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Resource Centre
Cheque out the following resources released by the FCC:
- FCC fact sheet
- FCC announcement outlining new rules
- FCC report and order and further notice of proposed rulemaking
The FCC is implementing new regulations that will significantly impact the use of robocalls in lead generation.
Before the FCC’s rule change, selling a consumer’s consent to multiple entities listed on a single form was permissible. Starting next year, however, this practise will be banned under the new FCC regulation. Businesses must now obtain prior express written consent from consumers for each seller individually, one at a time.
The FCC’s one-to-one ruling will modify the definition of prior express written consent under the TCPA, which sets strict guidelines for the use of automated calling technology. The rule change is designed to enhance consumer protection and ensure greater transparency in how businesses will obtain consent for marketing calls.
A nuisance to consumers, robocalls have long been a target for regulatory measures. This blog will explore what robocalls are, the specifics of the new FCC rule, and how it will affect businesses and consumers.
What Are Robocalls?
Robocalls are calls made by automated systems that deliver pre-recorded messages to consumers. These calls are typically made using auto-dialling software that can contact thousands of phone numbers in a short period. Robocalls are often used for telemarketing, political campaigns, emergency notifications, and informational messages.
The Role of Robocalls in Lead Generation
In the context of lead generation, robocalls are used to reach potential customers and gather information that can be used for marketing purposes. Businesses often use robocalls to quickly contact a large pool of leads, offering services or products that may interest them. However, the use of robocalls in lead generation has raised privacy concerns and led to regulatory scrutiny.
The FCC has taken various steps to combat these unsolicited calls, including implementing STIR/SHAKEN protocols to mitigate robocalls and prevent caller ID spoofing. Despite these efforts, robocalls remain prevalent, prompting the FCC to introduce new regulations to further protect consumers.
The New One-to-One Consent Requirements
Starting January 27, 2025, the FCC’s new one-to-one consent rule will change how businesses obtain consent for robocalls. The following are key aspects of the new requirements.
Prior Express Written Consent
Prior express written consent must be obtained by businesses from consumers for each seller from whom they agree to receive calls. This consent must be acquired individually, meaning consumers must select each seller one at a time.
Clarity in Consent
The new rules will emphasise that consent must be clear and unambiguous. Consumers should fully understand who will be calling them and for what purpose.
No Third-Party Consent
Businesses cannot rely on third-party lead generators to retain consent records. The caller must obtain and possess the full consent record before making any robocalls to consumers.
Impact of the New FCC Rule on Robocalls
The FCC’s one-to-one consent rule is expected to profoundly impact businesses that rely on robocalls for lead generation.
Increased Compliance Requirements: Businesses will need to implement more stringent consent-gathering processes to comply with the new rule. This includes maintaining detailed records of each consumer’s consent.
Reduction in Unwanted Calls: The new rule seeks to reduce the number of unwanted robocalls consumers receive by requiring businesses to obtain prior express written consent from consumers for each individual seller.
Potential Legal Challenges: As businesses adapt to the new requirements, legal challenges and interpretations that further define the scope and application of the rule may arise.
Looking Ahead
The FCC’s new one-to-one consent requirements will significantly change how businesses obtain consent for marketing calls, especially robocalls. By understanding these changes and adhering to the new regulations, companies can make any necessary adjustments while respecting consumer preferences and adhering to legal requirements. Stay tuned to the Phonexa blog for updates on the FCC’s one-to-one consent rule change.
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