You may have heard the phrase “rules were made to be broken.” This can be a fun philosophy in several parts of life and maybe even some areas of the real estate industry. There is one space where rule-breaking certainly doesn’t apply, though. That’s the Do Not Call registry. Breaking DNC list rules can mean trouble for real estate agents and the companies they work for.
In the fast-paced world of real estate, where every lead counts and every connection can lead to a lucrative sale, the stakes are high regarding marketing strategies. However, navigating the intricacies of the Do Not Call (DNC) list rules can be a daunting challenge for many real estate professionals. If you can’t call people, how are you supposed to gain new leads or follow up with warm ones?
Understanding the DNC list and implementing effective compliance strategies is essential for thriving in this competitive industry. In this article, we will explore the implications of the DNC list rules for real estate professionals and provide actionable insights on engaging prospects ethically and effectively.
Overview of the National Do Not Call Registry
The Do Not Call registry is a national database created by the Federal Trade Commission (FTC) in the United States to provide consumers with a choice regarding unsolicited telemarketing calls. It allows individuals to place their phone numbers on a list that telemarketers are prohibited from calling.
This initiative started to reduce the number of unwanted calls consumers receive at a time when many people had home phones that were disrupted throughout the day with solicitation calls. The effort focused on creating a more comfortable and private home environment.
Purpose of the DNC List Rules
To understand the DNC, you need to be familiar with the communication mechanisms of the nineties. In the early nineties, there was a rise in the number of unsolicited telemarketing calls that consumers were receiving – especially from robo-dialers and pre-recorded calling machines. Research shows that it takes an average of 8 calls to reach your intended target and even more phone calls to convince them to listen to your pitch. You can imagine how those calls added up, especially once companies figured out how to use technology to make these dials automatically.
In response to pressure from consumers to reduce unsolicited calls, the US Congress passed the Telephone Consumer Protection Act (TCPA). To restrict sales calls and the use of robo-dialers and recordings, the TCPA also created the Do-Not-Call (DNC) Registryto limit the telemarketing calls they received.
This initiative is managed by the Federal Trade Commission, and at this stage, the DNC list rules are widely published and generally adhered to. The DNC registry allows consumers to reduce cold calls by punishing callers for infractions with substantial fines. The registry empowers consumers to take control over their phone lines, ensuring that they only receive calls from those with whom they have a prior relationship or have given explicit consent. Additionally, the registry enhances consumer privacy and reduces the overall annoyance caused by unwanted calls.
How the National Do Not Call Registry Works
The Do Not Call Registry allows consumers to register their phone numbers, which telemarketers must check against the list before making sales calls. When a number is registered, it is added to a national database that telemarketers are required to access to ensure compliance with the regulations.
Telemarketers are supposed to refrain from calling any numbers listed on the registry and are also required to maintain their own internal lists of numbers that consumers have requested not to be contacted. The FTC enforces these rules and can impose fines on telemarketers who violate the regulations—and that includes real estate agents or other professionals who don’t consider themselves “telemarketers.”
That’s an important distinction. Many professionals don’t consider themselves telemarketers, even though cold calling is part of their job. The DNC list rules do not distinguish between professionals solely hired for calling individuals and professionals who just need to make such calls to capture leads. If you hope to connect with people who did not explicitly say you could call them, then you are subject to the DNC list rules.
Adding Numbers to the Registry
Consumers can easily add phone numbers to the Do Not Call Registry through several methods. The most common way is to visit the official website, where individuals can register their numbers online. Additionally, consumers can call a dedicated toll-free number to register their numbers via telephone. Once registered, it typically takes about 31 days for the number to be fully processed and for consumers to notice a reduction in unsolicited calls. It’s important to note that registration does not expire, and individuals can remove their numbers from the list at any time if they choose.
Compliance Enforcement and DNC List Rules
Several measures have been put in place to ensure the effectiveness of the Do Not Call Registry.
- The FTC conducts regular audits and investigations to monitor telemarketing practices and identify violators.
- The agency encourages consumers to report any unwanted calls, which can help track down companies that do not adhere to the registry rules.
- Introducing penalties for non-compliance, including substantial fines, serves as a deterrent for telemarketers.
- Educational campaigns informing consumers about their rights and the registration process contribute to increased awareness and participation in the registry, enhancing its overall effectiveness.
Implications for Real Estate Professionals
The Do Not Call Registry has significant implications for real estate professionals, particularly those who use telemarketing to generate leads and connect with potential clients.
Real estate agents must diligently ensure that their marketing practices comply with the regulations set forth by the registry. This means they need to check their contact lists against the Do Not Call Registry before reaching out to potential clients. Failure to do so can result in hefty fines and damage their professional reputation.
