Direct Marketing Associations
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The Data & Marketing Association (DMA), formerly the Direct Marketing Association, is a
trade organization A trade association, also known as an industry trade group, business association, sector association or industry body, is an organization founded and funded by businesses that operate in a specific Industry (economics), industry. Through collabor ...
for
marketer Marketing is the act of acquiring, satisfying and retaining customers. It is one of the primary components of business management and commerce. Marketing is usually conducted by the seller, typically a retailer or manufacturer. Products can ...
s. In 2017, their web site stated, "Yes, 100 years ago we were the Direct Mail Marketing Association and then the Direct Marketing Association. Now we embrace …" Although headquartered in the
United States The United States of America (USA), also known as the United States (U.S.) or America, is a country primarily located in North America. It is a federal republic of 50 U.S. state, states and a federal capital district, Washington, D.C. The 48 ...
, its members include companies from 48 other countries, including half of the
Fortune 100 The ''Fortune'' 500 is an annual list compiled and published by ''Fortune'' magazine that ranks 500 of the largest United States corporations by total revenue for their respective fiscal years. The list includes publicly held companies, along w ...
companies, as well as many non-profit organizations. The DMA seeks to advance all forms of
direct marketing Direct marketing is a form of communicating an offer, where organizations communicate directly to a Target market, pre-selected customer and supply a method for a direct response. Among practitioners, it is also known as ''direct response ...
. A mid-2018 joint announcement with the Association of National Advertisers (ANA), stated thus, "to be completed as of July 1, 2018" and having as its goal ''"the single largest trade association in the U.S. devoted to serving all aspects of marketing"'' had not materialized as of the projected date. As of July 1, 2019, DMA became the Data, Marketing & Analytics arm of the ANA.


Objectives

Its stated objectives are to advance and protect responsible data-driven marketing. Data-driven marketing can include any marketing where consumer data is used for marketing purposes, usually to create a more customized experience – like presenting custom offers in an email, recognizing a regular customer on a website, providing benefits through a
loyalty program A loyalty program or rewards program is a marketing strategy designed to encourage customers to continue to shop at or use the services of one or more businesses associated with the program. Single-company vs. coalition programs Loyalty progr ...
, showing
recommendations A recommender system (RecSys), or a recommendation system (sometimes replacing ''system'' with terms such as ''platform'', ''engine'', or ''algorithm'') and sometimes only called "the algorithm" or "algorithm", is a subclass of information fi ...
on a website, or inclusion other special customer groups. It can include many
marketing channel A marketing channel consists of the people, organizations, and activities necessary to transfer the ownership of goods from the point of production to the point of consumption. It is the way products get to the end-user, the consumer; and is also ...
s, such as postal mail, email, social, inserts,
web advertising Online advertising, also known as online marketing, Internet advertising, digital advertising or web advertising, is a form of marketing and advertising that uses the Internet to promote products and services to audiences and platform users. ...
, publishing/
content marketing Content marketing is a form of marketing focused on creating, publishing, and distributing content for a targeted audience online. It is often used in order to achieve the following business goals: attract attention and generate leads, expand t ...
and search. Members of DMA agree to comply with strict guidelines, which set ethical standards for the right way to use data responsibly in marketing. These cover aspects like
privacy Privacy (, ) is the ability of an individual or group to seclude themselves or information about themselves, and thereby express themselves selectively. The domain of privacy partially overlaps with security, which can include the concepts of a ...
,
data collection Data collection or data gathering is the process of gathering and measuring information on targeted variables in an established system, which then enables one to answer relevant questions and evaluate outcomes. Data collection is a research com ...
, consumer notice, use of data and other aspects of responsible marketing. DMA enforces these guidelines, accepting complaints from consumers or other companies, and after a member review of the practices and allowing the company to change any non-compliant practices, then publishes a list of "bad actors". These non compliance companies are also reported to the appropriate authorities. In addition to supporting those industry standards and agreeing to follow the Member Principles, companies that use data in marketing join DMA to network, grow their business, train their staff and participate in advocacy efforts. DMA does not address the use of consumer data for other, non-marketing uses.


History

The DMA was founded in 1917 as the ''Direct Mail Marketing Association''. Over the next few decades it became * the ''Direct Marketing Association'' and then * the ''Data & Marketing Association''. The organization launched the International ECHO Awards in 1929. As of when John Gitlitz left the
American Advertising Federation The American Advertising Federation (AAF) is the nation's oldest national advertising industry trade association. It is headquartered in Washington, D.C. AAF has 15 district operations, each located in and representing a different region of the na ...
in 1981 to become president/CEO of ''the DMA'', the latter's headquarters were in NYC, although their Washington DC office was important to them.


