQ management: Answering common questions like “What are your hours?” or “Do you take insurance?” often with notifications or automated sms responses.
- After-hours support: Capturing leads and assisting callers even when your office is closed.
4 Key Benefits of a Virtual Receptionist
Why are businesses moving away from in-house receptionists?
24/7 availability
Human employees work fixed hours. A virtual receptionist (especially an AI or an automated answering system) is available round the clock. It captures inquiries outside of regular business hours, which can be particularly valuable as many potential clients search for your services after work. It supports your business needs by ensuring callers reach your business number without delay.
Professional image for small teams
A busy signal or a standard beep annoys customers. A virtual receptionist offers small businesses more capacity, gives a strong first impression, and a more professional image by greeting callers with a brand-appropriate script — regardless of the actual size of the business.
Cost savings
Hiring a full-time receptionist incurs costs for salary, benefits, payroll taxes, and equipment. A virtual reception is a cost-effective service that converts these fixed costs into variable costs — you only pay for incoming calls.
- Average in-house cost: $3,500/mo
- Average virtual/AI cost: $50–$500/mo
Distraction-free productivity
When your team isn’t constantly distracted by customer calls, productivity increases. A virtual receptionist acts as a gatekeeper and streamlines daily operations, ensuring that only important calls get through.
Virtual Receptionist vs. Virtual Assistant: What’s the Difference?
A quick comparison shows the difference between call handling support and general admin work. These terms are used interchangeably, but describe two very different roles.
| Feature | Virtual receptionist | Virtual assistant (VA) |
|---|---|---|
| Focus | External (Inbound Calls) | Internal (Admin Tasks) |
| Key tasks | Answering phones, routing calls, booking appointments for new clients. | Managing email inboxes, data entry, research, travel booking. |
| Availability | Available on-demand ( 24/7) to answer incoming calls immediately. | Works set hours (e.g., 9-5), focusing on a task list. |
| Best for | Sales, customer support, and front-desk coverage. | Back-office support and executive assistance. |
Verdict: For higher call volumes, you need a virtual receptionist. For higher email volume, you need a virtual assistant.
The 3 Types of Virtual Receptionists: Human vs. Online vs. AI
Most business owners confuse virtual receptionists with auto attendants or online virtual receptionists. With the launch of AI, there are now three distinct choices. Here’s how they compare:
| Feature | Virtual receptionist (human) | Online virtual receptionist (software) | AI receptionist |
|---|---|---|---|
| What is it? | A real person answering calls from a remote location. | A menu phone system that intelligently routes calls. | An intelligent AI that converses naturally, books appointments, and answers questions. |
| Availability | Usually, business hours (24/7 costs extra). | 24/7 included. | 24/7 included. |
| Customer experience | High empathy; great for sensitive calls (medical/legal). | Efficient and functional; no hold times. | Conversational and instant; feels human but without the wait. |
| Key limitation | Expensive; callers may wait on hold if queues are full. | Robotic; cannot answer complex questions. | Requires initial setup to teach it your business knowledge. |
| Cost | High ($200–$3,000/mo) | Low (included in phone plans) | Mid (usage-based per interaction) |
| Best for | Medical practices or law firms dealing with sensitive, high-emotion calls where human empathy is non-negotiable. | Small businesses that simply need to route calls to the right person. | High-growth businesses that want the human feel without the human cost. |
Virtual Receptionists: Pros and Cons
Before hiring a live answering service, weigh the benefits against the limitations.
Pros
- Professional image: Gives small businesses a professional feel.
- Focus: Frees up your internal team to focus on deep work without constant phone interruptions.
- Lead capture: Ensures you don’t miss potential clients, even during lunch breaks or holidays.
Cons
- Costs can creep in: Most virtual receptionists charge by the minute. If you have a busy month, your bill can double unexpectedly.
- Lack of context: Outsourced receptionists may not know your specific products or culture, leading to generic responses that frustrate callers.
- Human error: Live agents can get sick, take breaks, or mishandle transfer details.
How Much Does a Virtual Receptionist Cost?
The price gap between human services and software solutions is massive.
Live agent pricing
Most live answering services operate on a per-minute or per-call basis.
- Per minute: Rates can range from $1.50 to $3.00 per minute.
- Monthly retainers: You might pay $300/month for 100 minutes. If you go over, overage fees apply.
- Hidden cost: You pay for the time the agent spends typing notes after the call hangs up.
Flat rate & AI models
Nextiva, for example, offers a more predictable pricing model through its business phone plans and its AI add-ons.
An online virtual receptionist (auto attendant) is included for free in Nextiva’s business phone plans, where the auto attendant manages unlimited call handling for your entire business. Nextiva’s higher-tier plans unlock more AI capabilities.
For businesses that need more than just routing, AI receptionist software like Nextiva’s XBert is available at a flat/usage-based fee. Unlike human agencies with high hourly minimums, Nextiva’s AI usage is billed efficiently based on interactions, keeping costs low.
Who Needs Virtual Receptionists? Common Industry Use Cases
Virtual receptionists are used in many industries and by companies of all sizes. Any business with incoming phone calls — whether handling them internally or outsourcing them to a call center — can benefit from virtual receptionist services. However, a few industries frequently use virtual receptionists for distinct purposes.
