Dimension Data: Customer-Centric Strategies are 200 Leagues Ahead

Johannesburg, South Africa

Permission-based sales and marketing campaigns to prospects and existing customers are more than 200 times as effective as calls to a prospect list, according new research findings in Dimension Data's Global Contact Centre Benchmarking Report 2007.

The Report, which surveyed 403 contact centres across 42 countries, confirms that permission and loyalty marketing principles deliver results when applied to outbound contact centre campaigns. Cross and up-sell calls to existing customers, and appointment setting from a qualified lead are 225 and 212 times more effective than calling to a prospect list.

Cara Diemont, editor of the Report comments: "This is encouraging from a sales conversion perspective. Also, calling existing customers and prospects that have asked to be contacted is a customer-centric strategy that's aligned with privacy legislation."

In line with the implementation of privacy regulation, the Report shows an overall slow-down in outbound dialling. Average outbound call volumes last year returned to 2001 levels at just over 1.2 million calls per annum - a drop of over half a million calls (from a peak of more than 1,7 million on average in 2003). This decline is pronounced in regions where Do-Not-Call lists are in place, demonstrating that privacy legislation is having a significant impact on outbound activities.

Do-Not-Call legislation was first introduced in the United Kingdom and North America in 2003(1). With governments in Europe and Asia-Pacific planning to introduce similar laws, many companies have been concerned that this will result in the demise of telemarketing.

"The findings show that this development is not necessarily something companies should fear, as it is far more effective to call existing customers and it's clear that permission-based outbound calling is highly effective on the whole," explains Diemont.

However, the outbound function remains a manual process in most contact centres, with a typical outbound call requiring a pre-call setup of 31 seconds on average. "Outbound traffic management is a specialised practice, and one that inbound-focussed businesses fail to do as efficiently. Depending on the purpose of the contact, only 10% -15% of respondents to this year's survey employ formal campaign management methods for their outbound traffic."

"To realise the positive returns from outbound initiatives, which the Report indicates are possible, it's essential that contact centres put in place consistent processes and use relevant campaign tools to ensure outbound calling is both efficient and effective," concludes Diemont.

About Dimension Data

Dimension Data plc (LSE:DDT), a specialist IT services and solution provider, helps clients plan, build and support their IT infrastructures. Dimension Data applies its expertise in networking, security, operating environments, storage and contact centre technologies and its unique skills in consulting, integration and managed services to create customised client solutions.

www.dimensiondata.com

About the Global Contact Centre Benchmarking Report

First published in the UK in 1997 by Merchants, Dimension Data's specialist contact centre outsourcing and operations division, this year's edition is the ninth in a series of the industry-renowned benchmarking reports. The report has balanced global and industry representation from 403 contact centres located across 42 countries and five continents, and is an invaluable reference for all contact centre professionals. It provides managers with a set of best practice standards and benchmarks, including staffing and training, performance metrics, technology usage, budgets and development plans. The report is researched and published by Dimension Data. For more information about the Report, please go to www.ccbenchmarking.com

(1) Entered into legislation on 4 October 2004. Source: www.ftc.gov

CONTACT: Dimension Data Hilary King Tel: +27 11 575 6728 Cell: +27 82 414 9623 Fax: +27 11 576 6728 hilary.king@za.didata.com

Source: Business Wire (Business Wire India)

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