tps assured - thursday 31 october 2013
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Introducing TPS Assured: a new standard for responsible telemarketers
Thursday 31 October 2013, 30 Euston Square
♯tpsassured
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Background to TPS and TPS Assured
Colin Lloyd, Chairman, TPS Ltd
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John Mitcheson
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Why we are here and here today…
EU directive 1990’s
- transposition into UK law
Opt – Out prize won for UK
–self regulatory TPS and MPS
–PECR - regulatory TPS from 1999
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How has the prize been valued?
Reputational damage from irresponsible telemarketers:
• Flouted regulations
• Ignored DMA telemarketing code
• Irresponsible use of dialers– Silent calls
Resulting in massive: • increase in nuisance calls
• increase in TPS registrations
• increase in complaints
• Intense media interest –Which? – MP’s
• Select Committee on Nuisance Calls.
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The stats…
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TPS Registrations
0
5,000,000
10,000,000
15,000,000
20,000,000
25,000,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
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TPS monthly complaints2010-2013
0
2,000
4,000
6,000
8,000
10,000
12,000
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ICO ‘PECR Sept.’13Threat Assessment’
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Ofcom silent and abandoned calls
0
500
1000
1500
2000
2500
3000
3500
4000
Dec.'12 Jan. '13 Feb.'13
Mar.'13
Apl. '13 May.'13
Jun.'13 Jul.'13
Complaints
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What has TPS done to help
Lobbied OFCOM, ICO, Gov. to robustly apply exsiting sanctions
– Key message from TPS conference delegates
Worked with Telcos’
Continuous Research
Through DMA - lobbied OFCOM re: silent calls issues
- Silent calls regulations
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The way forward…
Differentiate responsible telemarketers from regulation breakers
Better compliance
Protect the industry from potential draconian legislation
– EC Directive
– Gov. encourages self-regulation
Protect the livelihoods of the 1000’s of people in telemarketing
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Launching today…
John Mitcheson
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Introduction to TPS Assured
John Mitchison, Head of Preference Services,
DMA
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TPS AssuredWhat is it?TPS Assured is an accreditation scheme for companies that make live outbound sales and marketing calls.
Who is it for?TPS Assured is designed for companies that instigate the making of sales and marketing calls.
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TPS AssuredWhy do it?
Confidence in your companies compliance.
Differentiate you business with the TPS Assured logo
Protect your reputation
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The Audit Process
Submit Application Form
Handbook, Application Form are available on the website
tpsassured.co.uk
Information Pack
Quotation, Non disclosure agreement, File specification,
Audit guidance document.
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The Audit Process
Data Analysis
Data from the dialer is reviewed prior to site visit.
On Site Audit
The audit will take place at the location where the calls are
made.
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The Audit Process
Audit Report
Certificate and Logo
Annual review and renewal
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TPS Assured
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TPS Assuredtpsassured.co.uk
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TPS Assured – Case study
Martin Trouhgton, Marketing Director,
Anglian Windows
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Anglian Home Improvements TPS AssuredThe Benefits
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Telemarketing At AnglianAt Anglian Telemarketing comes in three forms:
1. Inbound Telemarketing
2. Outbound Reactive Telemarketing
3. Outbound Proactive Telemarketing
The Growth of TPSBack in 2003, when the TPS file was approaching 4 million, Outbound Proactive Telemarketing was generating just over £90million in direct sales from 105,000 appointments – 45% of our sales.
The Growth of TPS Approached – 2013 at 18million.
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Telecan Sales vs Growth in TPS
0
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
18,000,000
20,000,000
0
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
70,000,000
80,000,000
90,000,000
100,000,000
File
Co
un
t
Sale
Val
ue
(£
)
Financial YearTPS Registered
TELECAN
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1. Head in Sand
2. Head in Clouds
3. Head in Hands
4. Hands in Pockets
The Phases of Our Response
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How We Manage TelemarketingSimple DilligenceWe control the data distribution very tightly
We invested in a network based call barring solution – they simply cannot call a TPS barred number
We invested in a dialler – then we invested again
We monitor and investigate any abnormality rigorously
We sought other channels principally the internet
Defending against the Risks
To Brand reputation
Of substantial financial fines
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Measuring the issue
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The Risk To Reputation
It Takes 20 Years to build a reputation and five minutes to ruin it. If you think about that, you’ll do things differently.
Warren Buffett
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The Internet is approaching £100m in value to us
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The Telemarketing Challenge We Face…
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Brand Enhancing?
