Description
Project on Direct Marketing Association
Direct Marketing Association
The Power of Direct
Relevance. Responsibility. Results
DIRECT MARKETING
ASSOCIATION
Not Just Mail
Jerry Cerasale
Senior VP, Government Affairs
Direct Marketing Association
Change Your Name?
At a recent fundraiser a U.S.
Senator asked DMA’s President
and CEO, ?Have you
considered changing your
name. You’re not just a mailing
industry group.?
Direct Marketing Association
What is the DMA?
• Over 5,000 corporate members
– 55% marketers
– 45% suppliers
• Internet Alliance is a subsidiary
• DMA Non Profit Federation
• Direct Marketing Education Foundation
• Co-owner of Interactive Marketing
Solutions
Direct Marketing Association
More on What We are!
• Ethics
– Guidelines
– Enforcement
– Best Practices
• Events
– Seminars
– Conferences
– Networking
Direct Marketing Association
• Research
– 9 million, $900 billion
– Remote selling reduce prices?
• Councils
– Catalog
– List
– Teleservices
– IMAB-Internet
– ISEC-Compilers
– Directo
– Direct TV
– etc.
Direct Marketing Association
DMA’s Issues
• Protect the process for remote selling
– State and Federal
– Privacy front
– Postal front
– Telemarketing front
– Interactive front
– Tax front
– International front
Direct Marketing Association
Privacy
• Too high postage rates will put some of
you out of business
• Inability to share data to find new
customers will close all of you
Direct Marketing Association
Basic Privacy Position
• Customers have choices
– A choice to not receive more messages from you
– A choice to not have information shared with
others
– Opt-out
– Not Opt-in—as in Europe
• Italy went opt-in and saw a 33% reduction in
DM in one year!
– Opt-in for very sensitive data—medical, financial
account numbers, SSN?
Direct Marketing Association
Taste of Privacy Issues
• Security Breach
– Information on customers and prospects is lost
• via hackers
• via physical loss
• via employee theft
• via fraud
– Notify those individuals
Direct Marketing Association
What Data?
• Any information?
• Jerry buys baseball tickets?
• Financial account data?
• SSN?
Direct Marketing Association
DMA Position
• Only name, contact AND
– SSN
– Driver’s License
– Financial Account Numbers
• Only if there is a significant risk of ID
theft
• No access and correction
– If access—not to all data—just that listed above
Direct Marketing Association
Spyware or Adware
• Programs placed on computers to learn
your interests to send you ads
• DMA guidelines for notice and easy,
complete removal
• Some legislators want opt-in
• Relate to postal
– How do you obtain my interests?
– Opt-in by me?
Direct Marketing Association
Postal Issues
• Reform—YES w/ hard cap
• Military Retirement—to taxpayer not mailers
• CSRS escrow—some for rate relief
• Rate case—upper single digits is outrageous
– Join with others to parcel issues to reduce costs of our
members
– Concerned w/ flats vs letters
Direct Marketing Association
More Postal
• Members want DMA to focus on policy,
but enter the mail prep regulations when
needed and asked
• DMA believes that US economy is
based upon computer manifests for
shipment of goods
– Why not the mail
– USPS needs to learn KISS!
Direct Marketing Association
DNM
• DMA fought do-not-call registry
– Laughed at by some mailer associations
• NOW! Do-Not-Mail bills in 4 states
– Why?
– Success of DNC
• Mailers live in a fantasy world thinking that’s
the phone or that’s the Internet
• DMA’s Mail Preference Service—4 million
• DMA and Postcom have gathered a DNM
Coalition that uses DMA’s state lobbyists’
information
Direct Marketing Association
Telemarketing Issues
• DNC—discussed
• Inbound call and upsell
• Call center outside US
– Must tell where you are
– DMA wants only if asked
– Must immediately switch to an American
– DMA wants able to have American call back
• Wireless
• States—can’t call your customers in Indiana!
Direct Marketing Association
Interactive Issues
• E-mail marketing—keep it opt-out
• Do-Not-E-mail
– Worked with FTC to try to prevent such a registry
– Utah & Michigan have DNEM registries for kids e-
mail addresses for items kids can’t buy
– 3 cents per address sent to be scrubbed every 30
days
– Is mail next?
