Welcome to my personal blog where I share my thoughts on success, life, money and the state of the network marketing (AKA multilevel marketing, direct sales) industry. Andre Vatke


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Are automated dailers a smart marketing idea or just a way to scam honest marketers?

Are automated dailers a smart marketing idea or just a way to scam honest marketers?

I've been getting reports from from a number of marketers that they have been getting calls that at first appear to come from a prospect. However when they pick up, it turns out to be a prerecorded message amounting to phone spam.

Is this a great new marketing idea or simply a way for service/software provider to scam honest marketers?

[More:]


Software and equipment providers have long capitalized on marketers fear of cold calling and their desire to have a fully automated marketing system.

Before you are tempted to invest into calling software or anything similar, here are a few facts to consider...

1) Is it duplicatable?

While most network marketers now have their own computer at home, dialing software or services can cost a significant sum. Also because the software is far from mainstream installation issues abound and are often unresolved.

2) Is it effective?

Surveys and studies on consumer preferences show that automated calls are considered the most intrusive - out ranking even the door to door sales person on the annoyance factor. Most mainstream companies have abandoned automated calls as they simply do not create positive ROI or foster goodwill with customers.

3) Is it legal?

The following is from FCC Calling Laws and from a legal guide available to Leaders Club members:

  • Calls placed by autodialers may not be made to residential telephone numbers except for emergency calls needed to ensure the consumer's health and safety; calls for which you have given prior consent; non-commercial calls; calls which don't include any unsolicited advertisements; calls by or on behalf of tax-exempt non-profit organizations or calls from entities with which you have an established business relationship.
  • If an autodialer is used to deliver an artificial or prerecorded voice message, that message must state, at the beginning, the identity of the business, individual, or other entity initiating the call. During or after the message, the caller must give the telephone number (other than that of the autodialer or prerecorded message player that placed the call) or address of the business, other entity, or individual that made the call. It may not be a 900 number or any other number for which charges exceed local or long distance transmission charges.

I have YET to see a company that offers such service actually inform their customers of the requirements. They may not be liable as only a service provider (just like your ISP is not liable for SPAM that you may send) but they are banking on your ignorance.

While most people will never get caught or reported to the FCC, the liability if you do, is $500 per call made. Also keep in mind that the only thing people hate more than the stereotypical telemarketer is the autodialer and a recorded message.

Simply following Leaders Clubs golden rule of marketing can help your avoid 99% of these marketing "sucker traps." The rule of course is seeing things from the prospects point of view. That alone helps to improve all marketing - from e-mail to phone calls to web sites to follow-up strategy.

And remember - no automation tool alone can compete with a marketer who genuinely desires to help his or her prospect!


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