Telemarketing

The rise of telemarketing can be traced back to the 19th century telephonists, or switchboard operators. Trans-cultural hiring of switchboard operators (mostly women) became especially popular in North America throughout the 20th century, partially due to popularity gained through advertising.[4]^{: 183–184} After the shift from public switched telephone network to computer-based electronic switching system, the job of switchboard operators gradually diminished. However, with the rise of advertising and with the popularity of the telephone use, new jobs, including telemarketing jobs, were created.

Telemarketing, as was the case with telephone operators, is one of the fields known to be occupied mostly by women.[5] The central reason for hiring women operators lay in the fact that women's work was considered a form of cheap labor: female telemarketers earned about one-half to one-quarter of men's wages.[4]^: 183 Women were also considered as more polite and well mannered than male operators.[4]^: 183 Moreover, the calming, more delicate nature of a woman's voice was considered to be women's natural quality, although no scientific evidence supports this statement.[6] This naturalization led to normalizing the perception of women as telephone operators and consultants, which is currently reflected in the telemarketing industry.

• Lead generation, the gathering of information and contacts.
• Sales, using persuasion to sell a product or service.
• Outbound, proactive marketing in which prospective and preexisting customers are contacted directly,
• Inbound, reception of incoming orders and requests for information. Demand is generally created by advertising, publicity, or the efforts of outside salespeople.

Telemarketing office

• Call to Action, the implementation of outbound telemarketing to "activate" or elicit an action or response from prospects (i.e., entice prospects to visit a client's website).
• Appointment Setting, utilizing inbound or outbound telemarketing to create face-to-face or telephone appointments for sales purposes.[7]
• Database Cleansing, the outbound calling of databases with the particular purpose to clean and prepare data (i.e. removing outdated and incorrect data) and contact details for future telemarketing campaigns.
• Surveys, the implementation of telemarketing (can be inbound or outbound) with the particular purpose of collecting data and information from specific target markets for qualitative research purposes.
• Telesales, telemarketing (inbound or outbound) with the specific intention of making an actual sale/transaction over the phone. Often includes the collection of credit card details over the phone for payment purposes, which allows for faster sales cycles and payment confirmation.

A recent trend in telemarketing is to use robocalls: automated telephone calls that use both computerized autodialers and computer-delivered pre-recorded messages in a sales pitch. Some can simulate a personalized phone call through personalized pre-recorded messages.

Telemarketing has recently been advanced to implement a programmed women's voice as the operator instead of hiring a real woman to perform the task (see example of Samantha West[11]). This attempt has been shown to be unsuccessful. However, some scholars argue that such technological advancements reinforce commoditization of a woman's speech as a marketable entity and lead to "gendered hierarchy of communication".[4]^: 186

Others tactics, such as ringless voicemail, can directly deliver a voice message directly to a landline's or cellphone's voicemail.[12][13] Its original purpose was to provide a nonintrusive method of delivering valuable messages. There has been debate on ringless voicemail causing issues relating to "hijacking" of the voicemail by companies, which would disallow family and friends to access the voicemail.[12]

Telemarketing in the United States of America is restricted at the federal level by the Telephone Consumer Protection Act of 1991 (TCPA) (47 U.S.C. § 227) and the FTC's Telemarketing Sales Rule (TSR). The FCC derives regulatory authority from the TCPA, adopted as CFR 64.1200 and the Telemarketing and Consumer Fraud and Abuse Prevention Act, 15 U.S.C. 6101–6108.[14] Many professional associations of telemarketers have codes of ethics and standards that member businesses follow to encourage public confidence.

Some jurisdictions have implemented "Do Not Call" lists through industry organizations or legislation; telemarketers are restricted from initiating contact with participating consumers. Legislative versions often provide for heavy penalties on companies which call individuals on these listings. The U.S. Federal Trade Commission has implemented a National Do Not Call Registry in an attempt to reduce intrusive telemarketing nationwide. Telemarketing corporations and trade groups challenged this as a violation of commercial speech rights.[15] However, the U.S. 10th Circuit Court of Appeals upheld the National Do Not Call Registry on February 17, 2004.[16]

Companies that use telemarketing as a sales tool are governed by the United States Federal regulations outlined in the TSR (amended on January 29, 2003 originally issued in 1995) and the TCPA. In addition to these Federal regulations, telemarketers calling nationally must also adhere to separate state regulations. Most states have adapted "do not call" files of their own, of which only some states share with the U.S. Federal Do Not Call registry. Each U.S. state also has its own regulations concerning: permission to record, permission to continue, no rebuttaling statutes, Sunday and Holiday calls; as well as the fines and punishments exacted for violations.