Real estate professionals can check this website before beginning calls: www.donotcall.gov.
Moreover, understanding the nuances of the registry can help real estate professionals refine their marketing strategies. Agents can create a more effective and compliant approach by building relationships with clients who have opted in to receive communications.
Networking, referrals, and permission-based marketing techniques become even more essential in a landscape where unsolicited calls may lead to legal repercussions. Staying informed about the latest regulations and best practices is crucial for success in the real estate industry.
8 Strategies for Compliant Outreach
As mentioned, real estate pros need to rely more on personal referrals, relationship-building, and events in this environment. It’s important to use permission-based techniques, which means people have granted you access to call them. They understand that you may call them as part of your relationship, and they are fine with that.
Here are other options to explore if being unable to cold call is holding you back.
- Gain access to unique leads – Partnering with a company that provides leads ahead of the competition can be a great way to secure new contacts to reach out to. KeyLeads is an excellent resource. Start by plugging in your zip code to see what’s available in your area. From there, you can “claim your zip code,” and those leads are locked in for you – no one else can access them. This means they are of much higher quality, as there won’t be other agents reaching out to them. New leads flow in as they’re generated in your zip code, so you get a steady stream of new leads to call on.
- Use a DNC scrubber – You can find a free or cheap version of this technology and get a list of contacts that are not on the DNC list. Unfortunately, this usually removes an average of 75% of people – but in a list of 100 leads, that leaves about 25 that you can call.
- Create a (real) relationship – Having an “established relationship” permits you to call. Though there isn’t technically a legal definition of an “established relationship,” it’s safe to assume that if someone is familiar with you or considers you an acquaintance, then you’re safe. Generally, if people have a reason to hear from you, they aren’t going to be annoyed at outreach. A quick follow-up text or phone call or dropping off a note are all appropriate measures once you’ve connected with someone. If you don’t have their phone number, then it may mean you haven’t established enough of a relationship to call.
- Market to homes – If you send a postcard to a home, you can assume the owner will become familiar with your brand. Then, you will be top of mind and the first call they’ll make if they do decide to buy or sell. You can market to neighborhoods and assume that a few residences will become leads when the market is right for them.
- Collect email – Email is generally acceptable to most people, though there are also rules for how to handle emailing strangers that you need to be aware of. Building a strong database of contacts is important for this reason. If you ask for email at events or collect business cards from people while networking, they are saying they are open to being emailed, and you won’t break any rules.
- Try to meet local cash buyers – One great tactic for seller leads is to create a relationship with a local cash buyer of homes (there are usually several investors interested in cash-buying homes in every local market). After creating one or more of those connections, drop off a note at the home address saying you have an interested buyer with your contact info. If they reply to you via email, text, call, etc, many agents will use that response to open the door to ongoing outreach.
- Host an (innovative) open house or neighborhood party – When people attend events that you host, they become familiar with you. Consider what you can do to set yourself apart during such opportunities. One of our agents actually gives out gift certificates for pies to top prospects. She can’t do this for everyone in her neighborhood, but a high-value home that has a 35% chance of selling in the next year is worth it for her. Is there something you can give away to get a client’s attention and create some goodwill? Things like a family pool party at a home with a beautiful outdoor space are a great way to meet new prospects.
- Connect on social media – Set up a local facebook group and use the email & phone info to invite them through Facebook or just send a connection request directly. You can also create groups that share information and insights about the local market. People will visit this to ask questions and gain a professional perspective. If you start one of these, though, you need to be active. Answer questions and participate in discussions.
Obviously, these strategies are in addition to what most real estate agents consider their bread and butter. Things like participating in industry associations, attending local networking events and becoming involved in your community, and rewarding referrals are all smart ways to make better, more personal connections with leads.
Understanding Telephone Solicitation Definitions
To navigate the Do Not Call Registry effectively, it’s essential to understand the definitions related to telephone solicitation. Telephone solicitation refers to any call made to a consumer with the intent to sell goods or services, including real estate. This encompasses various forms of communication, including automated calls, live calls, and pre-recorded messages.
Key terms include:
- Telemarketer – An individual or entity that makes calls or sends texts with the intention of promoting or selling products or services.
- Solicitation – Any attempt to persuade or encourage a consumer to purchase goods or services, typically through direct communication.
- Established Business Relationship (EBR) – A relationship between a consumer and a business that allows for certain exemptions under the Do Not Call regulations. This relationship is typically established when a consumer has made a purchase or inquiry or has provided consent to receive communications.
- Prior Express Consent – This refers to the consumer’s agreement to receive calls from a telemarketer, which must be obtained before making solicitation calls.
By understanding DNC list rules, real estate professionals can better navigate the regulations, ensuring compliance while effectively reaching out to potential clients in a lawful manner.