Direct Marketing Association
• AOL and Yahoo charging for
guaranteed e-mail delivery
– Nothing to worry about?
– DMA is neutral as long as a free channel remains
open
– One supplier member favors the charge
• We’ll send marketing messages as free e-mail
• We’ll go after invoices and bills in the US Mail
now and go into the guaranteed e-mail delivery
Direct Marketing Association
Online Ad Placement
Affiliate Marketing
• 3 US Senators ask Ad Associations:
– Do your members’ know where their on-line ads
are seen and by whom?
• FTC is concerned that marketers do not
know or claim not to know that their ads
are ?supporting? fraudulent and porn
sites
Direct Marketing Association
Establish the Parameters
• It is your brand
– Once trust is lost, it is difficult to gain back
• Establish the parameters of where your
ads will be placed
• Get it in writing
• Monitor it
• It is YOUR brand!
Direct Marketing Association
Taxes
• No seller becomes an unpaid tax
collector for a state where they are not
located
– Think of car rental taxes—usually out-of-staters
• States have not simplified
– 7,000+ jurisdictions
– No uniform definitions
– No single audit, registration or payment procedure
– $15 billion uncollected is not true!
Direct Marketing Association
Tax on Postage
• State simplification project allows taxing
delivery charges (postage)
• If paid directly to USPS, states cannot
tax
• If paid to your printer or mailing house,
who entered the mail on its permits,
then sales tax applies
Direct Marketing Association
• Expensive to fight state-by-state
• Far from guaranteed victory
• USPS should change how postage can
be paid to avoid this problem
• DMA to MTAC—GET IT FIXED SOON!
Direct Marketing Association
International Issues
• Coalition of International DMAs meet
every year at DMA Annual Conference
• International Department involved in the
privacy, postal and tax issues abroad
Direct Marketing Association
THANKS
I hope I haven’t put you to
sleep or, worse, frighten
you
Remember, my soon to be PhD son says,
?Whatever doesn’t kill you makes you
stronger!?
Direct Marketing Association
You have my permission to contact me
Jerry Cerasale
202.861.2423
[email protected]
doc_946574959.ppt
Project on Direct Marketing Association
Direct Marketing Association
The Power of Direct
Relevance. Responsibility. Results
DIRECT MARKETING
ASSOCIATION
Not Just Mail
Jerry Cerasale
Senior VP, Government Affairs
Direct Marketing Association
Change Your Name?
At a recent fundraiser a U.S.
Senator asked DMA’s President
and CEO, ?Have you
considered changing your
name. You’re not just a mailing
industry group.?
Direct Marketing Association
What is the DMA?
• Over 5,000 corporate members
– 55% marketers
– 45% suppliers
• Internet Alliance is a subsidiary
• DMA Non Profit Federation
• Direct Marketing Education Foundation
• Co-owner of Interactive Marketing
Solutions
Direct Marketing Association
More on What We are!
• Ethics
– Guidelines
– Enforcement
– Best Practices
• Events
– Seminars
– Conferences
– Networking
Direct Marketing Association
• Research
– 9 million, $900 billion
– Remote selling reduce prices?
• Councils
– Catalog
– List
– Teleservices
– IMAB-Internet
– ISEC-Compilers
– Directo
– Direct TV
– etc.
Direct Marketing Association
DMA’s Issues
• Protect the process for remote selling
– State and Federal
– Privacy front
– Postal front
– Telemarketing front
– Interactive front
– Tax front
– International front
Direct Marketing Association
Privacy
• Too high postage rates will put some of
you out of business
• Inability to share data to find new
customers will close all of you
Direct Marketing Association
Basic Privacy Position
• Customers have choices
– A choice to not receive more messages from you
– A choice to not have information shared with
others
– Opt-out
– Not Opt-in—as in Europe
• Italy went opt-in and saw a 33% reduction in
DM in one year!
– Opt-in for very sensitive data—medical, financial
account numbers, SSN?
Direct Marketing Association
Taste of Privacy Issues
• Security Breach
– Information on customers and prospects is lost
• via hackers
• via physical loss
• via employee theft
• via fraud
– Notify those individuals
Direct Marketing Association
What Data?
• Any information?
• Jerry buys baseball tickets?
• Financial account data?
