An Analysis of the Success Rate of Telemarketing with the Concept of Consumer Behavior – A Case Study of A Company

In the telemarketing department of A company, the success rate of approaching members who often buy products from the department (A group) is about 30%. However, the success rate of approaching members who have not purchased anything from the department before (B group) is only 7%. In this thesis, we would like to learn about the reasons behind the low success rate and suggest possible solutions by means of focus group research where we interviewed 10 people from A group and 10 people from B group. Through focus group research, we found out that people in A group are extremely different from people in B group. The interviewees from A group are 1) loyal to A company, 2) In good relationship with salespeople from the telemarketing department of A company, 3) insensitive to the prices, 4) confident of information provided by sales people in A company, 5) reluctant to search for information about products, 6) not tech-savvy. On the contrary, the interviewees from B group are 1) not loyal to A company, 2) not willing to be pushed to buy products, 3) price-sensitive, 4) rational customers who search for lots of information before making any purchase, 5) tech-savvy. With the differences compared, we have come up with some possible reasons why B group rejected, 1) A company does not always provide the lowest prices. 2) People from B group are hardly affected by sales people from A company since they only trusted information searched by themselves. 3) Bare information can be acquired in a short time via telemarketing. 4) Recommendations made by sales people do not fit their needs. To solve the problems mentioned above, we suggested possible solutions accordingly as below. 1) To get rid of price war and attract price-sensitive customers, A company should provide customers with other values besides fair prices. 2) Instead of pushing products to customers, A company should pull customers to express their needs and provide product IV solutions accordingly. 3) To provide customers with sufficient information when conducting telemarketing, A company can offer related information via email, LINE, Whatsapp etc. to help them make decisions. 4) A company should enhance its ability to analyze customers’ personal data and purchasing history to give better product recommendations.