Envirotrust

Alice Rivers gulped and tried to think fast. In front of 200 people at the New Technologies Forum, someone had just stood up and asked why her company felt it had the right to disturb the dinners of 500 people every night and, furthermore, why she seemed to be proud of what they were doing.

Ms. Rivers was Director of Telemarketing for Envirotrust, an investment company devoted to environmentally appropriate land, water, and mineral development. Among other methods, Envirotrust used telemarketing to contact potential investors. If a potential investor showed genuine interest during an initial conversation, printed marketing materials and sign-up forms would be sent, and follow-up calls would be made to complete the arrangement.

The telemarketing system worked as follows: Envirotrust had purchased mailing lists and customer lists from various magazines and retailers whose upscale customers might be interested in the environment and financially able to invest in Envirotrust. The phone solicitors all had computer terminals that displayed information about the person they were calling and showed an outline of the script for the call, including branches depending on the person's interests and enthusiasm level. When one call was completed, the computer would choose the next person the solicitor would call, display the information about that person, and automatically dial the call. If the line were busy, the computer would automatically call back later. As the conversation unfolded, the solicitor would enter key responses into the computer, such as the potential investor's comments about other investments, political beliefs, or willingness to invest in something like Envirotrust. Based on what the solicitor entered, the computer would display different branches in the script. This had proven an effective way to keep the conversations more or less on track and to ensure that as much information as possible could be gained.

This use of telemarketing had proven 50% more effective than the previous, less organized methods of calling potential clients. Although it was true that some people's dinners were disturbed, calling during dinner time had generated the highest response rate and generated the most interest in Envirotrust.

Questions:

1. Use the systems analysis framework to describe key business processes.

2. Use the ideas in the chapter to explain why this case is or is not an indictment of telemarketing technology.

3. What do you think Ms. Rivers should say?

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