Consumer options

A Washington Post 2018 review of what some people call ''"junk mail"'' and its professional defenders "the Data & Marketing Association (formerly the Direct Marketing Association)" call ''"direct mail"'' notes that, since. * Surveys by the
US Postal Service The United States Postal Service (USPS), also known as the Post Office, U.S. Mail, or simply the Postal Service, is an independent agency of the executive branch of the United States federal government responsible for providing postal serv ...
finds more than half of all
millennial Millennials, also known as Generation Y or Gen Y, are the demographic cohort following Generation X and preceding Generation Z. Researchers and popular media use the early 1980s as starting birth years and the mid-1990s to early 2000s as ...
s "find marketing mail valuable" and * Marketers have found "the response rate to physical mail is over five times that of email" direct marketers "would rather not spend their money sending direct mail to people who don’t want to receive it." While getting off their list is not free, the article said that "The service costs $2 and lasts for 10 years". The same article noted that "credit card offers are one of the biggest categories in your mailbox" and that one can opt out of these at no cost. Details can be found at DMAChoice.org. Consumer complaints about marketing practices are also accepted at the thedma.org website. Criticism of the DMA includes that compliance is voluntary; that enforcement is limited; and that the requirement for consumers to opt out of direct marketing, rather than opting in, favours marketers by making direct marketing the default.


International Federation of Direct Marketing Associations

23 direct marketing trade associations from five continents established the International Federation of Direct Marketing Associations (IFDMA) in 1989. IFDMA was formed to develop firm lines of communications between direct marketers around the world, and is dedicated to * improving the practice and communicating the value of direct marketing and * promoting the highest standards for ethical conduct and effective self-regulation of the direct marketing community. Specifically, the organization and its members * Makes available information regarding consumer safeguards, and publicizes DMA as their protector, contact point and regulator. * Tries to ensure that members create consumer confidence. * Advises how companies should use information by operating within the terms of Data Protection Acts. * Lobbies against ** Data Protection Acts which protect data against redistribution ** Laws forbidding
e-mail address harvesting Email harvesting or scraping is the process of obtaining lists of email addresses using various methods. Typically these are then used for bulk email or spam. Methods The simplest method involves spammers purchasing or trading lists of email addr ...
. They also: * Fight negative images of the direct marketing industry * Promote direct marketing techniques and companies to consumers * Prove training and professional development opportunities to marketers * Conduct industry research * Host networking conferences for marketers


National Members of IFDMA

The first president of ''IFDMA'', Colin Lloyd, is president at the Direct Marketing Association in Britain.


UK DMA

Although the UK DMA is based in the
United Kingdom The United Kingdom of Great Britain and Northern Ireland, commonly known as the United Kingdom (UK) or Britain, is a country in Northwestern Europe, off the coast of European mainland, the continental mainland. It comprises England, Scotlan ...
, its 1,000+ members, which include companies from other countries, are * major brand clients * charities * advertising and digital agencies and * suppliers of direct marketing services. Headquarters is in London; there are three regional offices. Together they represent the whole of the United Kingdom, Scotland, Northern Ireland and Wales. UK DMA * gives advice how companies should use information by operating within the terms of the UK Data Protection Act. * manages the industry's preference services: ** the Corporate Telephone Preference Service (CTPS) These services are designed to make consumers aware of the services that stop mail, email, telephone and fax marketing to them as individuals


Agency/Broker vs Direct clients

* An agency is defined where there is


Controversy

Direct Marketing Associations have attracted controversy, as people believe they aim to promote
spam Spam most often refers to: * Spam (food), a consumer brand product of canned processed pork of the Hormel Foods Corporation * Spamming, unsolicited or undesired electronic messages ** Email spam, unsolicited, undesired, or illegal email messages ...
and to defend ''junk mail'' and unsolicited
telemarketing Telemarketing (sometimes known as inside sales, or telesales in the UK and Ireland) is a method of direct marketing in which a salesperson solicits prospective customers to buy products, subscriptions or services, either over the phone or throu ...
, which many consumers find irritating and intrusive. They have been accused, by
The Spamhaus Project The Spamhaus Project is an international organisation based in the Principality of Andorra, founded in 1998 by Steve Linford to track email spammers and spam-related activity. The name ''spamhaus'', a pseudo-German expression, was coined by Li ...
and
Electronic Frontier Foundation The Electronic Frontier Foundation (EFF) is an American international non-profit digital rights group based in San Francisco, California. It was founded in 1990 to promote Internet civil liberties. It provides funds for legal defense in court, ...
respectively, of promoting spam and working against open standards (i.e.,
Do Not Track Do Not Track (DNT) is a deprecated non-standard HTTP header field designed to allow internet users to opt out of tracking by websites—which includes the collection of data regarding a user's activity across multiple distinct contexts, and the ...
) that seek to protect
consumer privacy Consumer privacy is information privacy as it relates to the consumers of products and services. A variety of social, legal and political issues arise from the interaction of the public's potential expectation of privacy and the collection and d ...
from tracking by online marketers. They have also been accused of using a ''"limited"'', unrealistic definition of spam. ICO Case Reference Number IC-138413-V0L3. Available upon request from the ICO. The DMA received a complaint of marketing to a personal email address without compliance of data protection legislation and PECR. On 26 Oct 2021 the DMA stated "it is not direct marketing and does not involve personal data it does not require a legal basis." Despite the DMA being listed as a member of its own organisation, The Data and marketing commission (DMC) refused to investigate. "We do agree with you that matters should be investigated openly and impartially. The position of the Commission, however, remains the same as last October when we corresponded. The Commission only investigates complaints against members of the Data & Marketing Association and the Association would not constitute a member of its own Association. It does appear from the screenshot that you sent over that the Association is listed however, and I will let them know. Looking at the Association address on the screenshot it states 'test' so I think this is probably a technical error." On 27 April 2022 the DMA was deemed to have not complied with their data protection obligations.


