Dealers: Know the Rules Before You Engage in Text Marketing
Automobiles and text messages can’t seem to get along. As the primary technologies for getting around and communicating, cars and phones represent two of contemporary society’s most indispensable tools. And yet no one has figured out a way to safely use one while using the other, nor has either industry—automotive or telecommunications—successfully crossed over to offer consumers a seamless, connected experience.
Another way cars and texts don’t quite mix? Marketing.
If you violate the Telephone Consumer Protection Act by sending a consumer an unsolicited text, get ready to pay at least $500. That’s only the statutory penalty; if a court finds that you knew you were breaking the law, you could be on the hook for $1,500.
That may not sound like much on its own. No one wants to part with $500–$1,500 they could have easily saved otherwise, but there are steeper regulatory fines out there, right? Sure, but remember: this is the penalty for one text. If your dealership is like others, you may be sending thousands or tens of thousands of messages all at once. Multiply every person on your list who hasn’t opted in by 500–1,500, and you could be looking at a penalty in the range of six or seven figures. The worst cell phone plan in the world is a better deal.
It’s tempting to view phone numbers the same way you approach your email list. But just as your newsletter needs to comply with the CAN-SPAM Act, there are rules for text message marketing.
At the core of all good text marketing programs—or any activity at your dealership—is a robust system of documentation. Diligent recordkeeping protects your business against any future legal claims or regulatory investigations. Learn how Compli automates and streamlines the process.