Law firms and legal
Law firms lose revenue when attorneys stop their work to answer calls that do not require legal expertise. A virtual receptionist screens every incoming call and separates new cases from routine administrative questions. It moves billing inquiries, document requests, and scheduling issues to the support team. This keeps the attorney’s time centered on case preparation and client representation.
It also improves how new client leads are handled. Potential clients reach the right attorney without waiting on hold or navigating long menus. Court officials and time-sensitive case updates are routed immediately to transfer calls without delays. The firm responds faster, captures more qualified clients, and avoids interruptions that reduce productivity.
Healthcare and dental
Healthcare clinics face heavy call traffic during peak hours. Front-desk staff must manage check-ins, patient questions, and appointment changes at the same time. A virtual receptionist handles these calls without slowing down in-office operations. For example, Nextiva XBert manages overflow and syncs with the clinic’s scheduling system to book or reschedule appointments automatically.
This system reduces wait times for patients and keeps reception areas more organized. Staff stay focused on people inside the clinic while the virtual receptionist processes new bookings, confirms upcoming visits, and answers common questions about hours or insurance. The result is a smoother workflow and a more consistent patient experience.
Home services (HVAC, plumbing, electrical, real estate)
Home service teams often work in locations where answering the phone is not possible. Missed calls mean lost jobs. A virtual receptionist separates emergency requests from general inquiries. An Auto Attendant with “Find Me/Follow Me” routing keeps technicians reachable. Urgent calls (Press 1 for Emergency) ring their mobile phones, while non-urgent billing questions (Press 2) go to voicemail or support staff. This ensures the business does not lose qualified leads when the team is in the field.
It also organizes incoming work as customers get clear instructions, rapid confirmations, and dependable follow-up. The technician arrives at the job with complete information, and the office avoids long call queues. This structure improves response times and helps small service teams manage higher demand without adding new staff.
Retail and e-commerce
Retail and e-commerce businesses experience large spikes in “Where is my order?” calls during busy seasons. A virtual receptionist connects directly to order and tracking systems and gives the customer accurate, real-time updates. It resolves most status-related questions before they reach a human agent.
This frees support teams to focus on refunds, product issues, and escalations. Customers receive faster answers without waiting in long queues. The business improves service quality during high-volume periods and reduces the strain on its internal teams.
Real estate brokerages
Real estate agents spend much of the day in property visits, client meetings, or negotiations. A virtual receptionist ensures no inquiry is missed. It answers calls, collects details about buyers and sellers, uses outbound calling, and directs qualified leads to the right agent. It also schedules property visits based on each agent’s availability.
This system improves lead response times and gives brokerages a more controlled intake process. Agents stay focused on active deals, showings, and negotiations while the receptionist manages the steady flow of new inquiries. The business moves faster, and clients get quicker answers.
Financial services and insurance
Financial service providers receive frequent calls about payments, renewals, policy details, and claim status. A virtual receptionist handles these questions with accurate data pulled from the system. It delivers clear answers to customers and routes priority cases, like new policy requests or urgent claims, to licensed staff.
This reduces call pressure on the team and keeps agents available for revenue-producing handlework. Customers get consistent service regardless of peak times, and the organization manages inquiries in a more structured way.
Education and training centers
Schools and training institutes receive continuous questions about admissions, fees, schedules, and enrollment procedures. A virtual receptionist handles these inquiries and provides accurate information without redirecting staff from administrative tasks. It also moves complex questions to the correct office or counselor.
This improves the experience for parents and students. They get clear answers quickly, and the institution organizes admission-related communication more effectively. Staff spend less time on repetitive calls and more time on tasks that support students directly.
Set Up a Virtual Receptionist With Nextiva
Whether you need a simple menu to route calls or an advanced AI agent to manage your calendar, Nextiva has the solution.
Why Nextiva?
- Reliability: 99.999% uptime ensures your receptionist is available round the clock.
- Scalability: Start with the base plan for a simple auto attendant. As you grow, upgrade to add XBert AI to handle complex automation.
- Clarity: HD voice technology means your customers hear a clear greeting every time.
Want to stop missing calls? Check out Nextiva XBert to see how AI can manage your front desk for a fraction of the cost of a new hire.
Your AI receptionist that never misses a call
XBert is your AI answering service that handles calls, texts and chats 24/7. It greets customers, books appointments and captures leads while your business grows.
Virtual Receptionist FAQs
This is generally not the case with a human agent or a sophisticated AI like Nextiva XBert. These systems are trained to respond using your company name (“Thank you for calling Acme Plumbing”). Standard automated answering systems (e.g., “Press 1 for Sales”), on the other hand, are obviously automated, which most customers now accept as standard.
Yes, provided you choose a reputable provider. Nextiva complies with HIPAA and SOC 2 guidelines, ensuring sensitive customer data and appointment details are securely exchanged between the medical and legal sectors.
Yes. AI receptionists and many live services can be integrated into Google Calendar, Outlook, or Clio. You can see your availability in real time and book appointments directly.
Auto attendant: Can be set up in Nextiva quickly using the drag-and-drop flow builder.
AI receptionist (XBert): Requires a short training phase where you upload your FAQs and business rules, but can often go live within 24-48 hours.
Live human service: Can take 1–2 weeks for onboarding agents and training them on your scripts.
