Code of Practice for Telemarketing

NORDMA’s Code of Practice for Telemarketing (TM) has the same objective as NORDMA’s general Code of Practice, in that it shall contribute to NORDMA maintaining an effective and reliable system of self-regulation. These regulations (the Code of Practice) shall fulfil reasonable requirements and expectations that consumers and companies have with respect to the practices of the industry and of NORDMA’s members.
 
NORDMA’s Code of Practice for TM sets ethical and technical standards for members’ practices, and it is a condition of membership that all TM-authorised member companies comply with the Code. Where required, NORDMA will draw up, revise and publish guidelines for practice in different areas that affect the industry.

NORDMA has its own Supervisory Committee which is responsible for supervising member companies’ compliance with NORDMA’s Code of Practice. Breach of the Code may have consequences for members.

1. Definition of Telemarketing (TM)

Telemarketing means:
The sum total of the activities and communication required in order to offer goods and services to one or more target groups, through the medium of telecommunications, for the purpose of achieving a measurable response or dialogue with customers or potential customers.

Telecommunications media in this context may be ingoing and outgoing telemarketing, interactive TV, SMS, MMS, etc.

 

2. General requirements

 

2.1 Licence
It is a condition that NORDMA members engaged in TM activities shall have been granted a licence to operate by the Data Inspectorate.

2.2 Responsible management
The company must have a general manager, a board of directors and an authorised accountant.

 

2.3 Controller/processor

In cases where a TM company carries out an assignment on another’s behalf, the relationship as regards roles and responsibilities shall normally be that the principal is the controller, and the TM company the processor. However, this does not exempt the TM company from co-responsibility with respect to ethical conduct and other areas mentioned below.

 

2.4 Ethical rules of conduct (requirements as to operation of the activity)
The company shall have drawn up rules for operation of the activity that are in agreement with NORDMA’s general Code of Practice, ethical rules and good business practice.

The company undertakes to operate its TM activity in accordance with the following ethical rules:

o It is not permitted to use other than the principal’s register of members, customers, suppliers or subscribers for the purpose of telephone marketing. Telephone registers may only be used electronically after they have been updated against the official Central Marketing Exclusion Register and Statistics Norway’s Register of Deceased Persons.

o  Market research and sales campaigns must not be coupled together.

o Marketers shall consciously avoid the sale of ideas and/or products which may appear disreputable or offensive to the recipient.

o It is a prerequisite that the goods and services concerned may be sold lawfully in Norway.

o Upon calling the recipient, the telesalesperson shall introduce himself or herself, state on whose behalf he or she is calling and the purpose of the call. The salesperson shall then request permission to continue the call.

o The TM company is responsible for ensuring that all operators are at all times able to answer any questions the recipient may have concerning the identity of the principal and the source of the address/telephone number.

o Customers who call back to a given number shall be notified, either personally or with the use of a pre-recorded message, of the name of the company behind the sales campaign and the name of the call centre that has made the call.

o Private individuals shall not be called before 9 a.m. and no later than 9 p.m. On Saturdays private individuals shall not be called after 6 p.m., and no calling is permitted on Sundays and public holidays.

Automatic mass calling where the sender is only an answer machine is prohibited under the Marketing Control Act section 2 b), and shall not occur.

 

3. Training

The company shall operate a training scheme for its employees. The employees shall be trained in calling and communication. The company has an obligation to ensure that all communicators are familiar with and understand the industry’s own ethical rules and the licensing requirements issued by the Data Inspectorate. The employees shall undertake to comply with these rules.


4. Complaints/erasure of data

The company is obliged to keep statistics with regard to complaints. Clear procedures shall be established for dealing with complaints.
If the data subject so requests, his or her personal data shall be erased from or blocked in the company’s lists. Furthermore the communicator is obliged to ensure that he or she is familiar with the procedure for permitting data subjects to register in the Central Marketing Exclusion Register their objection to having their data used for telephone sales purposes.


5. Use of automatic calling systems

 

5.1 Definitions

Automatic calling systems
Automatic calling systems (ACSs) are systems that are capable of calling a telephone number automatically before an agent is ready to take over the call exclusively. This includes systems such as:

o Predictive diallers

o Progressive diallers

o Power diallers

o Auto diallers

o Preview diallers

o Adaptive diallers

o Automatic diallers

 

This definition of automatic calling systems does not necessarily represent the limit of these systems, as other systems can also be included.

 

Live calls

A live call is a call where a live salesperson is actually in contact with a customer.

