Monday, July 15, 2024
Evina 110o x 220

Why use telemarketing business services for your company in 2024

When a business sells a product or service over the phone to potential customers, it is called telemarketing. These calls to customers are made by telemarketers (salespeople) or automated telephone calls (by software) robocalls.

Telemarketing is a direct advertising method in which potential customers are contacted over the phone or via email. Companies with big data purchase the list of potential customers. The contacts on the list are the potential customers because these people have interacted with the product previously.

Why should businesses use telemarketing? The answer is simple, it allows you to generate leads, get instant customer feedback, and promote brand awareness, products, and offers to customers over a phone call.  In today’s climate, most people are readily accessible via mobile phone, allowing telemarketers to access their potential customers with relative ease.

Advantages of telemarketing services

1. Lead generation

For lead generation, you could use telemarketing. By interacting with your customers, the company could give them personalized offers and products by knowing their interests over the phone.

2. Cost-effective

Why is telemarketing cost-effective? Because marketing with this technique is only a one-time cost. It would help if you had good salespeople (who know how to persuade potential clients), essential equipment, and the salaries of these people.

It saves marketing time because you don’t have to make decisions consistently like in other marketing techniques.

3. Boost sales

Telemarketing is all about selling your products and creating brand awareness among people who have previously interacted with or are interested in your product. You have to give them a personal experience and tell them what they want to know about your product.

4. Business growth

Telemarketing could help you grow your business. It is the best way for customer acquisition and retention. You could inform your existing customers about your new offers, products, and services.

5. Nurturing prospects

It helps you nurture your prospects. If a person is interested in your product or service over a first call, they could be a potential buyer of your product/service over the following one or two phone calls. It is called nurturing your prospect.

6. Market research

The benefit of telemarketing for a business is that you can do market research to know which product customers are more interested in. You could then adjust your products/services according to the customer’s preferences.

7. Customer feedback

Telemarketing could be used to improve customer service. You can call your existing customers to check their satisfaction level and pitch new offers and products. You can also address any concerns they might have. It can build strong relationships with your customers.

8. Measurable results

The results of this kind of marketing are highly measurable. The reports of telemarketing campaigns could easily be made by checking how many sales have been made against the number of calls. Tracking your campaigns will help you with future decision-making.

9. Brand awareness

Brand awareness could also be increased by telemarketing. Even If the person doesn’t need the services or products, he could recommend the people who are looking for our products/services.

10. Convenient for customers

With this direct marketing technique, you are bringing your product/services straight to the customers. You could make a judgment directly whether the person is interested in your product or not. You don’t have to wait for your customers to make decisions. Salespeople help and navigate customers to make decisions.

Type of telemarketing

B2B (business-to-business marketing)

B2B telemarketing is the method of direct marketing in which a business is looking for prospects who are also businesses. One business might have products or services another business is looking for.

For example, One company sells digital marketing software (that would help them manage their digital marketing projects). Their potential prospect or customers would be the agencies that give digital marketing services to end users if the first company sells its software to the digital marketing agency. That would be B2B telemarketing.

B2C (business to customers) telemarketing

This is a type of direct marketing in which the sales team reaches out to consumers directly for products or services over the phone. It is different from B2B and requires a different strategy altogether.

For example, If you are an insurance company or any service company (plumbing, electrician, etc.) and your potential customers are end users. Then, telemarketing of this business would be B2C (Business to Consumers).

Inbound telemarketing

Inbound telemarketing is the type of marketing in which the audience is existing customers. Your existing customers would call you for any personalization in the product, renewal of service plans, or they want to upgrade their services. It would fall in the category of inbound calls. That is important for your business to retain your customers.

Customers are satisfied if they get support from the company when they want it. So, having an inbound telemarketing department in the company is as crucial as an outbound (which will be explained later).

You could also call your existing customers to upgrade their plans or tell them about your new offers, products, or services that also fall in the ambient of inbound marketing. It is called upselling and cross-selling.

Outbound telemarketing

Unlike inbound marketing, new customers are acquired in this marketing technique. The primary focus in outbound marketing is customer acquisition, not customer retention.

In this direct marketing, new prospects are called by phone and told by the salespeople about the company’s products or services. If the prospect/customers are interested and didn’t purchase on the first calls, you could follow them.

Target audience and market segmentation

Reaching the target audience is the key to success in the telemarketing outbound business. Data drives the data plans of telemarketers (salespeople). There are a lot of companies that provide data for telemarketing business and this data is purchased by the telemarketing companies.

How to evaluate purchased data (KPIs)

  • Check out how recent the data is.
  • Target audience. The people who are interested in your products or services.
  • Accuracy of the data.
  • Must be compliant with regular authorities such as GDPR and DNC.
  • Source of the data

Telemarketing business services companies in Sweden

  1. Releasy Customer Management
  2. Wecall
  3. Online Fulfillment Sverige AB
  4. Itell AB
  5. Nordicom

Telemarketing best practices and guidelines

1. Profile of the customers

Accurate data is essential for running a successful campaign. Dialing the right person at the right time is essential to make sales—the one in need or looking for your product or services. Data is the key to running successful campaigns.

