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Table of Contents
Issue 6
February 2004

 

 

Do-Not-Call Registry and Market Research

On March 11, 2003, President Bush signed legislation creating a national telemarketing "Do-Not-Call" Registry. Consumers began signing on last summer, with full implementation scheduled for the end of 2003. More than three-dozen states have also implemented their own Do-Not-Call (DNC) legislation.

The DNC Registry applies to anyone who sells goods or services through interstate phone calls. It includes telemarketers who solicit consumers on behalf of third-party sellers, and sellers who provide goods or services to consumers in exchange for payment.

There are exceptions, even if the consumer has signed on to the DNC Registry:

  • Sales calls are allowed if a business relationship of 18 months has already been established with the consumer.
  • Contact is allowed for up to three months after the consumer has made an inquiry or submitted an application to a company.
  • The consumer may be called if he or she has given written permission that contact may be made.

For now, political organizations, business-to-business companies, charities and telephone surveyors are exempt from the DNC legislation. However, this exemption is being challenged in court.

Judge Nottingham, 10th Circuit Federal Court - Denver, found the DNC Registry to be unconstitutional because of these very exemptions. The government filed an appeal and blocked the judge's stay, but the challenge continues.

How does the DNC Registry effect market research?
If telephone surveyors are eventually blocked from making telephone calls, analysts believe that the legislation will have created significant, undesirable change in obtainable market research results.

Analysts suggest that people signing on to the DNC Registry are demographically - and perhaps attitudinally - different. In addition, they are likely to be older, well-educated, non-minority, and of higher income. Removing this segment of the population from the pool of available respondents would skew results dramatically.

The debate over the constitutionality of the DNC Registry is likely to continue for some time. SRA hopes that in the final analysis, the success of those who depend on the opinions of their customers will not be compromised. ‡

 

   

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