The True Cost Of Violating The ‘No Means No Rule’ For Businesses Using Text Messaging Marketing

The True Cost Of Violating The ‘No Means No Rule’ For Businesses Using Text Messaging Marketing

SMS marketing has taken over in the past decade. It has proven to be a very successful and valuable tool for communicating with loyal and potential customers. SMS also conveniently generates sales leads, and companies are becoming increasingly focused on their SMS marketing strategies.

However, consumers complaints for receiving spam marketing messages have quadrupled, accumulating over 500% in the last five years! This places many companies – big or small – in hot water for spamming their customer-base with irrelevant and sometimes annoying information. Often times, the customers have unsubscribed themselves from receiving promotional or company messages yet they still keep receiving texts until they file a complaint against the company.

As a result, Telephone Consumer Protection Act (TCPA) has started taking strict actions against companies violating the ‘No means No’ rule to protect consumers’ interests.

If your company uses SMS marketing, you need to pay close attention to your corporate communication strategies to avoid facing lawsuits. Consumers are usually quite sensitive about the messages they receive on their numbers, so spamming them with unwanted messages is only going to take you to the legal court!

SingleThread has emerged as an SMS service provider helping their customers utilize their dedicated texting tools for back-and-forth communication. Additionally, our services and experts help to ensure that you are in compliance with TCPA regulations by developing an SMS marketing strategy that lets you maintain the right marketing balance between marketing and spamming.

Failure to Maintain TCPA Compliance

Violating TCPA regulations means a service provider may be liable with certain penalties. Private U.S. citizens lodge grievances against companies and sue them for damages based on unwanted communication via SMS. Violating the law will lead to a $500 fine for each unwanted call and SMS. If it is proven that the party has violated TCPA regulations knowingly, the penalty can be significantly increased, amounting to $1500 in fines for each unwanted call or SMS.

However, the violating parties are not always limited to a single entity. Any party involved in offending TCPA regulations in the whole campaign is entitled to penalties and lawsuits. The damages unfold on the business, the SMS marketing agency executing a movement, and the SMS marketing software provider. Each of these entities is liable to pay fines.

These penalties of $500 or $1500 might seem negligible or too insignificant, but the whole process of a lawsuit and legal costs contesting any class action lawsuits usually lead to hundreds of thousands, or even millions of dollars. Such events may seem minor but can shatter a company’s image and cripple their bank accounts. This means TCPA compliance for companies is of utmost importance. Not only is a company required to hire a legal solicitor but also an SMS marketing service provider with a firm grasp of the regulations of TCPA.

Working with SingleThread guarantees complete observance and compliance with TCPA regulations. We help you save unwanted legal costs and maintain your business’ good reputation in Nashville, TN. Reach out to us now for a live demo of our premium services.