New research carried out by B2B telemarketing agency Price Direct, in conjunction with the Direct Marketing Association (DMA), has identified widespread industry confusion over the new Electronic Communications (Processing of Personal Data and the Protection of Privacy) Directive, and its impact on the use of email for marketing purposes.
The findings, encompassing responses from both direct marketing agencies and end-users from the IT and finance sectors, also highlight alarmingly low levels of preparation by most marketers in advance of the new Directive which is due to be implemented in October 2003.
The research study used both telemarketing and email communications to evaluate how participants currently use email for marketing purposes and to understand practitioners’ views on how the new legislation will affect the use of, and budgets for, email marketing. Participants were also provided with a number of scenarios relating to the capture of email addresses and asked whether these would be legitimate sources for direct marketing purposes once the Directive is implemented. The responses indicated that what qualifies as ‘opt in’, in terms of the source and the manner in which permission is gained, is not clearly understood by most marketers, agencies or end users.
A lack of clarity regarding the way to combine traditional media with email, to gain permission and/or support email campaigns, was also evident.
John Price, Managing Director of Price Direct, said: “The purpose of the research was twofold. As an active member of the DMA’s interactive media division, we were keen to find out what preparations, if any, were being made within the industry for the implementation of the Directive. From a business point of view, we then wanted to know what alternative direct marketing activities people were going to be using in order to ensure the past and future collection of ‘opt-in’ email addresses were legitimate. By identifying that telemarketing is one of the top 3 preferred methods of obtaining ‘opt-in’, we are now able to assess the impact the legislation may have on our business in the future.”
Robert Dirskovski, Head of Interactive Media, said: “The DMA has undertaken an extensive lobby campaign regarding the collection and processing of data in the electronic communication sector ever since the Directive first appeared on our radar. We have kept in close touch with members and the industry at large, updating them as events unfold within the European Parliament and the Commission. This research now helps us gauge how much awareness raising and education work still needs to be done within the industry before the Directive is implemented next year. Whilst it is disturbing to see the level of confusion that exists around what defines ‘opt-in’, it is not a complete surprise, since the Government has yet to clarify its own definitions before publishing draft Regulations”.
The DMA will engage heavily in the DTI’s consultation process that is due to take place following the release of the draft Regulations in January 2003. The DMA will work with its members and other industry partners to identify the key areas of confusion and heighten awareness. In its formal response to Government, it will seek to ensure clarity and practical guidance, leading to a pragmatic set of Regulations to which industry can properly adhere.
The DMA will be using the research as the basis of a round table discussion with leading industry figureheads in January 2003. It plans to present the findings to the DTI when the 3 month consultation period begins.
Visit: www.pricedirect.com/EU_Directive_Research_Report.pdf
for a copy of the research findings.
For further information please contact:
Lara Shannon
Account Director
Limelight PR
Phone: 0207 821 9210
Mobile: 07789 776 599
Email: lara@limelightpr.co.uk
