7

How to Negotiate with Telemarketing Companies

telemarketingTelemarketing generates over 100 billion in yearly sales in all different industries and according to the DMA, over 66 million men and women buy products and services from telemarketers. Even if you are just starting out with your business, telemarketing can help you gather the information you need to get started or grow your business.

One type of telemarketing, inbound calling, involves a team of people to receive calls. If you set up an ecommerce site, but also provide the option of your customers to purchase products via phone, this type of call center is what you need. An outbound call center is when representatives call potential customers or partners. If you want to solicit information, generate sales leads, or conduct a survey, this is the type you need.

If your business is at the point where you need to implement a push strategy, a call center might be a good place to start, depending on the costs that is.

  • Flat service. If you want just a basic team of representatives to call prospective customers and you provide a script and list to the company, the costs will be pretty straight-forward. Typically, telemarketing companies charge an hourly rate, or per-call charge. If your list is small see if you can be charged per-call. Get a detailed quote with rates included and see if there is a minimum rate as well.
  • Additional services. If you want more from the company (tracking reports, 800 number call-in, etc.), you will be able to negotiate costs by “bundling” a package. Reports are good because they show you if your specific campaign is working and provide you with a benchmark for future campaigns. An 800 number is good for the representatives to be able to leave a message. If you don’t have an 800 number for your business, the telemarketing company should be able to provide you with one.
  • Laws and regulations. If you do not have a list to use, you can purchase one. The telemarketing company might provide a list, or work with a mailing list company to provide you with a list that is suitable for your business. The company will not be able to call any numbers from the Do Not Call list. Make sure that the company is compliant with current US laws governing telemarketing- otherwise you may be responsible for penalties associated with breaking these rules.
  • Branding. You won’t be able to negotiate first impressions with your customers once they have them so make sure you work with the company to deliver the best “first impression” for your business. You might have to write the phone script and provide guidelines for the telemarketers (when to leave a message, how many times to try each customer, how long to stay on the phone) to follow. It may seem like more up-front work for you as a business owner and it oftentimes is. You’ll save time and money doing the phone call legwork while upholding your image.
  • Specialized agents. If you want to use an inbound call center for customer or technical support, expect to pay more for these dedicated agents. Sales, lead generation, order processing, and other functions can all be specifically negotiated, which usually ends up costing less overall.
Filed in: business negotiation Tags: , ,

Related Posts

Get the latest small business ideas

Please enter your email address:
Note: We will never share your details with anybody.

7 Responses to "How to Negotiate with Telemarketing Companies"

  1. Great article! It’s a learning tool for companies out there who wants to know more about telemarketing.

  2. Having outsourced both inbound and outbound telemarketing in the past I can confirm that it can be a very useful service to employ. Its best to try out serveral companies before choosing the one that works best for you.

  3. Ray Scafani says:

    I’m curious if anyone has had experience working with a telemarketing company who was willing to be compensated based upon leads generated?

  4. I have a question for the community. Most lead providers get their leads from online quote request and then they resell them like 4 or 5 times. I’ve been burned like this a few times already so my question is, how about telemarketing to generate insurance leads? I’ve heard good and bad things so if anyone has any feedback please let me know your thoughts before I spend even more money testing things out.

  5. @ ILG – there are a number of telemarketing companies that can provide insurance leads; but I would not agree that most lead providers get leads from online sources and then resell them (maybe a couple but they are in the minority).

    @ Ray – certainly in the UK there are no telemarketing companies that work like this. There are a few freelancers/students that will give it a go; but telemarketing companies work on a day rate for the most part.

  6. Anika Davis says:

    Outsourcing your telemarketing campaign is very beneficial for most businesses. However, the challenge is looking for a reliable telemarketing services provider that can deliver your needs and will help you in achieving your business goals. You may opt for pay-per-lead or pay-per-performance campaigns or you can go for the per hour / per seat campaign. Do your research in searching for the best and reliable service provider, check for review online. You can get best reviews from forums.One reliable source is ask for recommendations from people who have used the services, certainly they can tell you if the provider is good or not.

  7. Noobpreneur says:

    Anika,

    Cheers for the pointers!

Leave a Reply

Submit Comment

Noobpreneur.com Featured Business Authors

» Blog with us

Ivan Widjaya - Business BloggerIvan Widjaya
Business Owner/Blogger
Topic of interest: Business tips, online business and general business.
View profile | Visit website
Scott Messinger - Business BloggerScott Messinger
Business Acquisition/Sales
Topic of interest: Buy-and-sell business and energy management business.
View profile | Visit website
Mariam Noronha - Business BloggerMariam Noronha
Teacher, Business Writer and Blogger
Topic of interest: Small business and entrepreneurship.
View profile | Visit website
© 2008 - 2012 Noobpreneur Business Blog. All rights reserved. XHTML / CSS Valid.

Entrepreneurship Blogs - BlogCatalog Blog Directory Business Business blogs

Proudly designed by Theme Junkie.