Email marketing is often advised by home-based business
consultants as a way to increase you prospect list fast and with a fairly low
CPI (cost per impression). These experts
will usually tell you that when done correctly, you will earn thousands and
thousands of dollars. Invariably, these
“experts” have an email service and list available and for just this much money
they will do it all for you.
In my experience, these experts are using old lists, and are
not following the Can-Spam Act of 2003.
This means that in most cases you will not see a good ROI (return on
investment). The worst case scenario is
that the you are contacted by the DOJ and they are talking about accessing you penalties of up to $11,000 per incident. Since you contracted the service, it is your
responsibility to make sure that the service is following the CAN-SPAM ACT.
So what
exactly do we need to do as marketers to ensure we are not going to get a visit
by UNCLE SAM. Well the good news is that
the act doesn’t preclude marketing emails, so for those of honest doing legal
email marketing this was great news!
Before the CAN-SPAM Act, states and ISP were trying to kill or block all
emails that they determined were promoting anything. I had emails blocked that I was sending to my
customers. Now, that the federal
government has defined spam or more importantly what is not spam, we have
recourse if an ISP blocks a legitimate marketing email.
I want to
make it clear that I am not a lawyer and if you have any questions or doubts
about what you or your service is doing, contact a lawyer.
The first
question you need to ask is “Is this email spam?” Well luckily the CAN-SPAM act
defines for us what commercial ads are and are not considered spam.
.A
"transactional or relationship message" – email that facilitates an
agreed-upon transaction or updates a customer in an existing business
relationship – may not contain false or misleading routing information, but
otherwise is exempt from most provisions of the CAN-SPAM Act.
If you are
sending an email to an existing customer or is confirming or announcing the
completion of an action taken by the customer or prospect, then, other that
item number 1 below, these emails would be exempt from the act. I believe examples of these types of emails
are order confirmation, emails sent from web based forms when the prospect
clicks on a submit button and active members of web sites forum subscribers or
blog subscribers, would all be exempt. I
strongly suggest, even though as I read the act, its not required, to always
include a simple opt out section (item 4 below) in your email.
As best as I
can determine, this is what the law requires (reference http://www.ftc.gov/bcp/conline/pubs/buspubs/canspam.pdf):
1. It bans false or
misleading header information. Your
email's "From," "To," and routing information – including
the originating domain name and email address – must be accurate and identify
the person who initiated the email.
This means that the practice of bouncing emails off out of country
servers that hide the point of origin of the email, you are in violation of
this act. If you have created a legal
email there really isn’t any reason to go through the added expense of using a
hidden server.
2. It prohibits
deceptive subject lines. The
subject line cannot mislead the recipient about the contents or subject matter
of the message. This is usually
where most of the emails I receive from home based business companies or
promoter first fail to be in compliance with the act. This means subject lines like:”you just won a
trip” or “Mark where have you been? or “Mark your order confirmation” or pretty blatantly misleading. We can enter a grey area with subject lines
like “Mike here is something for you” or “Mike something you might be
interested in ?” may or may not be frowned upon. In my opinion, if we are using a legitimate
list, then a subject line like, Mike, I was told you wanted this.” or “Mike ,
is this what you were looking for.”
should be in line with the act, but again I am not a lawyer, so what is
and what is not a misleading subject line may be different to a someone
representing the Consumer protection Agency.
3. It requires that
your email give recipients an opt-out method. You must provide a return email address or
another Internet-based response mechanism that allows a recipient to ask you
not to send future email messages to that email address, and you must honor the
requests. You may create a "menu" of choices to allow a recipient to
opt out of certain types of messages, but you must include the option to end
any commercial messages from the sender.
Any opt-out mechanism you offer must be
able to process opt-out requests for at least 30 days after you send your
commercial email. When you receive an opt-out request, the law gives you 10 business days to stop sending email
to the requestor's email address. You
cannot help another entity send email to that address, or have another entity
send email on your behalf to that address. Finally, it's illegal for you to
sell or transfer the email addresses of people who choose not to receive your
email, even in the form of a mailing list, unless you transfer the addresses so
another entity can comply with the law.
4. It requires that
commercial email be identified as an advertisement and include the sender's
valid physical postal address. Your
message must contain clear and conspicuous notice that the message is an
advertisement or solicitation and that the recipient can opt out of receiving
more commercial email from you. It also must include your valid physical postal
address. In my opinion this is the
number one violation of the act. Lets
first look at the valid physical postal
address, it is my belief that a USPS mail box is sufficient to fulfill this
requirement (remember I am not a lawyer), If you are working from home, using your actual home address, in my
opinion , would not be a safe practice, I strongly suggest a USPS mail box.
If you are going to purchase desktop
emailing software then you need to know how the law applies to Emailers. I will not cover these regulations other than
to say as a person who contracts these types of services I always send an email
asking “Does your company comply with the CAN-SPAM act which became law on
January 1, 2004, United
States of America?” The only way I will do business is if the
question is answered affirmatively and the email is signed with the name of a
real person, with a phone number so I can validate that the person does
exist. I SAVE THESE EMAILS as proof that
I have done what can be considered as “reasonable” to ensure that I and the
service I am using is in compliance with the act.
The above information is not complete,
there are additional types of emails with additional regulation that I didn’t
write about.
The bottom line is that emails do work,
when written well, but there are pitfalls both from a financial and legal
aspect and you need to beware. In my
opinion the best way to build your list is by creating your own using your own
capture pages, search engine placement, and pay for click advertising. If you are going to use email, then create
your email that complies with the act that promotes information or product for
free. I also believe that your email
should text with maybe one non critical graphic because the graphic will
probably be blocked by the prospect email reader.