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The Power of Direct Relevance. Responsibility. Results

The Power of Direct Relevance. Responsibility. Results. DIRECT MARKETING ASSOCIATION Not Just Mail Jerry Cerasale Senior VP, Government Affairs. Change Your Name?.

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The Power of Direct Relevance. Responsibility. Results

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  1. The Power of Direct Relevance. Responsibility. Results DIRECT MARKETING ASSOCIATIONNot Just MailJerry CerasaleSenior VP, Government Affairs Direct Marketing Association

  2. 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

  3. 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

  4. More on What We are! • Ethics • Guidelines • Enforcement • Best Practices • Events • Seminars • Conferences • Networking Direct Marketing Association

  5. Research • 9 million, $900 billion • Remote selling reduce prices? • Councils • Catalog • List • Teleservices • IMAB-Internet • ISEC-Compilers • Directo • Direct TV • etc. Direct Marketing Association

  6. 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

  7. 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

  8. 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

  9. 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

  10. What Data? • Any information? • Jerry buys baseball tickets? • Financial account data? • SSN? Direct Marketing Association

  11. 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

  12. 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

  13. 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

  14. 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

  15. 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

  16. 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

  17. 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

  18. 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

  19. Online Ad PlacementAffiliate 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

  20. 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

  21. 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

  22. 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

  23. 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

  24. 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

  25. THANKSI 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

  26. You have my permission to contact me Jerry Cerasale 202.861.2423 Jcerasale@the-dma.org Direct Marketing Association

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