The Environment For Telemarketing
The economy is in a very difficult position at the moment whereby almost all industries are facing a down turn.
The retail industry reported its worst March on record and other industries (such as the automotive industry, engineering industry and construction industry) are facing big issues of work either going overseas, or just drying up.
As a result, many businesses are looking for urgent support in generating new sales enquiries and business opportunities.
Due to struggling markets, pro activity is needed within the marketing program as opposed to more passive forms of marketing. Telemarketing is normally the main marketing tool that is called upon by businesses as a way to generate new sales leads, new sales opportunities and new clients (due to it being the most pro active of all marketing services).
Keep Telemarketing Internal Or Outsource?
However the problem exists, do businesses handle this telemarketing work internally or outsource it to a specialist telemarketing company?
There are a few benefits in keeping telemarketing internal, the main one would be product knowledge. Internal staff will have more experience of your product/service than an external source.
Benefits Of Keeping Telemarketing Internal
The core benefit would be product or service knowledge. Staff that are in house will almost always have a better understanding of the company, services etc.
Benefits Of Outsourcing Telemarketing
There are a few key factors that would make outsourcing telemarketing a good option:
- Training And Recruitment Costs
If you use someone internal to do telemarketing, you will need to recruit the right sort of staff, train them on the sales process, incentivise them and keep them.
This can be an expensive process as good staff are hard to find (as any business owner will understand).
In outsourcing telemarketing all the costs related to training and recruitment are covered. All incentives and bonuses are covered to ensure that staff are keen to achieve result
- IT Costs
The more staff that are needed to call, the more the support costs will go up. This would include a computer, phone system, but also computer and software licences, e-mail support and networking costs. In the computer age the costs of support is normally quite high and there are always computer issues that arise.
In outsourcing telemarketing all the IT costs are covered as part of the quoted costs.
Staff need space to work in. The more staff that are needed for calling, the more space is needed. This is not just space for the staff to work, but also toilet facilities, meeting rooms, training areas, IT support space, kitchen/recreation areas etc.
There will be no costs involved in outsourcing telemarketing as they would be covered as part of the quoted prices.
These are the three main benefits of outsourcing telemarketing to a specialist company. The other one would be results. The telemarketing company would already have staff in place, so results should be quicker to achieve as the infrastructure is already in place, training and IT systems.
The up front costs of telemarketing may well be higher on the surface, however considering all aspects of training, IT etc. the costs may well not be as high once compared like for like.