Data sources

Marketers and marketing organizations have been using data collection and analysis to refine their operations for the last few decades. Marketing departments in organizations and marketing companies conduct data collection and analysis by collecting data from different data sources and analyzing them to come up with insightful data they can use for strategic decision-making (Baier et al., 2012). In the modern business environment, data has evolved into a crucial asset for businesses since businesses use data as a strategic asset that is used regularly to create a competitive advantage and improve customer experiences. Among the most significant forms of data is customer information which is a critical asset used to assess customer behavior and trends and use it for developing new strategies for improving customer experience (Ahmed, 2004). However, data has to be of high quality to be used as a business asset for creating a competitive advantage. Therefore, data governance is a critical element of data collection and analysis since it determines the quality of data while integrity constraints guarantee the reliability of information collected from data sources. Various technologies including Big Data are used by businesses and organizations to allow users to search for specific information from raw data by grouping it based on the preferred criteria marketing departments in organizations could apply for developing targeted marketing strategies (Ahmed, 2004). As technology evolves, new forms of data are being introduced for analysis and classification purposes in marketing organizations and businesses. The introduction of new gadgets such as Smartphones and new-generation PCs has also introduced new data sources from which organizations can collect, analyze and classify data when developing marketing strategies. Retail businesses are the business category that uses customer data from smart devices and websites to understand how their current and targeted customers perceive their services before using the information to make improvements and increase customer satisfaction (Cerchiello and Guidici, 2012). Analyzing customer data is crucial for businesses since it allows marketing teams to understand customer behavior and trends which makes a considerable difference during the development of new marketing campaigns and strategies. Retailers who use customer data from various sources gain an advantage in the market since they can develop data-informed strategies for attracting and retaining customers in the overly competitive business environment. Based on the information on the benefits of data collection and analysis, the following hypotheses are proposed: The sources of data used as the foundation of data collection and analysis have a considerable impact on the data analysis tools used for analyzing and categorizing data.


Telemarketing legislation

The
United States National Do Not Call Registry National Do Not Call Registry is a database maintained by the United States federal government, listing the telephone numbers of individuals and families who have requested that telemarketers not contact them. Certain callers are required by fed ...
, went into effect in 2003. Under the law, it is illegal for telemarketers to call anyone who has registered themselves on the list. After the list had operated for one year, over 62 million people had signed up. The telemarketing industry opposed the creation of the list, but most telemarketers have complied with the law and refrained from calling people who are on the list.
Canada Canada is a country in North America. Its Provinces and territories of Canada, ten provinces and three territories extend from the Atlantic Ocean to the Pacific Ocean and northward into the Arctic Ocean, making it the world's List of coun ...
has passed legislation to create a similar
Do Not Call List A do not call list or do not call registry is a list of personal phone numbers that are off-limits to telemarketers in some countries. Do not call lists may also be held privately by a company, listing numbers that they will not call. National ...
. In other countries it is voluntary, such as the
New Zealand Name Removal Service A Robinson list is an opt-out list of people who do not wish to receive marketing transmissions. The marketing can be via e-mail, postal mail, telephone, or fax. In each case, contact details will be placed on a blacklist. The name "Robinson" is d ...
.


See also

*
American Association of Advertising Agencies The American Association of Advertising Agencies (4As) is a U.S. trade association for advertising agencies which was founded in 1917. It serves over 600 member agencies across 1,200 offices, which control more than 85% of total U.S. advertising ...
*
Data Protection Act 1998 The Data Protection Act 1998 (c. 29) (DPA) was an act of Parliament of the United Kingdom designed to protect personal data stored on computers or in an organised paper filing system. It enacted provisions from the European Union (EU) Data Pr ...
* '' Direct Marketing Ass'n v. Brohl'' * Direct Marketing Association (South Africa)


References


External links


Data & Marketing Association

Direct Marketing

UK DMA website

Mailing Preference Service (MPS)

Baby Mailing Preference Service (BMPS)

Telephone Preference Service (TPS)

Fax Preference Service (FPS)

Postwatch
The UK's watchdog for postal services
Mailing Preference Service
An
Opt-out The term opt-out refers to several methods by which individuals can avoid receiving unsolicited product or service information. This option is usually associated with direct marketing campaigns such as e-mail marketing or direct mail. A list of th ...
or
Robinson list A Robinson list is an opt-out list of people who do not wish to receive marketing transmissions. The marketing can be via e-mail, postal mail, telephone, or fax. In each case, contact details will be placed on a blacklist. The name "Robinson" is d ...
service which allows UK residents to control access to their addresses {{DEFAULTSORT:Data and Marketing Association Direct marketing Marketing organizations Trade associations based in the United States Business organisations based in the United Kingdom 1917 establishments in the United States Organizations established in 1917