Selling stuff via IVR: $99.99 the limit?
From behind the lines of the direct marketing industry, here's an insight on IVR effectiveness with respect to product price. Demographic issues and product complexity aside, Michael Moreau at DM News says it's generally unwise to use an automated system for calls where the total purchase may exceed $99.99. But below $99.99, there are real benefits:
"For example, take a kitchen gadget where the base offer is priced between $19.99 and $49.99. The first upsell is for another unit at a discount, the second upsell is for an accessory to the base unit, the third upsell is rush shipping and the final upsell, a club membership.
In these situations, IVR systems actually do better than live agents with upsells and cross sells for one reason - the offers are always read. The marketer has the ability to record exactly what the upsell should say and what tone of voice is used so it is the same each and every time. You simply cannot have that kind of control in a live agent call center."
So for lower cost purchases, the effectiveness of a pre-recorded sales pitch can outweigh even the need for a human to close the deal. This seems to say a lot about the power of direct marketing - get the initial advertising right and the rest will just fall into place.
(Now, clearly, if someone were to develop an automatic IVR deal-closing persona that could answer questions about the warranty, know when to give warm reassurances about quality and when to go in for the kill, that would be a licence to print money...)
