Protect Your Customer Base from Summer Sales Programs

Summer is here, and that can also mean summer sales programs.

Many reputable companies in the industry employ a sales force of door-knockers to sell alarm systems, and door-to-door summer sales programs can be an ethical and effective way to sign up new customers. There are a few companies, however, that allow their sales force to use less-than-scrupulous, sometimes dishonest, and often high-pressure sales tactics to poach customer accounts from other companies.

These unscrupulous salespeople will not hesitate to deceive your customers. Here are some of the dishonest sales tactics they might use:

• Representing that they are from your company and are simply upgrading your customer’s current alarm system. Once inside, they may install a panel and then pressure the customer to sign a costly contract for a new monitoring service.
• Telling your customer that your company has gone out of business or has sold the account to their company, and signing a new contract is necessary.

In addition to misrepresenting themselves, these salespeople will often misrepresent the products and services they are selling. They will often say that the security system and installation is top quality and is completely free, but is only available for a limited time or even if they sign up on the spot. Or they may suggest that there is a lot of crime in the neighborhood and that other neighbors have recently purchased the company’s security products. They may even talk their way into your customers’ homes and then refuse to leave.

Here are some tips to combat summer sales programs and protect your customer base.

Your best customer is an informed customer, so alert your customers about the dangers of door-to-door sales in general – and also specifically with respect to an alarm system sale. Give them tips and techniques to combat the false claims and pressure tactics. Both the Federal Trade Commission and the Electronic Security Association have articles on summer sales programs.  (Read the FTC’s consumer advisory on summer sales programs here, and ESA’s public awareness message here.)

You can provide the information in your newsletter, company blog or on your website, in paper bill inserts or by e-mail. Not only will you be providing your customers with valuable information, you will also be showing them that you are still in business and serving them – combatting one of the classic scams that unscrupulous door-to-door sales people use.

You can also remind customers that it’s always a good practice to ask door-to-door sales people for identification and the purpose of their visit, and that it’s your company policy that all of your employees and subcontractors carry and show company identification, and that they wear company uniforms. Some states actually require door-to-door salespeople to identify themselves, their company and what they are selling before beginning a sales pitch, while other states only require salespeople to carry identification. The ESA Code of Ethics and Standards of Conduct also require sales representatives to be appropriately licensed and clearly identify themselves, their company and purpose of solicitation before any sales presentation.

While the ESA Code of Ethics also requires sales representatives to immediately discontinue sales presentations and leave the premises when requested by the homeowner, some unscrupulous salespeople may not take no for an answer – pressuring their way in to a customer’s home and sometimes refusing to leave. Remind your customers that it’s not rude or impolite to simply say no, and if a salesperson is inside and refuses to leave, they should call the police. This is also a great opportunity to reconfirm your commitment to fair sales practices and to provide information on new products and services, with an offer to have one of your sales representatives call on them.

While company-branded property signage may deter legitimate summer sales representatives who are looking to sign up customers without existing systems, dishonest salespeople often target homes with signage, using the company name to misrepresent them and gain access. Nonetheless, consider offering to place (or replace) signage on your customers’ property as another way to confirm that you are still in business and still providing service on the account. Just be sure to warn customers about the potential scam and remind them to always ask for identification.