Legal Guide to Database Marketing
by IAB SA Regulatory Affairs Council and Endcode
Database marketing is a form of direct marketing that uses electronic databases of customers to generate targeted lists for direct marketing communications. This process is all about identifying, collecting and then analysing relevant information about a company’s customers (and potential customers), to allow brands to improve their products and services, to build better marketing strategies and – ultimately – to customise the conversations and develop the relationships that they have with individual customers. These databases may include a very wide range of personal information about customers, including names, addresses, phone numbers, e-mail correspondence, purchase histories, and prior information requests and subscriptions. Databases like these may very well contain data that can (and has been) be legally collected and legitimately used, and may further be augmented (or “enriched”) by leveraging the vast amount of information available via digital media sources and social media platforms.
These are designed to offer clarity, good practice and a launchpad for further discussion around the marketing tool known as Native Advertising. While they aim to simplify concepts and provide examples it remains cognisant that our market evolves quickly and the lifespan of these guidelines are likely to last a year whereupon it will be updated.
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On September 4 2015, the Department of Trade and Industry gazetted the draft Marketing, Advertising and Communications (MAC) Sector B-BBEE Charter, which, once regulated, will apply to all South African businesses that derive more than 50% of their profits from advertising, public relations and communications services. This expressly includes digital media and platforms.
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The IAB SA and Endcode have responded to an IAB SA member query with regard to cold calling by an investment company.
Who can be a responsible party and who can be an operator in terms of South Africa’s Protection of Personal Information Act?
The IAB SA has formally engaged the Film and Publication Board (FPB) on the latter’s recently gazetted Draft Online Regulation Policy and has met FPB CEO Themba Wakashe to discuss the IAB SA’s concerns about the document.
On March 4 2015, the Film and Publication Board (FPB) published its Draft Online Regulatory Policy, thereby opening the process for public consultation on a proposed framework to give effect to the Film and Publications Act in relation to online content distribution in South Africa.
Since 2006, the Consumer Goods Council of South Africa (CGCSA) has engaged its members, relevant stakeholders and the Department of Health (DoH) in the development of a code for marketing and advertising to children.