DMA CLAIMS PRIVACY LAWS CAN IMPACT POSTAL PROFITS

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(July 13, 2001) -- Privacy legislation could have a major affect on how direct marketers use the U.S. Postal Service, the Direct Marketing Association said.

An association-sponsored study cautioned that Congress needed to understand that privacy legislation has some economic costs, specifically on postal profits.

The DMA study suggested that new legislation would have the effect of dramatically increasing the volume of commercial mail as marketers rush to get their messages out before new privacy rules take effect. the study claimed that mailings would then decline sharply as marketers who are not able to target their message via mail will find other ways to reach consumers. -- Ira Teinowitz

Copyright July 2001, Crain Communications Inc.

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