Six Advantages and Disadvantages of Using Telemarketing Tactics for Your Brand

Six Advantages and Disadvantages of Using Telemarketing Tactics for Your Brand
Six Advantages and Disadvantages of Using Telemarketing Tactics for Your Brand

Consumers may dread the dinnertime sales call, but brands continue to use telemarketing tactics as a relatively low-cost way to generate leads.

A form of direct marketing that integrates with your business 800 number, telemarketing helps businesses expand their customer reach and generate new leads. Here, we look at both the good and the bad of telemarketing.

Advantages of Using Telemarketing

Despite some animosity toward telemarketers — including YouTube videos focused on teasing them or wasting their time — some people do have the gift of gab. A phone call provides a more interactive and personal sales service, and some people appreciate the human touch.

Cold prospecting resembles a “numbers game,” and the more calls a team makes, the more receptive people they will find.

Using telemarketing, your business can:

  • Actively engage prospects in the sales process
  • Create rapport with your customers
  • Answer questions in real-time
  • Overcome objections that may have prevented the customer from taking action
  • Generate leads and appointments
  • Expand your sales territory
  • Achieve measurable results

Short-Term Results

Telemarketers speak with prospects in real-time. Executing sales from a distance approach, telemarketers can connect with consumers at any point in their day and determine their prospect-potential quickly.

The telemarketer’s voice on the phone gives your brand personality and, if they establish rapport, deepens your customer relationships. Busy, overwhelmed, or lonely people will welcome a friendly and helpful voice that solves their problems, offers them respite, and builds brand comfort and loyalty.

Low Overhead Costs

Telemarketing can be cost-effective, even for small businesses. Rather than hiring and training a sales force, a company can hire a telemarketing company.

The telemarketing company trains and manages telemarketers. They provide office space, computers, and phones, and they oversee quality control. Companies pay a fixed price that limits their risk in the endeavor. You can measure results easily since you look for leads and sales yourself.

Expand Your Business Reach

Not bound to a physical location, even a small start-up can expand its territory via telemarketing beyond the local market. A larger selling area means a larger population and more prospects and sales. Especially with a vanity 800 number giving your company a professional appeal, telemarketing expands your customer base.

Telemarketing reaches both new and existing customers. It can build and solidify customer relationships. If a local client leaves the area, you can still engage them and keep them updated with new offers and services. Some customers appreciate the convenience of you bringing your products and services directly to them. The live phone call also allows them to get instant answers to their inquiries.

Improved customer satisfaction and an 800 vanity number can significantly increase the profitability of your business.

While easy to see why businesses use telemarketing, it also has several disadvantages, however.

Disadvantages of Using Telemarketing

Telemarking gets results for businesses, but many consumers feel cynical about the interruption. Companies may lose clients or turn away potential customers with a poorly timed or executed call.

Not all telemarketing companies and lists stand equally. The cost and effort could yield limited sales while leaving a negative impression. Businesses need to screen their telemarketing partners and get high-quality calling lists.

Worthwhile telemarketing lists include customers whose demographics closely match those of the business’ target market or who have recently purchased similar products.

Some disadvantages of telemarketing include:

  • Some customers resent it, especially in the evenings.
  • Lower quality call lists may have names that opted out of telemarketing calls and calling them violates the law.
  • An updated list of quality prospects can be expensive, increasing the risk of the endeavor.
  • A bad customer experience could damage your business’ reputation.

People Resent It

Nobody wants to be a nuisance. Because of negative consumer response and some unscrupulous telemarketers, the regulations have piled up!

Better Quality Costs More

While generally considered cost-effective, the more experienced telemarketers and the most updated and filtered lists can be costly. Even with the best of both, results may not be guaranteed.

Not Everyone Answers Their Phone

Some people utilize the “Do Not Call” list to protect against telemarketers. Even more people won’t answer the phone if they don’t recognize the number. Both factors limit the total population of customers you can reach through telemarketing.

Outstanding Results When Done Correctly

While not as easy a decision as buying a business 800 number, telemarketing presents advantages for businesses that quickly need to ramp up their lead generation. To truly reap the advantages of telemarketing without too much backlash, however, brands should choose their partner companies wisely and carefully vet any call lists.

Catch up on the rest of your call tracking news and strategy