Disclaimer: this is not legal advice of any sort, it is information covering ACAM spam laws and the new rules around setting up Sender ID’s.

In today’s digital age, SMS marketing is a powerful tool. 

However, it’s crucial to understand and follow the rules governing it. 

Non-compliance can lead to severe consequences, including hefty fines and damage to your reputation.

Ignoring these rules is not an option. 

Penalties can be severe, ranging from substantial fines to reputational damage. 

In some cases, non-compliance can even lead to legal action.

In Australia, the Spam Act 2003 governs SMS marketing. 

It outlines several key requirements. 

In this short article, we’ll explain what this means if you’re sending promotional SMS messages to customers.

Key Takeaways

• Understanding SMS Rules is Crucial: The Spam Act 2003 governs SMS marketing in Australia. It’s essential to understand and follow these rules to avoid penalties and protect your reputation.
• Register Your Sender ID: Before sending SMS messages, you must register and get approval for your Sender ID with the ACMA.
• Obtain Consent: You must obtain either express or inferred consent from recipients before sending them marketing messages. Express consent is recommended as it’s easier to prove.
• Identify Yourself Clearly: Your messages must clearly identify who you are. This can be achieved by including your business name in the message or using an alpha tag.
• Provide an Unsubscribe Option: Every marketing SMS must include an opt-out option. If a recipient chooses to opt-out, you must respect their decision and remove them from your marketing list.

Guiding Principles for SMS Marketing in Australia

Overview of the Spam Act 2003

The Spam Act 2003 is the primary legislation governing SMS marketing in Australia. It sets out the rules for sending commercial electronic messages, including SMS.

Key Requirements of the Act

The Act stipulates several key requirements for businesses using SMS for marketing. These include:

1. Registering your Sender ID: Before you start sending SMS messages, you must register your Sender ID. This ID must be approved by the Australian Communications and Media Authority (ACMA).
2. Obtaining Consent: You must obtain consent from recipients before sending them marketing messages. Consent can be express (explicit agreement) or inferred (based on a pre-existing business relationship).
3. Identifying Yourself: Your messages must clearly identify who you are. This can be achieved by using an alpha tag or a dedicated number.
4. Providing an Unsubscribe Option: Every marketing SMS must include an opt-out option. If a recipient chooses to opt-out, you must respect their decision and remove them from your marketing list.

 

Detailed Examination of Key Requirements

Registering a Sender ID

Explanation of the New SMS Sender ID Registry.

The Australian government has introduced an SMS Sender ID registry to combat fraudulent messages from scammers. 

All companies who are sending marketing and promotional SMS messages to consumers must register their Sender ID and receive approval before sending any text messages.

With 160.com.au, you can go to the Sender ID section and register the Sender ID you’d like to use and our team will manually approve it for you.

Obtaining Consent

Explanation of Express Consent

Express consent is when a customer explicitly agrees to receive your marketing messages. This could be through ticking a checkbox or verbally saying ‘yes’ to promotional messages.

Explanation of Inferred Consent

Inferred consent is when a customer is already doing business with you and would expect to receive marketing messages. This type of consent is implied rather than explicitly stated.

Recommendations for Obtaining Consent

Given that inferred consent can be harder to prove, aiming for express consent is recommended. 

A simple tick-box at checkout with a statement like, “Yes, please send me occasional marketing messages,” can suffice.

 

Identifying Yourself

Importance of Clear Identification in Messages

Clear identification in your messages is essential. It helps customers recognize who the message is from, enhancing trust and engagement.

Examples of How to Identify Yourself

You can identify yourself by including your business name in the text message or using an alpha tag that spells out your business name. For instance, a message could start with “Get 20% at ShoeHaus this weekend.”

 

Providing an Unsubscribe Option

Importance of Including an Opt-out Option

Including an opt-out option in every marketing message is a must. It gives recipients the choice to stop receiving your messages, respecting their preferences.

Examples of How to Provide an Unsubscribe Option

An unsubscribe option can be as simple as “Reply STOP to unsubscribe.”

Importance of Honoring Unsubscribe Requests

If a customer opts out, you must honor their request by promptly removing them from your marketing database. Failure to do so can lead to penalties and damage to your reputation.

 

Conclusion

While some may see this as a bit of a hassle since it adds additional steps to the process it will in face help build up trust inside the market.

There’s nothing more frustrating than receiving text messages from a company that offers no way to unsubscribe for example.

With this additional step of forcing businesses and marketers to get approval on their Sender ID’s this will ultimately make it harder for scammers to push out text messages with malicious intent.