Sensitivity to consumers' privacy expectations were once considered to be an issue only for credit card companies and list brokers. But in the current marketing environment, direct marketers response to privacy issues have become increasingly important to everyone who utilizes direct response methods to communicate with consumers. This is as true for non-profits as it is for the largest of the big direct marketing firms. How your organization addresses both consumers' and lawmakers' concerns may dictate the future of the industry.

Non-profits and fund-raisers are using information to identify those individuals who are concerned about the issue they seek to address. The use of information allows them to focus their message and target their market. And while the issues of postal reclassification and rate hikes are topping the agendas of many non-profit mailers, privacy and information management may be the most important issues facing direct marketing today.

As members of the direct marketing community, it is important that non-profit organizations are doing their part to ensure that consumer privacy expectations are met.

Integrating the Direct Marketing Association's self-regulatory programs into your organization's practices and codifying fair information practices are important first steps in the responsible management of consumer data. They are also the only alternative to overly restrictive legislation.

The Direct Marketing Association's Consumer Affairs Department has distilled the concept of fair information practices into a quick framework called "The 'Direct' Approach to Privacy Management: the Top 10 Steps." For more complete guidance, refer to the Fair Information Practices Manual available from the DMA's Washington office.

1.  Recognize and Respond to Consumer Privacy Expectations

Perhaps the only thing worse than not being responsive to consumer privacy concerns is believing that they don't exist at all. They DO exist! That is the reality. And another reality is that privacy is an issue which affects you as a direct marketer. The days when privacy was someone else's problem are gone. Consumers are concerned about the exchange of information regardless of whether the user is an apparel catalog or a non-profit trying to support a cause.

Advertising copy which implies you have access to highly personal information should not be used. The same principle applies when advertising your donor list. Implying we have more information than we really do gives our opponents more ammunition for their criticisms.

2.  Know the Rules!  -Legal-State and Federal -Self-Regulatory Responsibilities

As evidence of the importance of the privacy issue, one only needs to look at the crowded dockets of state and federal legislatures.

There are already restrictions in place which affect many aspects of direct marketing. The Telephone Consumer Protection Act, the Fair Credit Reporting Act, and the Cable Act are just a few of the laws to be considered when managing consumer information.

As important as it is to understand and obey existing laws, it is also important to eliminate the perception that regulation is required at all. By observing DMA's self-regulatory guidelines, your organization will help remove misperceptions about direct marketers and help ensure the right to market freely in the future. The Fair Information Practices Manual serves as a detailed guide to adhering to industry self-regulatory standards.

3. Develop a Fair Information Pilicy Statement

The success of direct marketing depends on educated, committed professionals who have the knowledge and foresight to implement self-regulatory practices within their organizations. A clear and concise Fair Information Policy Statement gives guidance to employees and reassures your donors that contributing to your organization does not lead to the loss of control of their information.

The Fair Information Practices Guide contains information on forming and implementing a Fair Information Policy Statement. The Policy Statement should clearly set specific guidelines on how your organization uses, protects, and exchanges consumer information.

4.  Use Mail Preference Service & Telephone Preference Service

The importance of using MPS and TPS cannot be overstated. Utilization of these services are at the heart of DMA's self-regulatory programs. In the current legislative environment, we need to redouble our efforts in promoting these services to assure consumers that their concerns are being addressed.

Using MPS can also save you money. By removing the names of unresponsive consumers, you will begin conducting more focused mailing programs. With postal rates increasing for non-profit mailers, sharpening your focus becomes not only a customer service issue, but a bottom-line decision as well.

If you have not tried MPS and TPS lately, you have not tried MPS and TPS! Many changes have been made to enhance MPS and TPS for our corporate subscribers. The file is now run through a ZIP code correction program, a ZIP+4 program, and is now available on a monthly basis in a variety of formats. These improvements have resulted in state-of-the-art, commercial quality lists. Try us out!

5.  Establish In-House Suppress Program

In-house suppression is another important component of your name removal procedures. It not only helps ensure that you are not mailing to unresponsive consumers, it is also an important customer service. While some people may enthusiastically support one organization or charity, they may not want to receive information from another. In-house suppression provides consumers with more choice regarding the types of mail they receive.

6.  Disclose List Rental Practices

Some consumers may want to receive information from your organization but do not wish to have their names rented. Giving consumers an opportunity to "opt-out" of the exchange of marketing data through in-house suppression programs and clearly displayed disclosure notices is a relatively painless, easy way to show donors that you respect their concerns regarding information usage.

Traditionally, only a small number of customers request in-house suppression. While your response may vary, many marketers report less than a two-percent response rate.

Disclosure, in-house suppress, and use of MPS and TPS provide consumers with increased choices regarding the types of mail they receive. Providing consumers with these alternatives is not only good customer service, it's also good public relations, good government relations and good business.

7.  Protect Your Data -- Protect Your Customers  Use:  Decoys, Security Programs and Advertising Review Procedures

Customer data should be kept secure and safe from both on-site and remote access. When renting or exchanging your customer lists, steps should be taken to ensure that the renter employs data security safeguards similar to your own.

List professionals should always review the solicitations before list rental is approved to be sure it conforms to DMA's Guidelines on Ethical Business Practices. The use of decoys can help detect list misuse or others who may have intercepted consumer information despite your security efforts.

To help marketers thoroughly evaluate how well they protect their data, the Direct Marketing Association has included the Fair Information Practices Checklist as part of the Fair Information Practices Manual. The Checklist helps direct marketers conduct a self-analysis of their information management practices, including data security practices.