September 1, 2009, FTC regulations banning most robocalls went into effect.

Since many telemarketing calls now originate offshore, beyond the reach of US legal or regulatory agencies, the National Do Not Call Registry is usually ignored, as well as FTC regulations, and every possible number is called in an area code block. Some automated services are sophisticated enough to analyze the audio from the answering party, and if it determines that a human did not respond, will call repeatedly until one does or a limit is reached. This may be coupled with a fake Caller ID display ("spoofing") to mislead the call recipient into answering, or even thinking it is a local number calling. These are not actions of legitimate businesses.

Telemarketing techniques are increasingly used in political campaigns. Because of free-speech issues, the laws governing political phone calls are much less stringent than those applying to commercial messages. Even so, a number of states have barred or restricted political robocalls.

The National Do Not Call Registry has helped to substantially curb telemarketing calls to landlines and has also helped with the increasing trend for telemarketers to target mobile phones. As a result, there has been a greater push for mobile applications to help with unwanted calls from telemarketers, like PrivacyStar. These companies have helped to log thousands of complaints to the DNC Registry, since the inception of the registry itself.[17]

Telemarketing in Canada is regulated by the Canadian Radio-television and Telecommunications Commission (CRTC), an agency of the federal department Innovation, Science and Economic Development Canada. Canadians can register with the National Do Not Call List (DNCL) to reduce the number of telemarketing calls received.[18] Anyone who has received a telemarketing call which is in violation of one or more of the Unsolicited Telecommunications Rules may file a complaint to the national DNCL. The national DNCL operator then forwards all complaints to the CRTC, which determines whether a complaint warrants further investigation, based on their initial assessment.[19]

Telemarketing in Australia is restricted by the Australian Federal Government and policed by the Australian Communications and Media Authority (ACMA). Australian Federal legislation provides for a restriction in calling hours for both Research and Marketing calls.[20]

In 2007 a Do Not Call Register was established for Australian inbound telephone numbers. The register allows a user to register private use telephone numbers. Australian Federal Legislation limits the types of marketing calls that can be made to these registered telephone numbers; however, research calls are allowed. Other exemptions include calls made by charities and political members, parties and candidates[21] however any organisation that is instructed by the recipient of a telemarketing call, not to call that number again, is legally obliged to comply, and must remove the phone number from the organisations calling list(s).

Inbound telemarketing is another major industry.[22] It involves both live operators and IVR—Interactive Voice Response. IVR is also known as audio text or automated call processing. Usually, major television campaigns and advertisers use toll-free telephone number that are answered by IVR service bureaus. Such service bureaus have the technology and call capacity to process the large amounts of simultaneous calls that occur when a toll-free telephone number is advertised on television.

British police, after noting the high rate of pensioners affected, recommended use of do-not-call registry enrollment to enhance "phone security."[23] Specific mention was also made of calls from "overseas companies."

Telemarketing restrictions in the UK are in place to protect consumers from unwanted and intrusive marketing calls. The use of predictive dialers, which are computer programs that dial telephone numbers automatically and connect the calls to an available agent, can make compliance with these restrictions more challenging. The Information Commissioner's Office (ICO), the UK's independent regulator for data protection and privacy, has issued guidelines on the use of predictive dialers for telemarketing, which require explicit consent from individuals, clear information about the purpose of the call and the business making the call, an option for individuals to opt-out of future calls, and an accurate and up-to-date call list. Additionally, businesses must ensure that their predictive dialer does not generate abandoned calls at a rate higher than 3%[24] of live calls and must comply with the General Data Protection Regulation (GDPR) when processing personal data for marketing purposes. Failure to comply with these regulations can result in severe penalties, including fines and damage to a business's reputation.

In Finland, call centers employ an estimated 100,000 people, but most work with customer relations in larger companies. 10,000 people are working for companies involved with telemarketing. Telemarketing often is the first job young people get. But it is also a way out or back to the labour market for handicapped, immigrants and pensioners, In Finland, the profession has had a bad reputation because of work-related injuries. The strain on neck, shoulders, eyes and ears can be considerable. Health problems have however been reduced considerably thanks to lightweight headsets, ergonomic working stations and more tasks, like documentation, done automatically by computers.[25]

The ability to cause a French phone number to appear on a Caller ID display, when the call originates outside of France was removed by a law passed in July 2018; implementation was delayed until August 1 of the following year.[26]