3 Important Trends in the Telemarketing Area
There are really 3 major trends in the Telemarketing world at the moment:
- Greater focus on ROI: IT vendors [i.e. our customers] have become more & more ROI focussed when looking at the value of all forms of marketing, including telemarketing. This trend started 4-5 years ago but has gained momentum over the past few years. What’s exciting now is that vendors are beginning to look much more carefully at spend prior to a lead being generated, and what happens beyond a lead being handed over, and quite rightly so. All elements of the marketing mix & the chosen sales channel [whether direct or indirect] need to be scrutinised to understand where waste occurs and where opportunity for refinement still exists. Looking at the process end to end is where the real savings can be established.
- Globalisation is finally starting to happen [after a lot of talk & speculation] with Vendors looking towards agencies that can genuinely provide a global service but with strong regional geo execution. EIMS ran their first major global program around 4 years ago and we’ve seen the number of global customers grow of recent, with a particular emphasis on APAC. A sub trend within this is a greater focus within the emerging markets such as Eastern Europe, Turkey etc. We expect around 40% of our customers to ‘go global’ with us over the next couple of years.
- Greater accountability through a wider remit: I can’t say if this is an industry wide trend or something unique to us but we’ve seen a significant increase in the number of customers that want us to take over a much larger part of the problem. For example vendors are asking us to “deliver $20M in revenue” from a particular Geo or solution or vertical and then we’ll design & execute the program to do it [whereas 5 years ago they were happy if we contributed good quality pipeline]. Typically such a program might include elements up and down the marketing & sales process from Demand Generation [media buying, creative etc.] right the way to closing revenue [inside sales, channel management]. To put some numbers round that in 2013 we’re predicting that around 30% of our business will involve taking our own leads all the way to close, either through our outsourced inside sales service or outsourced channel management. To provide a little more detail around the drivers from our customers perspective; in both of these examples we carry a revenue quota and our success is measured on delivering incremental revenueto the vendor [our customer]. Speaking with our customers the benefit they see to this approach seems to be twofold:
- It makes the outsourced party [us] accountable for the whole problem. Which means they no longer need to worry about things like cost per lead, they only need to consider am I willing to spend x$ to get y$ revenue in return & is that better than my next best alternative?
- It’s allowed them to tackle a long standing problem which is how to effectively tackle net new business. We see that a lot of vendors struggle to create speed to market via existing sales teams because they have so many existing focusses, net new revenue just doesn’t get the mind share. Outsourcing gives them the ability to create an incremental Inside sales team that lives or does by delivering new customers [or customers for a new solution].
Join us again on Thursday for part two of our Industry Trends Blog, when Andy Rutherford gives his advice on Best Practices for managing your Telemarketing services to deliver maximum results.
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