Legitimate businesses risk drowning in sea of ‘spam’

By Aad Weening

Date: 03/06/04

TODAY'S phenomenal increase in spam is resulting in a drop of consumer confidence in the internet as a marketplace and is costly for consumers, distance selling companies and internet service providers. Recent figures show that 50% of EU-email traffic is estimated to be spam, a dramatic increase over December 2003, when only one in three emails was considered spam. Reports from both the French and Belgian privacy authorities on the 'spam emailbox initiative' indicate that the majority originates from outside the EU and that consumers often confuse legitimate email marketing with spam.

Legitimate businesses trying to reach out to customers are being discredited. They risk drowning in a sea of spam. This is a global problem that requires a global solution.

The EU has already taken steps in this direction with the 2002 directive on privacy and electronic communications in member states. It established that when the contact details for sending emails have been obtained in the context of a sale, the company that obtained the data may use them within the existing customer relationship for the marketing of similar products or services. This is provided that the customers are given the opportunity to object when the data is being collected and have a legitimate opt-out mechanism in each subsequent commercial message.

Spam, on the other hand, is the massive and untargeted sending of email to recipients whose addresses are collected without the recipients' knowledge and used unlawfully. Spammers usually hide their identity and do not offer a genuine and valid opt-out mechanism.

Possibly in response to this reality Enterprise and Information Society Commissioner Erkki Liikanen recently announced a clear intent to closely follow the implementation of the directive. He also outlined an integrated approach to the problem which encourages industry self-regulation, technical solutions, international cooperation and business and consumer awareness and education.

These are positive developments, but a concerted effort is needed to make them truly effective. In the meantime consumers are being adversely affected, especially those served by the distance- selling sector - and they are very many.

The distance-selling sector serves at least one out of every two households. It has evolved into a multi-channel, multi-market industry that is growing everyday. Today, about 40% of Europeans shop online. Within the sector, sales in e-commerce have tripled since 2000, with an increase of 30-90% in 2003 over the previous year, according to the maturity of the internet market.

This sector is also highly productive for the economy. For example, in the 18 states represented by EMOTA (European Mail Order and Distance Selling Trade Association), the total turnover is more than €54 billion in sales.

These trends are very likely to continue - yet they are also in grave danger due to spam. International cooperation is key to combating it. At the same time, it is important to end the confusion in the internet marketplace, which is already causing damage to legitimate businesses. All are in danger of being tarred by the same brush and therefore denied proper business opportunities - or worse.

The fight against spam is in everyone's interest, but we are convinced that the battle cannot be won through legislation alone because spammers are unlikely to obey the law.

A timely and accurate implementation of the regulations according to the spirit of the directive is essential to provide businesses with legal certainty. This would be an important first step, however, international collaboration is needed because a majority of spam comes from outside Europe.

• Aad Weening is secretary-general of EMOTA, made up of 15 EU national mail order associations together with those from Norway, Switzerland and Russia.

Commentary. The author is Secretary-General of EMOTA which comprises 15 EU national mail order associations together with those from Norway, Switzerland and Russia.

http://www.emota-aevpc.org/ http://www.emota-aevpc.org/

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