The Federal Government has launched a review of the Do Not Call Register, but there is still no sign of the legislation that will allow businesses to add their number to the list.
The review of the DNCR is required under Federal law and is not expected to result in any major changes to the operation of the register.
A discussion paper prepared for the review reveals that 3.54 million numbers have been added to the list since its introducing in May 2007. A survey conducted for the review shows that 75% of people know of the existence of the register.
However, the review will not look at the Government’s controversial plan to add business numbers to the DNCR.
This plan has been slammed by a number of sales and marketing experts and industry bodies, including the Australian Direct Marketing Association, who believe the introduction of business numbers will increase compliance costs for businesses, restrict normal selling practices and stifle competition.
A preliminary analysis of the Government’s plan commissioned by the ADMA and prepared by Access Economics pinpointed compliance costs as a big issue.
“Anecdotal evidence obtained through stakeholder consultation revealed that the cost to establish a comprehensive IT compliance system could range from $50,000 for a medium size business to $2 million for a large business,” the report says.
The report also claims that extending the DNCR could have an adverse impact on competition and innovation in Australia.
“Any policy that limits the ability to ‘steal’ customers from other firms will reduce incentives for firms to ‘guard’ their customers through price and quality. Therefore, the extension of the DNCR can reduce competition between firms leading to higher prices, lower quality and less innovation.”
The website of the Department of Broadband, Communications and the Digital Economy says Federal Communications Minster Stephen Conroy will introduce legislation allowing for the addition of business numbers on the DNCR in “late 2009” but there has been no word on the actual timing of this.
A spokesman for the minister was unavailable prior to publication.
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
