Discussion in 'Business Operations' started by GreenStar, Jan 8, 2002.

  1. GreenStar

    GreenStar Banned
    Messages: 114

    has anyone used or considered a telemarketing firm. yes i know i hate them and i told the owner of a firm that yesterday, but i'm going in on thursday for a sit down.
  2. Turfdude

    Turfdude LawnSite Bronze Member
    Messages: 1,899

    Do you really want to have prospectrive clients harangued during their dinner? Telemarketers - no way. I always add a few new clients each year because they are tired of picking up the phone from the TGLC guys trying to sell them more services.
  3. GreenStar

    GreenStar Banned
    Messages: 114

    see i had that same idea i was that tgcl rep at one time so i know. but on the other hand it's effective. my fiance's mother works for bbdo advertising she did some research for me on the statistics on telemarketing. the numbers dont lie. this firm will run script for me i have to approve it before it's put to use. these are not sales calls only prospect estimates basically throwing a name out. i use the new telemarketing laws in michigan to my advantage. all the calls are recorded so i can listen to any call at any second any day of the week. i can also stop by the facility unannounced and listen to anything. they charge $28-32 an hour and you pick the call times.
  4. JimLewis

    JimLewis LawnSite Fanatic
    Messages: 6,872

    I haven't done this but I looked into it in detail once. Here's what I can offer;

    1) I like the pay-per referral method better than an hourly rate. If you pay them, say $5 or $10 per good, qualified lead, they can make a good hourly rate and you only have to pay if they produce results.

    2) I wouldn't worry too much about bothering people during dinner and having them pissed off at your company. Unless you are really well known in your area most people won't remember your name for 1 minute, much less a year from now when they see something from you again. It will go like this, "Who was that, honey?" "Oh, Green something or other landscaping. Some telemarketer. I just told them we weren't interested."

    And the next day they'll forget anyone even called.
    3) Results will depend on the season, like any other kind of advertising.

    Whether it's a good idea or not, I dunno. I've always thought it would work fairly well. It's a numbers game, just like laying flyers. And I've pissed off some people by puting flyers on their doors too. But I still do it because it produces great results. Maybe this will too.

    Why don't you just put a cap on how much they can do and go for it. Let us (and me specifically) know how it works.
  5. heygrassman

    heygrassman LawnSite Senior Member
    Messages: 509

    I would be very cautious. I have used telemarketing in past ventures and the script is everything. I would be very suprized if you could get decent telemarketing for under $20 per lead. I would recommend using telemarketing as a followup to a flier or newspaper ad. This will increase the cost per sale, but it is a better way to get more quailfied leads.

    Good Luck.


    MATTHEW LawnSite Senior Member
    from NE OHIO
    Messages: 665

    My quote was $7,000 for 500 qualified leads. Those are just people who are willing to entertain a free price quote.Now if that was to SELL the service, that would be OK-but- Many use these quotes to try and get a lower price from their present lawn guy. I have been there.It's part of the cut-throat business we're in. I think that out of 500 leads, only 300 would actually consider switching. And out of those, I would say selling 100 would be very good. So, $7,000 for 100 new customers. $70.00 each. Maybe 2 cuts. It should be worth it, but it is so hard to write that check out. I didn't do it. If it were for mowing accounts, maybe. But I am going after fert & pest accounts. Small lawns in my area. Just not worth it. :(
  7. $7000 for 100+ respectfull clients hell yeah wher do I sign up.

    You will spend more than that in putting flters out to get 100+ respectable customers.
  8. trimmasters

    trimmasters LawnSite Senior Member
    Messages: 264

    Thats only 70 per cutomer...........................not to bad but could be a little lower
  9. Randy Scott

    Randy Scott LawnSite Bronze Member
    Messages: 1,915

    Based off everyones input on this forum about advertising percentages, I don't believe you will get 100 of the 500 people. That's 20% and the talk and average results here with advertising is 2% to 3% usually. If any people out there are like me, the telemarketer doesn't even have a chance to throw their sales pitch at me. When I answer the phone and say hello, their is always a pause before they pick-up/respond, that is where I hang up the phone. It is so easy to know when a telemarketer is on the line. Plus, what about the zapper things or whatever they are called that are entering the market, or caller I.D. I'm not saying it won't work, and if your advertising budget will allow it, then go for it. I think some of the other methods would be better though.

    MATTHEW LawnSite Senior Member
    from NE OHIO
    Messages: 665

    I think that the 2-3% only applies to them calling you off of a flyer. If YOU call them and THEY give the OK for a quote, you cut out all of the "not interested" ones. Any marketing team can tell you that most sales are on impulse stimulated by a sales pitch and a little bit of that "now or never" vibe.
    My good friend is a top seller at a Saturn dealer. He says that only 2-3% of the people return to buy once they've left the lot.
    And with lawncare,I think it is the same thing.

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