• SSN?
Direct Marketing Association
DMA Position
• Only name, contact AND
– SSN
– Driver’s License
– Financial Account Numbers
• Only if there is a significant risk of ID
theft
• No access and correction
– If access—not to all data—just that listed above
Direct Marketing Association
Spyware or Adware
• Programs placed on computers to learn
your interests to send you ads
• DMA guidelines for notice and easy,
complete removal
• Some legislators want opt-in
• Relate to postal
– How do you obtain my interests?
– Opt-in by me?
Direct Marketing Association
Postal Issues
• Reform—YES w/ hard cap
• Military Retirement—to taxpayer not mailers
• CSRS escrow—some for rate relief
• Rate case—upper single digits is outrageous
– Join with others to parcel issues to reduce costs of our
members
– Concerned w/ flats vs letters
Direct Marketing Association
More Postal
• Members want DMA to focus on policy,
but enter the mail prep regulations when
needed and asked
• DMA believes that US economy is
based upon computer manifests for
shipment of goods
– Why not the mail
– USPS needs to learn KISS!
Direct Marketing Association
DNM
• DMA fought do-not-call registry
– Laughed at by some mailer associations
• NOW! Do-Not-Mail bills in 4 states
– Why?
– Success of DNC
• Mailers live in a fantasy world thinking that’s
the phone or that’s the Internet
• DMA’s Mail Preference Service—4 million
• DMA and Postcom have gathered a DNM
Coalition that uses DMA’s state lobbyists’
information
Direct Marketing Association
Telemarketing Issues
• DNC—discussed
• Inbound call and upsell
• Call center outside US
– Must tell where you are
– DMA wants only if asked
– Must immediately switch to an American
– DMA wants able to have American call back
• Wireless
• States—can’t call your customers in Indiana!
Direct Marketing Association
Interactive Issues
• E-mail marketing—keep it opt-out
• Do-Not-E-mail
– Worked with FTC to try to prevent such a registry
– Utah & Michigan have DNEM registries for kids e-
mail addresses for items kids can’t buy
– 3 cents per address sent to be scrubbed every 30
days
– Is mail next?
Direct Marketing Association
• AOL and Yahoo charging for
guaranteed e-mail delivery
– Nothing to worry about?
– DMA is neutral as long as a free channel remains
open
– One supplier member favors the charge
• We’ll send marketing messages as free e-mail
• We’ll go after invoices and bills in the US Mail
now and go into the guaranteed e-mail delivery
Direct Marketing Association
Online Ad Placement
Affiliate Marketing
• 3 US Senators ask Ad Associations:
– Do your members’ know where their on-line ads
are seen and by whom?
• FTC is concerned that marketers do not
know or claim not to know that their ads
are ?supporting? fraudulent and porn
sites
Direct Marketing Association
Establish the Parameters
• It is your brand
– Once trust is lost, it is difficult to gain back
• Establish the parameters of where your
ads will be placed
• Get it in writing
• Monitor it
• It is YOUR brand!
Direct Marketing Association
Taxes
• No seller becomes an unpaid tax
collector for a state where they are not
located
– Think of car rental taxes—usually out-of-staters
• States have not simplified
– 7,000+ jurisdictions
– No uniform definitions
– No single audit, registration or payment procedure
– $15 billion uncollected is not true!
Direct Marketing Association
Tax on Postage
• State simplification project allows taxing
delivery charges (postage)
• If paid directly to USPS, states cannot
tax
• If paid to your printer or mailing house,
who entered the mail on its permits,
then sales tax applies
Direct Marketing Association
• Expensive to fight state-by-state
• Far from guaranteed victory
• USPS should change how postage can
be paid to avoid this problem
• DMA to MTAC—GET IT FIXED SOON!
Direct Marketing Association
International Issues
• Coalition of International DMAs meet
every year at DMA Annual Conference
• International Department involved in the
privacy, postal and tax issues abroad
Direct Marketing Association
THANKS
I hope I haven’t put you to
sleep or, worse, frighten
you
Remember, my soon to be PhD son says,
?Whatever doesn’t kill you makes you
stronger!?
Direct Marketing Association
You have my permission to contact me
Jerry Cerasale
202.861.2423
[email protected]
doc_946574959.ppt