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Direct Marketing Association The Power of Direct
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Direct Marketing Association The Power of Direct

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  • 1. DIRECT MARKETING ASSOCIATION Not Just Mail Jerry Cerasale Senior VP, Government Affairs The Power of Direct Relevance. Responsibility. Results 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 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
  • 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. 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
  • 26. You have my permission to contact me Jerry Cerasale 202.861.2423 Jcerasale@the-dma.org Direct Marketing Association