Telemarketing company execs respond to July issue story
I would like to respond to some of the comments made by Mona Carpenter in the article on sales centers that appeared in the July issue (page 32). Ms. Carpenter was quoted as saying, "The number of agencies using telemarketing has declined in the last couple of years because results have not matched expectations." She then goes on to say, "People are bombarded by telemarketing."
If this is the case why would a professional insurance telemarketing bureau grow by an average of 19% to 24% a year since 1988? Here are a few facts that the national IIAA has uncovered and published in its Best Practices Study with the help of 84 organizations from outside the insurance industry. Successful strategies having the most impact are: utilizing outside sources, prospect management system, lead generation, and appointment setting.
In addition, the report went on to say that the most profitable agencies are utilizing outside sources. This has allowed the agencies to service existing accounts for better retention and free up the producers to sell more new business. Just read what an agency wrote on page 43 of the study/report:
"Sales centers and telemarketing have also been major areas of support provided to the sales staff of insurance agencies. The activities of telemarketers vary from marketing research to actually getting contract expiration dates and setting appointments for producers. These efforts can better focus the activities of the salesperson on the desired prospects and allow the salesperson to spend more time selling."
So, Ms. Carpenter, if you think that all agents who outsource telemarketing have horror stories, give me a call and I'll put them in touch with more than 3,500 agencies, national brokerages, MGAs, carriers and wholesalers who have been successful.
Professional services companies are experiencing tremendous growth in the insurance industry, and one of the growth areas is telemarketing for new business via inbound and outbound calling.
--Jeff Neilson, Executive Vice President
National Marketing Services, Laguna Hills, California
I am very aggravated and displeased after reading your article, "Agency Sales Centers Maximize Effectiveness of Producers" in the July issue. I am president of an outsourced sales center, and although I agree with some aspects of the article, I am outraged by Ms. Carpenter's statement, "Agents who outsource the telemarketing all have horror stories."
First, has Ms. Carpenter spoken to all of the agents who have outsourced their telemarketing? To make such a bold statement seems to me to be a little stereotypical and presumptuous.
Second, I do not think that Ms. Carpenter clearly understands the difference between telemarketing and sales prospecting. Our company's clients range from very prestigious national and international companies to large local independent agencies. Our Web site (www.prospectors.com) contains testimonials we have received concerning the quality and reputation of our outsourced sales center.
Another clarification I would like to make is that not all outsourced sales centers compensate their employees on a per-appointment or cost-per-lead basis. My company compensates its prospectors on an hourly wage, which eliminates the "push for the appointment" and provides our clients with the quality sales appointments they deserve and pay for. Rarely have we set a "no show" appointment over the last five years. We pride ourselves on being the most expensive service in the market. Someone has to be the best.
Ms. Carpenter and agency owners may want to rethink and reconsider lumping all lead generation firms into one category.
--Ronald Virtus, The Prospector's Group, Pittsburgh, Pennsylvania
©COPYRIGHT: The Rough Notes Magazine, 1998