he meteoric rise of gas prices might actually be good news for ISOs/MLSs In Search Of ways to grow their businesses and portfolios. How can expensive gasoline possibly help you sell terminals? By making you think seriously about getting off the street and motivating you to take a hard look at a telemarketing-based sales model.

No, telemarketing is NOT a dirty word, and the dreaded "do not call list" has NOT made it an obsolete sales technique. The National Do Not Call Registry, implemented by the Federal Trade Commission (FTC) in 2003, gives consumers the option of registering their home phone numbers so that they will not receive telemarketing calls. The overwhelming majority of those on the list are residences, not businesses. (If businesses joined the registry, they wouldn't need a phone because they'd be OUT of business.)

I prefer to call telemarketing "teleselling."

Let's cut to the chase: you're going to be positioned to make a whole lot more money by teleselling because you'll be able to cover more territory in less time at a reduced cost. You'll achieve a number of competitive advantages, too.

Here's an example of real world proof I've garnered first hand: In one city, an ISO has a telemarketing-only operation and is moving over 14,000 units annually. And guess what? This ISO has a higher profit margin because the compensation for sales resulting from teleselling is much lower than it is for street selling.

There is also less expense involved in both the sale and installation because selling and training are done over the phone, rather than onsite at the merchant's location. This means the higher profit margin is achieved while still offering lower prices than other agents. Can you imagine the looks on your competitors' faces when they see you're selling at 20% or more below their prices?

I can hear you thinking out loud. You're wondering, "Considering the complex technology the terminals incorporate and the complicated steps it takes to use them, how in the world can I sell them over the phone, much less train merchants over the phone?" Well, campers, if you're an ISO/MLS selling complicated terminals, then your business may go the way of Eastern Airlines. (In case you didn't know, they've been out of business for years.)

There is plenty of easy-to-use new terminal technology available from leading manufacturers, and if you're still selling the complicated stuff, I don't think you have a bright business future. Why? Because these hard-to-operate terminals are big inhibitors to the myriad of value-added, profit-generating products like loyalty, pre-paid and signature capture.

Your competition is, or soon will be, selling the easy-to-use terminals loaded with these revenue-boosting applications. Merchants want them not only because they're simple, but because they include a lot more, too: faster transactions, reduced numbers of mistakes, better record keeping capabilities, easier access to account information and a smooth employee learning curve. Before I provide a few simple steps to help get you started teleselling, let me describe what's waiting for you and your merchants in the new terminal technologies engineered for easy use.

The most desirable, and therefore the most likely to be the best sellers, are new terminals that have functions quite similar to ATMs. Their touch screens show intuitive prompts and, quite simply, they're simple to use. By employing an ATM-like operational approach, these terminals take advantage of the public's knowledge (including customers, merchants and their employees) and comfort with using them. Who hasn't used an ATM by now?

To really fortify your telesales presentation, make sure you include the ammunition that the terminal is as easy to operate as an ATM. People don't want complicated, they want easy. Remember most people still can't program a VCR to record a show when they're not home, but they are able to withdraw cash from machines located just about anywhere. As I mentioned earlier, new terminal technologies make new profit generators possible for you and your merchants. Along with being in a position to sell and train via the telephone, you're also in a position to up-sell the value-added options.

If you want to get started in teleselling, make it easy on yourself. I recommend you begin with your current install base. Promote value-added options including loyalty, pre-paid, and signature capture at first. Besides adding profits, you will also enhance your position in the eyes of your merchants, which helps with customer retention.

Certainly, if your merchant is using equipment with old technology that makes value-added products difficult or impossible to incorporate, you'll be selling a new terminal and the value-adds-not a bad situation for you. Once you've fine-tuned teleselling to your current customers, you'll be poised to move ahead to the bigger challenge and opportunity: teleselling to new merchants.

Any contact data you need to telesell is widely available; you don't have to purchase pricey leads lists. Your trusty phone book is FREE and you can immediately put it to work for you. Virtually every business is listed and the books are updated frequently, at least annually. For newer businesses not yet listed in the phone directory, check your local business publications. These typically publish lists of new merchant business license filings and names of owners; use these to get to the merchants before the competition does.

Also, look to agent banks for referrals; they want more business and you're a means for them to accomplish that end. I've given you a snapshot of how you can dial for dollars to grow your portfolio as never before. Reduce the costs of selling and training, increase your profit margin. Don't let this opportunity pass you by.

I have to go now. I have some calls to make.

Lisa Shipley is Senior Vice President, Hypercom Corp. You can reach Lisa at lshipley@hypercom.com