Telemarketing Software Featured Article

Many companies today still engage in telemarketing, either on a business-to-consumer basis, or a business-to-business basis. It’s not for the faint of heart – regulations and rejections, not to mention low calls-to-sales ratios, make it difficult – but for many organizations, it still pays off handsomely.

Regulations are what keep many sales managers up at night. Federal law has become stronger in recent years, and the changes are regular. Fines are high, and can break a company that doesn’t stick to regulations, according to a recent article by Jeffrey Fotta, president of Gryphon Networks, writing for Entrepreneur.

“Reps who hit the phones on a regular basis face loads of regulation and the risk of being in violation of the Telephone Consumer Protection Act [TCPA], which restricts telephone solicitations and the use of automated telephone equipment,” he wrote. “The federal regulations serve as the baseline for all jurisdictions, and then state laws are added on top of that.”

While the federal regulations can often be observed with most telemarketing software solutions, it’s the state regulations that can trip companies up. Not all telemarketing solutions are created equally, and many miss quirky local rules. Did you know, for instance, that it’s illegal to make outbound sales calls on Mardi Gras in the State of Louisiana? Or that telemarketers in the State of Maine must undergo a criminal background check?

Sales and telemarketing is one of the most complexly regulated industries in the U.S., and these rules are always in flux. They also come in many layers, with federal, state and even municipal rules to observe. The mobility of the average sales workforce has also added to the complex stew, according to Fotta.

“Since today’s workforce is increasingly mobile, location doesn’t inhibit sales activity, and more often than not, a company will have its sales reps calling all 50 states,” he wrote. “This means companies need to be vigilant about being in compliance for all locations to which a call may be placed. There are numerous examples of little-known state laws that could get a company into serious trouble.”

Fotta recommends auditing your sales organization’s current compliance plan, and identify any areas where there may be weak spots. Perhaps your system is highly compliant with federal rules, but shaky on state rules. It may even be worth engaging a third-party compliance expert. In any case, a strong telemarketing solution can ensure your organization is remaining compliant with state and local rules as well as federal regulations.

After all, your telemarketing efforts won’t be worth much to your organization if they’re all taken away in fines and lawyer fees.