 

Abandoned calls

An abandoned call is any call where the system frees the line (abandons the call) after a call has been answered by a customer.

 

 

5.2 Minimum ring time

Members of NORDMA must ensure that their calling systems are set so as to ring using a minimum of 4 ring signals (= 20 seconds) before the ringing stops and the call is concluded as ”not answered”.

 

5.3 Available salesperson

If no salesperson is available to take the call set up by the system, the system shall abandon the call and free the line as quickly as possible, and within a maximum of 3 seconds from the customer lifting the receiver. As a minimum, a message should be played identifying the caller and possibly also providing the recipient with information about how to contact the caller.

 

5.4 Proportion of abandoned calls

The calling system must at all times be adjusted in such a way as to prevent abandoned (or “silent”) calls, but must never exceed 5% as a proportion of live calls made for each sales campaign over a 24-hour period. The proportion of abandoned calls shall be calculated on the basis of actual calls (”live calls”) on/within the same campaign and time interval. 

 

5.5 New call following an abandoned call

If a call to a recipient has resulted in a so-called "drop" (the recipient picks up the receiver too late, and there is no-one at the other end), the TM company shall, if calling the same number again later, ensure that this is done in such as way as to avoid a "drop" occurring again. Numbers that have received abandoned calls shall not be called again for a period of 72 hours and subsequent calls shall be made by a dedicated customer salesperson.

 

5.6 Records of calls

For each individual sales campaign/project, NORDMA’s members are required to retain records broken down on a daily basis (dialler statistics) which clearly document compliance with NORDMA’s Code of Practice. The records shall contain:

 

o The total number of calls attempted

o The total number of calls answered

o The total number of calls connected

o The total number of calls transferred to an available salesperson

o The total number of abandoned calls

 

5.7 Maintenance and storage of call records

Dialler statistics must be kept for a minimum of 12 months and must be available for inspection at reasonable notice from NORDMA or other relevant authority.

 

5.8 Number display

The TM company’s calling identification number shall not be concealed from the recipient. The recipient shall at all times be able to identify the number, and so be able to ring back and receive a message as to who has called. It is the responsibility of the TM company to make this practically and technically possible.

 

5.9 Cost of calls

A recipient who has experienced "drop", and who wishes to trace the caller, shall if desired have the cost of tracing the call at the national rate refunded by the TM company in question. Calls from customers to the company that has made the call (on a displayed calling line identification number) shall be refunded at the national rate.

6. NORDMA’s Supervisory Committee

NORDMA has established a Supervisory Committee whose most important purpose, where necessary, is to carry out independent assessments of complaints related to individual members’ compliance with the Code of Practice. The Supervisory Committee is composed of the General Manager of NORDMA as well as a technical specialist.

 

6.1 Roles and tasks

 

The Supervisory Committee considers all unresolved customer complaints against NORDMA’s members. The Committee will seek to come to an amicable agreement in such complaint cases, and will if necessary make an adjudicative decision in accordance with the Code of Practice.

Upon referral from NORDMA’s General Manager, the Supervisory Committee may consider complaints against ”non-members” who have applied for membership of NORDMA. The Supervisory Committee will report to the Board its viewpoints regarding the complaint.

The Supervisory Committee monitors the extent of compliance with NORDMA’s Code of Practice, and draws up an annual report concerning this which is submitted to the relevant authority. The report is compiled on the basis of cases considered by the Committee, as well as the results of a questionnaire survey among the members. The report is made publicly available in connection with the General Meeting.

The Supervisory Committee may carry out visits to members for the purpose of discussing relevant problems, and may in this connection take up matters that affect compliance with the Code of Practice, irrespective of whether or not a complaint has been received from a third party.

 

6.2 Authorisation

 

If the Supervisory Committee judges that a member’s practices are not in compliance with the Code of Practice, the Committee is authorised to decide one or more of the following measures:

 

o Get the member to undertake not to repeat the breach, or if necessary agree alternative practice with the member.

o Issue a written warning to the member, which shall normally be made public. The member will be given the opportunity to read through and comment on the warning before it is made public.

o Suspend the member, or, if the circumstances dictate, terminate the membership of NORDMA. NORDMA’s Board shall be notified that the Committee is in the process of imposing such sanctions.

 

Whether or not the Supervisory Committee concludes that there has been a breach of the Code of Practice, it may irrespective:

o Decide to advise the member concerning possible changes in practice and/or

o Seek an amicable settlement on behalf of the involved parties.