Thursday, August 02, 2007

Monthly subscription reminder messages

The Consumer Best Practices Guidelines, issued by the Mobile Marketing Association (MMA), specify that all subscription campaigns require a monthly reminder message. Before a program is renewed, a renewal message needs to be sent to the subscriber reminding him/her that the subscription is about to be renewed. The reminder message needs to specify the pricing as well as opt-out instructions. The guidelines are silent on how much lead time a content provider needs to give the consumer before actually renewing the subscription.

All US carriers require content providers to implement the MMA guidelines, but some carriers impose additional restrictions.

Verizon Wireless announces that consumers should be given at least a 2 business day lead time before a subscription gets renewed. This means that the monthly notification message needs to be sent out 2 business days before the renewal Premium SMS message is initiated.

Many content providers have been sending out renewal messages 10 or 20 minutes before sending out the premium sms message. This is no longer allowed by Verizon.

T-Mobile and sweepstakes

Not surprisingly, T-Mobile is now requiring that any end-user who is participating in a premium sweepstakes campaign is getting some mobile content delivered to the phone in return for the premium charge. Technically, the user is paying for the mobile content, and is getting the sweepstakes entry for free

As mentioned here, Verizon Wireless has a very similar requirement and I expect that other carriers will follow pretty soon.

I suspect that these changes are the direct result of the class action lawsuit initiated by a viewer in Georgia who participated in the 'get rich with Trump' mobile sweepstakes campaign while watching The Apprentice on NBC. See here and here for more details about the lawsuit.