Outbound Dialers: Types, Benefits, & How to Use Them
By Andrea Viktória Filová
| 3. April 2024 |
SalesFeatures
By A. Viktória FilováAndrea Viktória Filová
| 3 Apr 2024 |
SalesFeatures
    By A. Viktória FilováAndrea Viktória Filová
    | 3 Apr 2024
    SalesFeatures

    Outbound Dialers Explained: Types, Benefits & Best Practices

    The average cold call conversion rate is 2%. But if the goal is to drive more outbound sales, how do you do it? Make more and better calls faster with an outbound dialer.

    Outbound dialers aren’t all created equal. There are multiple types, each with its own advantages and best use cases. Today, we’ll tell you all about them. Read on to discover the best outbound dialer for you!

    Key Takeaways:

    • Outbound dialers can be broken down into four basic types based on complexity and use case: Auto Dialers, Predictive Dialers, Power Dialers, and Smart Dialers.
    • Using dialer software for an outbound call center allows you to optimize team efficiency, customer engagement, lead management, conversion rates, etc.
    • Matching the best outbound dialer to your use case can boost successful calls by 400%, help you reach 3x more leads each day, and lower call times by 50%.

    What Is An Outbound Dialer?

    Outbound dialers are an umbrella term commonly used to refer to all types of Automatic Dialing Systems (ADS). As the name suggests, these are software solutions that automate the dialing process for outbound calls, most commonly sales cold calls.

    Although there are multiple types of auto-dialers, they all share several common traits that make them a cornerstone of modern outbound sales strategies

    Most importantly, they remove the need for manual dialing, speeding up the calling process significantly, allowing for maximum workforce utilization, smaller team compositions, and up to 3x more calls made per day.

    Why Should You Use An Outbound Dialer?

    After teasing the topic in the previous section, it’s only right that we dedicate some time to fully exploring the benefits of using an outbound dialer. Here’s what you can look forward to after onboarding any type of ADS into your operations.

    • Increased Operational Efficiency:

    Outbound dialers significantly increase the efficiency of sales teams by automating the dialing process. Instead of manually dialing each number, agents can focus on engaging with prospects, leading to 3x more calls per day and more opportunities for conversion.

    Fun fact

    Poliglota increased its agent productivity by 10% and outbound success by 30% after onboarding CloudTalk as its call center solution.

    • Enhanced Customer Engagement:

    By streamlining the calling process, outbound dialers enable agents to spend more time building relationships with prospects. With features like call recording and CRM integration, agents can personalize interactions and provide better service, ultimately improving customer satisfaction and retention.

    Fun fact

    MyHeritage managed to boost its monthly call volume by 49% after incorporating CloudTalk’s dialer-friendly call campaigns. 

    • Improved Lead Management and Conversion Rates:

    Outbound dialers help manage leads more effectively by organizing contact lists, scheduling follow-up calls, and tracking interactions. This structured approach can offer a 98% accuracy in verifying numbers and ensures that no lead falls through the cracks, resulting in higher conversion rates and revenue.

    • Reduced Idle Time for Agents:

    With outbound dialers, agents spend less time waiting between calls, as the system automatically dials the next number as soon as they are available. This minimizes idle time and keeps agents productive throughout their shifts.

    Fun fact

    PlanRadar increased its call handling efficiency by 70% just months after incorporating CloudTalk into its operations.

    • Compliance and Risk Management:

    Outbound dialers are equipped with features to ensure compliance with regulations such as the Telephone Consumer Protection Act (TCPA) and Do Not Call (DNC) lists. Dialer software helps mitigate the risk of non-compliance and potential legal issues by automatically screening numbers and recording consent.

    Types Of Outbound Dialers

    The outbound dialer market is wide and varied, with multiple types of software on offer – each with its own advantages, disadvantages, best practices, and ideal use cases. So, to help you navigate this issue, we prepared this helpful table.

    #1 Auto Dialer

    The most basic type of outbound dialer. It calls the next number in the queue after the last call ends.

    Use Case: Low-cost, high-volume call operations for simple sales.

