June 1999

DialAmerica: Corporate Pride In A Job Well Done

BY Erik D. Lounsbury, C@LL CENTER Solutions

In an industry where a teleservices agency that has been in business for five years is considered a veteran company and one that has been around for 10 years is positively ancient, what do you call a company that has been successfully making calls since Eisenhower's second term?

Throughout its long history, DialAmerica has responded to changes in marketing techniques, training methods, state and federal legislation, and call center technology all with the goal of providing its clients with the best possible service from the best possible people.

DialAmerica's President, Art Conway, summed it up, "When you cut to the chase in teleservices, it's people talking to people. With all the technology we've invested in and with all the systems we've developed, it still comes down to effective conversations between our sales reps and potential customers."

Company History
In 1957, when DialAmerica Marketing, Inc. placed its first call to sell subscription renewals for LIFE magazine, it was called Life Circulation Company and was a subsidiary of Time Inc. Since Life Circulation was purchased and incorporated as DialAmerica in 1976, the company, headquartered in Mahwah, New Jersey, has grown into one of the giants of the industry with approximately 10,000 agents spread across 70 call centers nationwide.

Its divisions, Books & Entertainment, Consumer Communications, Financial Services, Publisher Services, Software & Video, Sponsor Relations and Inbound Services provide industry-specific expertise to its clients.

The Latest Technology
DialAmerica emphasizes its technology: two Rockwell Spectrum ACDs; 11 RS 6000s for outbound; 140 predictive dialers, with all dialer stats on the system at Mahwah; four RS 6000s for inbound 24/7, with significant Periphonics IVR capacity; and 400 T1 lines, carrying voice/data and two to three T1s at most branches.

DialAmerica's digital recording system has real-time verification that has reduced cancels by 75 percent. The company also has the capability to hot-transfer calls to any client location and gets the sales data to the client more quickly.

Using proprietary predictive-dialing systems, DialAmerica completes millions of calls each week.

Teleservices For Cable TV Companies
At the Consumer Communications Services division, Richelle Litteer, Director, New Business Development, explained that DialAmerica is focusing on every potential cable MSO (multi-system operator) including Time Warner, TCI, Cox and Comcast.

Among the campaigns this division is currently servicing are @Home, a high-speed data service with Cox Communications and TCI, and new digital platform launches with Comcast and TCI.

Litteer observed that they call over 100 different markets in the U.S. The Consumer Communications Services division has seven different call centers averaging 80 TSRs per center.

She noted that in a typical campaign, first, they have to call cable systems to establish relationships at local offices. They send out mailing pieces every quarter that utilize current success stories. The cable clients then give DialAmerica customer lists to be overlaid with in-house data including demographics.

"What sets us apart is experience and know-how," said Litteer. "We provide on-line scripting, on-line connectivity to major cable billing service providers   giving us the ability to actually schedule and input the client's sales orders into their systems  and installation (of cable) scheduling. Also, we offer unique pricing structures such as hourly rates or performance-based pricing. Companies can lock in the cost per sale, and it does not fluctuate."

Litteer added, "During the last six months of 1998, we have gone from a few hundred to between 3-5,000 hours per week and expect to double that in 1999."

Inbound Support
DialAmerica's inbound operations provide 24/7/365 service with TSRs filling 725 positions where they log more than 25 million minutes on the phones per year.

One of their most successful programs is "member/save," which is dedicated to keeping customers who call to cancel their account. Each rep is dedicated to the program, so the rep has to be very familiar with the product  the more familiar, the more the rep can do to keep the customer  so that they can give the customer reasons to continue using the product or service. DialAmerica attempts to achieve the best long-term save rate.

DialAmerica trains its inbound reps on the basics of selling: gain support, describe the product, attempt to upsell and cross sell, and offer to close. After an initial training period, reps are on staff for a month before they are completely trained.

DialAmerica offers dedicated programs where the reps are 100 percent committed to the client or program, or semi-dedicated where the rep may work on three to five accounts. They do not even offer shared services where a rep may work up to 100 programs.

The Inbound Services division's areas of expertise include Internet service providers (ISPs), financial services and magazines. In 1999, they are expecting the ISP and member/save areas to grow significantly. DialAmerica does not charge for set-up, scripting, screen development, reporting and, in most cases, training.

To help the client track the progress of the teleservices, DialAmerica provides reports that are customized based on their needs, and it can include ACD and disposition data on a daily, hourly or quarter-hourly basis.

Quality Assurance
Directing the recently reorganized Quality Assurance department is Noreen Kaminski, Vice President, Quality Assurance.

Kaminski developed a new monitoring system with ratings that grade the TSRs on a one-to-five scale, evaluating salesmanship, customer service and compliance. For the Inbound division, her categories encompass 20 different areas.

Kaminski observed that there is extensive monitoring in new branches, and DialAmerica is in the process of hooking up the entire company to remote monitoring. "The system has been designed to encourage the TSRs to improve," emphasized Kaminski. "My mission is to make us stand apart," she continued. "We are currently re-designing orientation and training manuals to make them more comprehensive and user friendly."

Kaminski pointed out that to keep up with the latest compliance issues, staff members attend Direct Marketing Association (DMA) and American Teleservice Association (ATA) functions. In addition, DialAmerica is one of the founders of Telewatch, an organization created by teleservice providers committed to maintaining the highest standards in the industry.

DialAmerica also maintains an in-house "do not call" list as well as the DMA's Telephone Preference Service List (TPSL), and they have a FCC number where people can call with questions about regulatory issues.

To maintain quality, reps are monitored by the quality assurance staff, but DialAmerica also listens to the TSR's presentations so they can give tips to the client that will help refine the program as well. DialAmerica's Quality Assurance motto is "Catch us doing something good."

Sponsor Relations Division
DialAmerica also supports local and national charities. Philip Salus, who joined Life Circulation in 1961, is Vice President of Sponsor Relations, the division whose clients are non-profit organizations. Salus said that in the early 1960s, LIFE was expecting 0.5 sales per hour, but after giving part of the profits to charitable organizations, sales increased from 0.5 to 1.5 per hour.

The first charitable organization was a Little League baseball team in Morristown, New Jersey. In the early 1970s, DialAmerica added the Big Brothers and Big Sisters, then statewide Special Olympics programs; the first national organization was the Leukemia Society of America.

Through the DialAmerica Sponsor Magazine program, $155 million has gone to the non-profits, which get 12.5 percent of the dollars collected. DialAmerica currently represents about 100 of these organizations.

With its 10,000 employees, rich history and the latest in technology, DialAmerica is in a good position to face the 21st century.