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Telemarketing leads are the technological version of going door to door. The caller canvases everyone on the phone list. On a good day, a few of the conversations will result in the sale of a product or service.
The Olden Days
In the days when people had party telephone lines and no one had ever heard of a personal computer, salesmen went door-to-door asking residents for a moment of their time, so they can demonstrate the latest must-have product. Rarely, the salesperson might be a woman. She usually sold cosmetics to her friends and neighbors.
On a good day, the salesperson might make 20-30 contacts. Of those connections, 4-5 might want the product being sold. It is a costly means of getting the word out and developing business leads.
Today
Telemarketing leads work on the same principle, but thanks to modern technology, the sales person is on the other end of the line and calling people from a list of contact numbers. Depending on the resources, the next number may be automatically dialed, considering the next possible combination of phone numbers.
If the call is answered, the representative will likely have a scripted text to following, in order to make a sale. However, this can definitely cause problems, if the person hired to do the calling does not know enough about the product and does not know how to respond to the contact.
For this reason and a few others, telemarketing is not quite as cost effective as some other lead generating options. The individual on the phone needs to be trained on what to expect, how to handle constant rejection, what to do in the case of a belligerent contact, and even the simplest things like proper phone etiquette. In addition, the individual will still require an hourly wage, regardless of whether the calls generate any telemarketing leads.
Cost Effective
Although telemarketing leads are more cost effective than when salespeople went door-to-door, there is one way of generating sales leads that is cheaper and probably works as well as telemarketing. It is the tried and true email.
Senders can develop an email list of all their contacts. They put the individuals in a contact group. Then, when it is time to send out information about a sale, promotional gimmick, or information update, it takes one click and the same note is sent to all the persons on the list. It does not cost a measurable amount. But, the drawback is the limited contacts. Telemarketing leads can be generated by a computer calculation of all of the potential phone number combinations, and the calls can saturate an entire geographic area in no time at all.
In short, telemarketing leads can be a great way to generate more business. But, it must be done correctly, in order not to lose potential business by alienating likely clients. Certain practices and manners must be implemented for the sake of the telemarketer and the public. Knowing when to politely say goodbye and terminate a call can save that potential lead for another day.
Other than an email marketing campaign, garnering a telemarketing lead will probably yield a greater return on any advertising investment. The only reason that emails are more economical is simply because it only takes time to get a 
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