    Check how much Auto Dialer costs.

    Pros

    Cons

    Description

    • Easy to Use
    • Minimal Requirements
    • Affordable
    • Automates Calls
    • No Targeting
    • No WFM
    • Likely Burnout

    How you can compare Auto vs Predictive dialer?

    #2 Predictive Dialer

    An outbound dialer able to evaluate and anticipate call center capacity. It can initiate multiple calls simultaneously for each agent to maximize resource utilization.

    Use Case: High-volume call campaigns for smaller teams with limited resources.

    Pros

    Cons

    Description

    • Capacity Predictions
    • Non-Human Number Filtering
    • Performance Tracking
    • No WFM
    • Likely Burnout
    • No 3rd Party Tool Integration

    #3 Power Dialer

    Outbound dialer that makes one call per agent at a time. Offers a higher level of control over designated call queues. Is simple to use and doesn’t require complex algorithms to work.

    Use Case: Balanced call campaigns optimized for both reach and personalization.

    How much does Power Dialer cost?

    Pros

    Cons

    Description

    • Pacing Management
    • Burnout-Proof
    • Workflow Automation
    • Low Call Abandonment
    • 3rd Party Tool Integration
    • More Downtime
    • Smaller Call Increase
    • Limited Filtering

    See why you should choose Power Dialer over Predictive Dialer.

    #4 Smart Dialer

    The most complex of all outbound dialers. Can be used to create highly customized, adaptive call queues and campaigns. Can be integrated with 3rd party tools (CRMs, Helpdesks, etc.) and Click-to-Call.

    Use Case: High-value, medium-sized call campaigns optimized for CSAT.

    Learn how Smart Dialer is priced.

    Pros

    Cons

    Description

    •  Intelligent Call Pacing
    • Burnout-Proof
    • Adaptive Algorithms
    • Single-Click Call Queues
    • Ensured Compliance
    • More Expensive
    • Longer Set-Up
    • May Require Agent Training

    How To Choose The Best Outbound Dialer (For You)

    As should be clearly evident, despite sharing the same designation as outbound dialers, each type is very different. If you want to find the one that’s right for you, you’ll need to consider the following aspects.

    #1 Assess Your Business Needs and Goals:

    Before investing in an outbound dialer, take the time to think about your business needs and objectives. Consider factors such as the size of your sales team, the nature of your outbound campaigns, and your target audience.

    Are you focusing on high-volume cold calling, or do you prioritize personalized interactions with leads? Understanding your unique requirements will help you narrow down your options and choose a dialer that meets your business goals.

    #2 Understand Your Call Volume & Agent Capacity:

    Evaluate your call volume and agent capacity to determine the scalability and efficiency requirements of your outbound dialer.

    If you anticipate high call volumes and have a large team of agents, you may benefit from a power dialer that can automatically adjust dialing rates based on agent availability.

    Conversely, if you have a smaller team or variable call volumes, a progressive or power dialer may be more suitable for pacing calls to match agent capacity effectively.

    #3 Consider 3rd Party Integrations:

    Integration with your existing CRM (Customer Relationship Management) and software platforms is essential for seamless operations and data management.

    Choose an outbound dialer that offers robust integration capabilities with popular CRM systems, such as Salesforce, HubSpot, or Zoho CRM.

    This ensures that your sales team can access relevant customer information, track interactions, and sync data effortlessly, streamlining workflow and enhancing productivity.

    #4 Keep an Eye on Compliance:

    Compliance with regulations, as we mentioned earlier, is paramount if you want to run efficient outbound campaigns, especially internationally. Therefore, it’s vital you look for a provider that fulfills all requirements in your target countries.

    Key features to look for are automatic DNC (Do Not Call) list scrubbing, call recording consent management, and opt-out mechanisms. However, you should also keep an eye out for robust encryption protocols and secure data storage.

    Learn all you need to know here!

    The 3 Best Practices For Outbound Dialing

    #1 Train & Equip Your Team:

    Provide comprehensive training to your sales team to ensure they are proficient in using the outbound dialer software and equipped with the necessary skills to engage with prospects effectively. 