2. Identify the right message

The script is then the most critical factor in converting prospects into leads. What you speak over the phone does matter. Salespeople should always focus on customers. Customers would be interested in the product If it solves their problem.

3. Proactive management

Proactive management is also a decisive factor in running a profitable telemarketing business. Providing the list of contacts and scripts to the salespeople should be one of many management roles. Management should actively give feedback to the telemarketers on what they have to change in strategy.

The management should play an active part. KPIs should be set to determine successful and unsuccessful campaigns. Management Should incentivize telemarketers who have generated more leads than their counterparts. So, in this way, all the salespeople would be actively engaged.

4. Call rates

So, in the campaign, the benchmarks should be set for every salesperson. How many calls have to be made in a day? The factor that must be considered is that a percentage of contacts might not be interested in your product. Or they don’t pick up phone calls so the reasonable goal could be around 25% of the contact rate.

Necessary technology required for setting up the business

CRM (customer relationship management) software

CRM Software is the primary technology used in telemarketing businesses. With the help of this software, you can organize and store leads, your potential prospects, and a list of contacts.

CRM software could help you send follow-up emails or phone calls. You could store the history of customers’ interaction with the company. You can check through this software whenever you want to know about a particular customer.

Phone System

A phone system for telemarketing is a specialized communication system designed to handle large volumes of incoming and outgoing telephone calls. This phone system provides the necessary infrastructure for call management, routing, and monitoring of call center employees or agents.

KPIs (Key Performance Indicators) for campaigns

  • Conversation Rates.
  • Sale per agent
  • Cost per lead
  • Talk Time
  • Return on Investment (ROI)
  • Abandonment Rate
  • Contact Rate
  • Average Wrap Time (AWT)
  • Call Quality Analysis
  • Closure Rate
  • Retention Rate
  • Customer Satisfaction
  • The number of calls per person

AI is transforming the telemarketing industry

AI can analyze large datasets and help you better understand your consumers. The data sets might have past interactions of customers with the company and their recording of the calls.

AI-enabled chatbots could be used in inbound marketing when customers ask for general information about products, shipping, or delivery issues. These AI-enabled chatbots could give them some answers. The consumer could also do that if they want to interact with a sales agent. That would reduce the burden on sales agents for any given organization or company.

In the telemarketing business, AI could help agents while talking to prospects. It could bring the prospect’s profile in front of them and their recent conversation with the company.

In the 1990s, call centers implemented skill-based routing software that matched basic customer profiles with agents with skills regarding the company’s product knowledge or policy. AI has enhanced this concept through predictive behavioral routing. Using AI and analytics, AI matches the agent and customer, having the same personality types. It enhanced customer satisfaction.

Challenges in the industry

Compliance concerns

With regulations like GDPR and CCPA, call centers must ensure that their tech solution complies with data protection laws.

Fraud calls

Recently, people have been scammed over the phone. So now, people are suspicious of these kinds of calls. That affects the contact rates.

Training cost

A call center agent has to receive several calls on different issues. It could be about telling the new prospect about the product or resolving existing customer issues. So, training agents could be costly.

Data security

Securing customer data is of paramount importance. As the number of cyber-attacks has increased, securing data has become difficult for companies. This data could be used to extort money from customers and perform other fraudulent activities if a breach happens.

Regulatory compliance

The regulatory compliance rules for these telemarketing businesses have been set by governments worldwide. Some of them are listed below

Telephone Consumer Protection Act (TCPA)

TCPA is a US federal law regulating telemarketing calls and using auto-dialing call center systems and pre-recorded voice calls. TCPA is aimed to protect consumers from intrusive sales calls.

General Data Protection Regulations (GDPR)

This compliance binds the industries working in the EU to protect the data of EU citizens and ask for permission to record the calls.

Do Not Call the registry (DNC)

DNC is a list of phone numbers where individuals can register for not getting these outbound calls.

Telemarketing Sale Rules (TSR)

TSR binds the telemarketing companies to disclose all the information about products or services and not mislead the consumers.

The Health Insurance Portability and Accountability Act (HIPAA)

The call centers that handle patient information on behalf of healthcare providers are bound to this act. Under this act, they are obliged for the security and privacy of the patient’s data.

Key takeaways

Telemarketing remains a powerful tool for generating leads and acquiring new customers. There are various strategies and techniques for doing direct marketing. It is essential to comply with the rules and regulations of specific areas where you operate. Otherwise, that could lead to hefty fines or permanent company closure.

Subscribe to our newsletter

To be updated with all the latest news, offers and special announcements.

Evina 900x750