TCPA and why we Recommend Double Opt-in for SMS Marketing

Understanding TCPA Compliance and the Importance of Double Opt-In for SMS Marketing

Overview

In SMS marketing (particularly in the US), compliance with regulations is crucial to protect consumers and maintain ethical business practices. This article aims to provide an overview of the Telephone Consumer Protection Act (TCPA) and highlight the significance of double opt-in for SMS marketing.

What is the TCPA?

The TCPA is a federal law enacted in 1991 in the United States. It was designed to safeguard consumers from unwanted telemarketing calls, automated dialing systems, pre-recorded messages, and unsolicited SMS messages. The TCPA imposes certain requirements on businesses to ensure they obtain proper consent before sending marketing communications via telephone or text message. Some of the key points are:

TCPA applies to both voice calls and SMS messages (but the ONE app only focuses on SMS marketing messages, not voice)
It prohibits unsolicited marketing messages without prior express consent
Violations of the TCPA can lead to significant penalties, including fines and potential lawsuits
Businesses must offer recipients a clear and simple way to opt out of receiving future SMS marketing messages (ONE ensures that all messages are sent with such a mechanism)

What constitutes "Prior express consent"?

This is less clearly defined in the TCPA, which is why there is some misunderstandings about whether or not double opt-in is actually required for SMS marketing or not. Technically speaking, double opt-in is NOT required to meet the standards for consent, as defined by the TCPA, but it does allow for the clearest paper trail for proving that express consent was required if it would ever need to be proven. Subsequently, ONE always recommends enabling double opt-in for SMS marketing to ensure there is no misinterpretation with compliance.

What are the benefits of double opt-in for SMS marketing?

Enhanced Consent: Ensures that individuals knowingly provide their consent and establishes an explicit record
Accurate Contact Information: Confirmation of consent verifies the accuracy of the recipient owning the phone number, and minimizes chances of incorrect or outdated information being used
Improved Engagement: Users actively confirm their interest, and therefore leads to higher engagement

Overall Conclusion

Understanding the TCPA as it relates to SMS marketing is extremely important to remain complaint. Here at ONE, we recommend enabling double opt-in for collecting SMS messages in order to create an explicit record of consent. We want to ensure that all of our merchants can send out marketing messages to their subscribers without having to worry about getting hit with fines or penalties. If you have any questions, please don't hesitate to reach out to our support team!

Updated on: 01/06/2023