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Telemarketing office
Telemarketing office

Telemarketing is a method of direct marketing in which a salesperson solicits to prospective customers to buy products or services, either over the phone or through a subsequent face to face or Web conferencing appointment scheduled during the call. Direct marketing is a sub-discipline and type of Marketing. There are two main definitional characteristics which distinguish it from other types of marketing A customer is someone who makes use of the paid products of an individual or Organization. In Marketing, a product is anything that can be offered to a Market that might satisfy a want or need A service is the non-material equivalent of a good. A service provision is an economic activity that does not result in Ownership, and this is what differentiates Web conferencing is used to conduct live Meetings or Presentations over the Internet.

Telemarketing can also include recorded sales pitches programmed to be played over the phone via automatic dialing. Telemarketing has come under fire in recent years, being viewed as an annoyance by some.

Contents

History

Some people believe that in the 1950s, DialAmerica Marketing, Inc became the first company completely dedicated to inbound and outbound telephone sales and services. The 1950s Decade refers to the years of 1950 to 1959 inclusive DialAmerica Marketing Inc is a Marketing company and one of the first to specialize in Telemarketing. The company, spun-off and sold by Time, Inc. magazine in 1976, became the largest provider of telephone sales and services to magazine publishing companies. Time Inc is a major subsidiary of the media conglomerate Time Warner, the company formed by the 1990 Magazines, periodicals or serials are Publications generally published on a regular schedule containing a variety of articles, generally Year 1976 ( MCMLXXVI) was a Leap year starting on Thursday (link will display full calendar of the Gregorian calendar. The term telemarketing was first used extensively in the late 1970s to describe Bell System communications which related to new uses for the outbound WATS and inbound Toll-free services. This article is about the Decade 1970-1979 For the Year 1970 see 1970. The Bell System which was named for Alexander Graham Bell, the technologist popularly credited with the invention of the Telephone, was a Trademark and In US Telecommunications a Wide Area Telephone Service (WATS is a Toll service offering for customer dial-type telecommunications between a given customer station A toll-free, Freecall, Freephone, or 800 number is a special Telephone number, in that the Called party is charged the cost of the

Categories

The two major categories of telemarketing are Business-to-business and Business-to-consumer. Business-to-business ( B2B) is a term commonly used to describe commerce transactions between businesses as opposed to those between businesses and other groups such as Business-to-consumer ( B2C, sometimes also called Business-to-Customer) describes activities of businesses serving end consumers with products and/or services

Subcategories

Procedure

Telemarketing may be done from a company office, from a call centre, or from home. A call centre or call center (see spelling differences) is a centralized office used for the purpose of receiving and transmitting a large volume of requests by Homesourcing also known as homeshoring is "the transfer of service industry employment from offices to home-based employees with appropriate telephone and Internet facilities" It may involve either a live operator or a recorded message, in which case it is known as "automated telemarketing" using voice broadcasting. "Robocalling" is a form of voice broadcasting which is most frequently associated with political messages. Robocall is American pejorative Jargon for an automated Telemarketing phone call which uses both a computerized Autodialer and a computer-delivered recorded

An effective telemarketing process often involves two or more calls. The first call (or series of calls) determines the customer’s needs. The final call (or series of calls) motivates the customer to make a purchase.

Prospective customers are identified by various means, including past purchase history, previous requests for information, credit limit, competition entry forms, and application forms. Names may also be purchased from another company's consumer database or obtained from a telephone directory or another public list. A Computer Database is a structured collection of records or data that is stored in a computer system The qualification process is intended to determine which customers are most likely to purchase the product or service.

Charitable organizations, alumni associations, and political parties often use telemarketing to solicit donations. A charitable trust is a trust established for charitable purposes and is a more specific term than " charitable organisation " An alumni association is an association of graduates ( Alumni) or more broadly of former students A political party is a Political organization that seeks to attain and maintain political power within Government, usually by participating in electoral Marketing research companies use telemarketing techniques to survey the prospective or past customers of a client’s business in order to assess market acceptance of or satisfaction with a particular product, service, brand, or company. Marketing research or market research is a form of business research and is generally divided into two categories consumer market research and business-to-business (B2B market research which Public opinion polls are conducted in a similar manner. An opinion poll is a survey of Public opinion from a particular sample.

Telemarketing techniques are also applied to other forms of electronic marketing using e-mail or fax messages, in which case they are frequently considered spam. Electronic mail, often abbreviated to e-mail, email, or originally eMail, is a Store-and-forward method of writing sending receiving Fax (short for facsimile, from Latin fac simile, "make similar" i Spamming is the abuse of electronic messaging systems to indiscriminately send unsolicited bulk messages

Negative perceptions and criticism

See also: Telemarketing fraud
Telemarketing agent sitting in a cubicle. The brightly colored rebuttal sheets are used to answer most questions a customer might have.
Telemarketing agent sitting in a cubicle. Telemarketing fraud is fraudulent selling conducted over the phone The brightly colored rebuttal sheets are used to answer most questions a customer might have.

