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DIRECT SALES


Direct sales that are made over the telephone through the use of call centers, telephone sales agents solicit a vast number of prospects, as many as 25-30 per hour. Cost per order varies from market to market, but is generally low in comparison with other direct sales channels. Products and services found in more mature markets where acceptance and familiarity has been established are generally good candidates for this type of sales channel.

Business sales departments find phone sales extremely robust in areas where door to door sales is not an option, regions with low population density or high in the form of apartment complex or multiple dwelling units. Telephone sales is easily adapted for targeting geographic areas and specific customer segments.

Phone sales is here to stay. Despite changes in the regulatory environment, marketers will continue to rely on telephone sales within the overall mix. Creative programs harness the benefits of direct phoning with other methods to create consistent, proactive customer acquisition and retention strategies.

With all market approaches that age, successful telephone sales in today's environment is much different than in the past, no longer is random dialing and generic product positioning able to boost sales volume. In the days long gone phone marketing companies would crank up their demon dialers to increase their contact rates and order quota for the month - sometimes literally giving their product away in transactions that generated a lot of activity, but ended up costly due to premature subscription drop off or cancellation.

Today, usage of telephone marketing relies more heavily on targeting, timely customer service follow ups, retention and selling more to existing customers. Marketers are beginning to shift their attention from pure acquisition towards retention - since it is often less costly to keep a customer rather then find a new one.

The more advanced telephone agencies are taking this approach one step further to include lifestyle data within active campaigns. The advantage of targeting personally compounds the effect of phone marketing. Telesales harness the power of information to call on a specific consumer group with relevant product offerings, database profiling enables telesales agents to introduce their products through positioning statements more favorable to the prospects perceived interest.


Close ratios from this style of campaign increases averages by as many as three times. The key is in generation and sourcing of multi-tiered targets and this process can prove to be costly and time consuming. Clients that have chosen to invest have developed very effective processes. For example companies often perform market research to sample and test product offerings prior to an upcoming communications launch. Information gathered in research acts as an excellent tool in verifying market acceptance and confirming target profiles. Initial research can be followed by a low level mail piece. Telesales comes last with an introduction to decision makers, qualifying for product suitability and fulfilling new orders. Campaigns that include multiple contacts with slightly varying messages through a variety of media help to "lift" response rates further. More importantly these campaigns leave a professional image apart from the negativity associated with traditional mass approaches. Today marketers are very aware that they have at most a three month opportunity cycle with each contact. Every time you make a sales presentation it must be done in a respectful manner not to jeopardize future opportunity.



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