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11/12/03
New Data Protection Laws could create barriers to market entry, says Intellect
Intellect has spoken out over today’s new Privacy and Electronic Communications (EC Directive) Regulations, which are the Government’s attempt to crack down on e-mail spam, unsolicited text messages and unwanted phone calls.
The hi-tech industries trade association has voiced concerns for UK businesses attempting to comply with the new regulations. Warning that many could suffer from added barriers to market entry because of the increased cost of managing and storing data, and the shifting of valuable resources away from core activities.
John Higgins, Intellect Director General said, "Intellect recognises the need for data protection. However it also firmly believes that the new regulations have the potential to do more harm to law abiding businesses than to the spammers we are attempting to stop. Regardless of whether all UK firms comply with the new regulations, inboxes will still fill up with spam, because most of it is sent from afar, safe from the UK Information Commissioner's reach."
"Whilst Intellect will continue to lobby for more effective regulation, out goal now is to help UK firms to take early action in order to be best placed to gain market advantage from the new regulations."
Intellect has worked with Masons Solicitors to develop a checklist to compliance. Helping UK firms to understand the laws, and even take advantage of some of the business benefits they can offer.
Top Ten Tips to Compliance
1. Know what is and is not 'solicited'. You will have to comply with the Act with respect to these communications but not to the bulk of the Regulations
2. Screen against FPS and TPS and manage your suppression lists and opt-outs appropriately
3. Ensure you know whether or not any unsolicited marketing e-mails you send fall within the exemptions, remembering that the exemption does not allow you to market dissimilar products or services or products or services of a third party
4. Examine your legacy data to see if prior consent is needed to continue with use
5. Make sure that all marketing e-mails contain an "unsubscribe" and make it clear what subscribers are unsubscribing from i.e. e-mail or all direct marketing
6. If you buy in lists you should make sure that you obtain appropriate warranties with respect to the data on those lists and how it was collected
7. Remember the British Code of Advertising, Sales, Promotion and Direct Marketing ("CAP Code). This may apply to your marketing activities as well as the Act and the Regulations.
8. Establish a separate "cookie policy" or amend your data protection notices. Information about cookie policies can be found at http://www.aboutcookies.org/
9. Remember if you market to consumers across Europe, you need to consider what those countries standards are. Go for the highest standard, it’s a safe bet
10. Finally, make sure your IT systems can suppress marketing materials to those who have opted out quickly and efficiently. The Information Commissioner has indicated that this will be an important area for enforcement action.
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