There is an ongoing debate about whether cold calling is still an effective sales strategy. Cold calling is a legitimate (and lucrative) way to do new business. But cold calls have changed a lot since companies used them as a sales tactic in the `60s. Late-night harassing phone calls and the upsurge in financial scams have made cold calls a nuisance to customers. In the early 2000s, the U.S. government began regulating cold calls. Cold calling has been heavily regulated over the past 30 years to protect consumers from fraud and nighttime interruptions. Businesses now have to follow restrictions on who to call, when to call, and how to sell. If sellers and telemarketers have account information purchased in advance, they must provide the required disclosures before the client gives express informed consent. Pre-purchased account information is any information that allows you to charge a consumer`s account without receiving the account number directly from the consumer during the transaction for which the consumer is charged. It is important to note that most B2B cold calls are exempt from TSR rules. However, there are a few exceptions you should be aware of. TSR regulates „telemarketing“ – generally defined as „a plan, program or campaign.
to arrange for the purchase of goods or services or a charitable contribution“ involving more than one intergovernmental telephone conversation. (The FCC governs domestic and interstate appeals.) With a few important exceptions, all businesses or individuals involved in „telemarketing“ must comply with the RSV. This applies regardless of whether they initiate or receive telephone calls to or from consumers as „telemarketers“ or „sellers“ can provide, offer or provide goods or services to consumers for remuneration. It doesn`t matter if a company makes or receives calls with low-tech devices or the latest technology. Similarly, it does not matter whether the calls are made from outside the United States; as long as they are supplied to consumers in the United States. Persons making calls must, unless otherwise exempted, comply with the provisions of TSR. If the calls are made to arrange for the purchase of goods, services or a charitable contribution, the company engages in „telemarketing“. Knowing the rules of cold calling, whether you`re a business or a potential customer, can help improve the transaction for everyone.
However, be aware that the rules can change, so it`s a good idea to follow the SEC on social media or sign up for notifications so you`re always in the loop. Human interaction is a great way to build trust. If your business relies on B2B cold calling, you want to make sure you don`t run into potential legal issues. Companies can use cold calling for B2B sales and comply with the law. B2B and B2C cold calls are completely different ball games. Here`s what you need to know about legal cold calling services. The Federal Communications Commission (FCC) enforces the Telephone Consumer Protection Act (TCPA), which also regulates telemarketing. For more information about TCPA, contact the FCC at fcc.gov.
Many states also have laws that regulate telemarketing. For more information about a particular state`s laws, contact the Attorney General`s Office or another state consumer protection agency. The Safe Harbour provision can help protect companies from prosecution for violations of the register. For the Safe Harbour to apply, a company must demonstrate that it has a written plan for compliance with the registry, train staff on the rules, and maintain a list of phone numbers that the company cannot fill out. The 19-page complaint adds that automated spam texts sent by Belfort and Global Motivation, its marketing company, did not include a way for recipients to opt out of future messages. The lawsuit alleges that the texts caused „harm to consumers, including legal harm, inconvenience, invasion of privacy, aggravation, harassment, and violation of their legal data protection rights.“ 5. Honesty is the necessary policy. Finally, you should know that the SEC requires all direct sellers to be honest and truthful. There is a difference between good marketing and deceptive marketing, even with cold calls. What is my responsibility if my company accidentally calls a number in the national registry? TSR has a „safe haven“ for accidental errors.
If a vendor or telemarketer can demonstrate compliance with all safe harbor requirements as part of its current business practices, it will not be subject to civil penalties if it accidentally calls a consumer who has stopped requesting calls or for calling a person on the national registry. However, salespeople and telemarketers should also be aware that the FCC regulates telemarketing calls. See fcc.gov. For your own protection, make sure you know each state`s laws before contacting potential customers. In this guide, you will learn everything you need to know to comply with laws and regulations on cold calling. In addition, the low percentage of authorized calls where an on-line representative may not be available within two seconds of greeting the consumer will require the telemarketer to broadcast a recorded message. The message must contain the name and telephone number of the seller responsible for the call so that the consumer knows who called and can return the call at the consumer`s request. The rule specifically states that sellers and telemarketers must continue to comply with applicable state and federal laws, including, but not limited to, the Telephone Consumer Protection Act (47 U.S.C. § 227) and FCC regulations at 47 C.F.R. Part 64.1200.
FCC rules prohibit these recorded messages from containing a sales pitch but, like the TSR provision discussed here, require that the message „contain only the name and telephone number of the company, entity or person on whose behalf the call was made and that the call was made for telemarketing purposes.“ The recorded message must not contain a sales pitch.