Telemarketing has been negatively associated with various scams and frauds, such as pyramid schemes, and with deceptively overpriced products and services. A confidence trick or confidence game (also known as a bunko, con, flim flam, gaffle, grift, scam, scheme In the broadest sense a fraud is a Deception made for personal gain or to damage another individual A pyramid scheme is a Non-sustainable Business model that involves the exchange of Money primarily for enrolling other people into the scheme without Fraudulent telemarketing companies are frequently referred to as "telemarketing boiler rooms" or simply "boiler rooms. " Telemarketing is often criticized as an unethical business practice due to the perception of high-pressure sales techniques during unsolicited calls. Business ethics is a form of Applied ethics that examines ethical principles and moral or ethical problems that arise in a business environment

Telemarketing calls are often considered an annoyance, especially when they occur during the dinner hour, early in the morning, or late in the evening.

Regulations

Telemarketing is subject to regulatory and legislative controls related to consumer privacy and protection. Consumer privacy laws and regulations seek to protect any individual from loss of privacy due to failures or limitations of corporate customer privacy measures Consumer protection is a form of Government Regulation which protects the interests of Consumers For example a government may require businesses to disclose detailed

Telemarketing in the U. S. is restricted at the federal level by the Telephone Consumer Protection Act of 1991 (TCPA) (47 USC Section 227) and the FTC's Telemarketing Sales Rule. The Telephone Consumer Protection Act of 1991 (TCPA was passed by the United States Congress in 1991 and signed into law by President George H The FCC derives regulatory authority from the TCPA, adopted as CFR 64. 1200. The Many professional associations of telemarketers have codes of ethics and standards that member businesses follow to encourage public confidence. A professional body or professional organization also known as a professional association or professional society is an organization usually Non-profit, that exists Ethics is a major branch of Philosophy, encompassing right conduct and good life

Some jurisdictions have implemented "Do Not Call" lists through industry organizations or legislation; telemarketers are restricted from initiating contact with participating consumers. Legislative versions often provide for heavy penalties on companies which call individuals on these listings. The U. S. Federal Trade Commission has implemented a National Do Not Call Registry in an attempt to reduce intrusive telemarketing nationwide. The Federal Trade Commission ( FTC) is an independent agency of the United States government, established in 1914 by the Federal Trade Commission Act On June 27, 2003, the US Federal Trade Commission (FTC opened the National Do Not Call Registry in order to comply with the Do-Not-Call Implementation Telemarketing corporations and trade groups challenged this as a violation of commercial speech rights. Commercial Speech is speech done on behalf of a Company or Individual for the intent of making a Profit. [1] However, the U. S. 10th Circuit Court of Appeals upheld the National Do Not Call Registry on February 17, 2004. Events 1500 - Battle of Hemmingstedt. 1600 - Philosopher Giordano Bruno is burned alive at Campo de' Fiori "MMIV" redirects here For the Modest Mouse album see " Baron von Bullshit Rides Again " [2]

Companies that use telemarketing as a sales tool are governed by the United States Federal regulations outlined in the TSR (amended on January 29, 2003 originally issued in 1995) and the TCPA. In addition to these Federal regulations, telemarketers calling nationally must also adhere to separate State Regulations. Most states have adapted DNC files of their own, of which only some states share with the US Federal Do Not Call registry. Each US state also has its own regulations concerning: permission to record, permission to continue, no rebuttaling statutes, Sunday and Holiday calls; as well as the fines and punishments exacted for violations.

Telemarketing techniques are increasingly used in political campaigns. Because of free-speech issues, the laws governing political phone calls are much less stringent than those applying to commercial messages. Even so, a number of states have barred or restricted political robocalls.

Telemarketing in Australia is restricted by the Australian Federal Government and policed by the Australian Communications and Media Authority (ACMA). Australian Federal legislation provides for a restriction in calling hours for both Research and Marketing calls. [3]

In 2007 a do not call register was established for Australian inbound Telephone numbers, this register allows a user to register private use telephone numbers. Australian Federal Legislation limits the types Marketing Calls that can be made to these registered Telephone Numbers, however research calls are allowed. Other exemptions include calls made by charities and political members, parties and candidates[4]

Inbound telemarketing is another major industry. It involves both live operators and IVR--Interactive Voice Response. IVR is also known as audiotext or automated call processing. Usually, major television campaigns and advertisers use 800 numbers that are answered by IVR service bureaus. Such service bureaus have the technology and call capacity to process the large amounts of simultaneous calls that occur when an 800 number is advertised on television.


Technology


References

  1. ^ Miller, Jacqui Brown. An autodialer, autodialler, or automatic calling unit is an electronic device that can automatically dial Telephone numbers to communicate between any two In Telephony, an Automatic Call Distributor ( ACD) also known as Automated Call Distribution, is a device or system that distributes incoming Customer relationship management ( CRM) is a term applied to processes implemented by a company to handle its contact with its customers A predictive dialer is a computerized system that automatically dials batches of Telephone numbers for connection to agents assigned to sales or other campaigns A private branch exchange (PBX is a Telephone exchange that serves a particular business or office as opposed to one that a Common carrier or telephone company "Mainstream Marketing Services, et al. v. Federal Trade Commission: Resources and Legal Analysis." ReclaimDemocracy. org. January 20, 2004.
  2. ^ Text of the case and the decision. FindLaw.
  3. ^ Telecommunications (Do Not Call Register) (Telemarketing and Research Calls) Industry Standard 2007ACMA.
  4. ^ Do Not Call Register FAQACMA FAQ.

See also

External links

Dictionary

telemarketing

-noun

  1. The business of selling products or services by making unsolicited telephone calls to potential customers.
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