    Training should cover various aspects, including navigating the dialer interface, understanding calling workflows, handling objections, and leveraging CRM integration features. 

    Additionally, ensure that your team is educated on compliance regulations and company policies to mitigate risks and maintain professionalism during interactions.

    #2 Invest Time in Scripting & Call Planning:

    Develop well-crafted scripts and call plans to guide your sales team during outbound calling campaigns. 

    Scripts provide a framework for conversations, encouraging authenticity and flexibility to adapt to each prospect’s unique needs and preferences. Incorporate key talking points, value propositions, and objection-handling strategies into your scripts to keep interactions focused and impactful. 

    Regularly review and refine scripts based on feedback and performance metrics to continuously improve effectiveness.

    #3 Monitor & Analyze Call Metrics:

    Regularly monitor and analyze call metrics to evaluate the performance of your outbound dialing campaigns and identify areas for improvement. Track key metrics such as call connect rates, conversion rates, average call duration, and agent utilization to gauge campaign effectiveness and agent productivity. 

    Leverage reporting and analytics tools provided by your outbound dialer software to gain insights into calling trends, identify high-performing strategies, and address any issues or bottlenecks promptly. 

    Use data-driven insights to optimize dialing parameters, refine scripts, and allocate resources effectively to maximize results.

    Wrapping Up

    By now, it should be no wonder why so many businesses value outbound dialer software so highly. And considering the recent improvements made in the sphere of AI and automation, it will likely only become more effective.

    But dialers aren’t all there’s to effective outbound calling. If you want to truly get the most out of your efforts, you’ll need to implement many industry best practices and expert strategies. Luckily, CloudTalk got that covered.

    Discover the advantages, tools and best practices to make the most of outbound sales.

    FAQs

    u003cstrongu003eu003cstrongu003eWhat is the difference between manual and automated dialing?u003c/strongu003eu003c/strongu003e

    Manual dialing requires agents to manually input phone numbers and initiate calls, which can be time-consuming and inefficient. Automated dialing, on the other hand, utilizes technology to automate the dialing process, increasing call volumes and agent productivity significantly.

    u003cstrongu003eu003cstrongu003eWhat are the key metrics to track when using outbound dialers?u003c/strongu003eu003c/strongu003e

    You can learn all about the most important call-tracking metrics for both inbound and outbound operations in our article u003ca href=u0022https://www.cloudtalk.io/blog/what-are-call-tracking-metrics/u0022u003ehereu003c/au003e. However, for outbound dialers, you should always consider tracking:u003cbru003eu003cbru003eu003cstrongu003eCall Connection Rate:u003c/strongu003e The percentage of calls that successfully connect tou003cbru003ea live person.u003cbru003eu003cbru003eu003cbru003eu003cstrongu003eAverage Call Duration: u003c/strongu003eThe average length of time spent on each call.u003cbru003eu003cbru003eu003cbru003eu003cstrongu003eConversion Rate:u003c/strongu003e The percentage of calls that result in a desiredu003cbru003eoutcome, such as a sale or appointment.u003cbru003eu003cbru003eu003cbru003eu003cstrongu003eAgent Utilization:u003c/strongu003e The percentage of time agents spend activelyu003cbru003eengaged in calls versus idle time.u003cbru003eu003cbru003eu003cbru003eu003cstrongu003eCompliance Rate:u003c/strongu003e The percentage of calls that adhere to regulatoryu003cbru003erequirements and internal policies.

    u003cstrongu003eu003cstrongu003eWhat is the best outbound dialer?u003c/strongu003eu003c/strongu003e

    The best outbound dialer depends on the specific needs and goals of your business. Predictive dialers are ideal for high-volume campaigns, progressive dialers offer a balanced approach for varying call volumes, power dialers excel in rapid outreach scenarios, and preview dialers prioritize personalized interactions. u003cbru003eu003cbru003eAssessing your business requirements and evaluating the features and benefits of each type will help determine the best fit for your organization.