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The reports of telemarketing's death have been greatly exaggerated, according to the "2004 Response Rate Report" from the Direct Marketing Association (DMA). Even after the creation of the National Do Not Call (DNC) Registry (www.donotcall. gov), telemarketing still sells more products than any other direct-response marketing tactic, with a 5.78 percent response rate.
"What we found was that in spite of a lot of talk about telemarketing's end, people are still buying," says Louis Mastria of the DMA. "About 66 million consumers bought at least once through telemarketing last year."
American Teleservices Association CEO Tim Searcy says insufficient targeting by many in the telemarketing industry was a primary factor in the creation of the DNC Registry, which, according to the FTC, now contains 64 million telephone numbers. However, companies can still contact present and previous customers with offers and information even if they're on the DNC list.
"Companies are surviving through better targeting. If you're on the DNC list [and are receiving telemarketing calls],you have an existing relationship with the people who call," explains Searcy. "Because audio clutter is reduced, it's easier to get through to the customer."
Mastria agrees that companies that were using telemarketing appropriately in the first place are still benefiting: "A legitimate company isn't going to waste time and money to keep calling someone who has said that they don't want to be contacted."--G.M.
COPYRIGHT 2005 Entrepreneur Media, Inc.
COPYRIGHT 2005 Gale Group
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