So calling receptive customers and not those who have opted out is incredibly important to us
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Saying it or really meaning it?
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Character or Reputation?Be more concerned with your character than your reputation, because your character is what you really are, while your reputation is merely what others think you are.
John Wooden
Who?
Known as ‘The Coach’ in America. Check out his TED Talk ‘the difference between Winning and Succeeding’ – old school but incredibly moving and relevant
Why?
Adhering to TPS is about ensuring your corporate character is one to be proud of in order to protect your reputation
TPS Assured proves you take your character seriously
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Why TPS Assured?
Any organisation needs to protect its reputation
Merely signing up to TPS is no longer enough
The environment shifts too quickly – the technology and the rules or ‘best practice’ changes constantly
TPS Assured gives an organisation a serious telemarketing health check
I thought we had it all in hand – network blocking, fierce repercussions for malpractice, clear corporate policy
TPS Assured has just made us better
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What did we learn?
That we are good but we can be better
Remember our strapline ‘Raising The Standard’
We weren’t diligent enough on checking upstream Opt In confirmation on bought in data – we just accepted the contract
Our dialler practice can be tightened
Best practice needs challenging – using a dialler on a Sunday? No more than 3 calls a day from a Dialler?
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Summary
We were too insular and possibly Smug
TPS Assured has got our head out of the sand
Our reputation is paramount to tomorrows business
TPS Assured is essential to Anglian succeeding in the future
One final thought
Should TPS Assured be compulsory for anyone using a dialler or who has repeated complaints from customer?
Should it be the first step before a fine?
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ICO Enforcement Strategy
Steve Eckersley, Head of Enforcement, ICO
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Information Commissioner’s Office
Steve Eckersley
Head of Enforcement.
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Responsibilities of the ICO
Regulation and enforcement of the Data Protection Act 1998,
the Freedom of Information Act 2000, the Privacy and
Electronic Communications Regulations 2003 (PECR):
• Live Calls
• Automated Calls
• SMS messages.
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Unsolicited calls – the threat and scale
The overall threat level of non-compliant marketing activities
remains high:
• Compelling evidence of growing volumes of unsolicited live
and automated telephone calls and SMS texts to UK
consumers.
• Increasing volume of complaints to the regulators, the TPS
and consumer champions.
• Increasing volume of complaints to Mobile Network
Operators (MNOs) via the 7726 reporting tool.
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Impact on UK and global consumers.
• National and International problem
• Sliding scale of the harm caused:
90% consider the calls to be inconvenient, annoying, a
cause for concern, a cause of anxiety or a disruptive
irritation.
Vulnerable groups – Distress and harm for people with a
terminal illness or a disability.
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The ICO PECR Enforcement Strategy
‘To ensure that the ICO is fully focussed on the PECR
threats and concerns, its investigations and coordination of a
wider range of activities aimed at reducing the threat, reducing
the number of complaints from consumers, protecting privacy
rights of consumers and improving compliance through robust,
effective and efficient regulation’.
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PECR Enforcement and Engagement Strategy
ICO enforcement activity split into three tiers of priority and
activities:
Tier 1 – Full investigations leading to disruption and/or
enforcement action.
Tier 2 – Monitoring and Compliance meetings.
Tier 3 – Engagement, Prevention and Education.
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Engagement, Prevention and Education.
• Threat based and intelligence led approach.
• Targeted and coordinated activity with other regulators.
• Targeted engagement with Industry and Trade
Associations.
• Stronger and effective self-regulation.
• TPS Assured Service.
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What are the ICO doing?
• The ICO has issued 6 Civil Monetary Penalties totalling over
£800,000 for breaches of PECR.
• 2 Notices of Intent issued in October.
• 1 criminal s17 DPA conviction against the Director of First
Financial – 8 October.
• 2 pending s17 DPA prosecutions
• 41 Third party Information Notices issued to CSP’s in
September.
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Other current ICO activity.
• Issued new guidance on consent.
• Submitted business case to the DCMS re change in
legislation
• Leading on Op Linden – the data cycle intervention activity.
• Access to the 7726 data.
• Joint regulatory coordination at UK Level
• Joint regulatory coordination at International level.
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ICO - current complaints picture
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@iconews
Keep in touch
Subscribe to our e-newsletter at www.ico.org.ukor find us on…
/iconews
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The Hon. Ed Vaizey MP
Minister of Culture, Communications and
Creative Industries
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Q&A
John Mitcheson
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Thank you for attending this event.
We welcome you to stay for networking
drinks & canapés.