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Can Businesses Freely Send Marketing Emails To Other Businesses?

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Business-to-business email marketing is a vital tool for business growth and brand awareness. Businesses commonly use email marketing to reach existing and new customers. However, organisations need to consider the relevant legal rules before sending out marketing emails to businesses. A common question is whether you can send marketing emails to businesses freely as part of your campaigns, which this article will explore.

What Are the Rules for Sending Marketing Emails?

The Privacy and Electronic Communications Regulations (‘PECR’) set out several rules about using electronic communications for direct marketing. Direct marketing is the targeting of advertising to specific individuals. Your business must ensure it complies with the rules under PECR when sending out unsolicited emails.

PECR applies different rules when sending marketing emails, depending on the recipient. The rules are as follows, depending on the category of recipient:

RecipientRule
Sending marketing emails to consumers, sole traders and non-LLP partnerships.Usually, you must obtain consent to send marketing emails to consumers, sole traders and non-LLP partnerships. An exception known as the ‘soft-opt-in’ allows you to send marketing emails to previous or existing customers who have not opted out of receiving those communications.
Sending marketing emails to corporate recipients (limited companies, limited liability partnerships, Scottish partnerships, public bodies). The PECR rules are more relaxed when sending marketing emails to corporate subscribers. Corporate subscribers include companies and LLPs. You do not need to obtain consent to send emails to corporate recipients.

However, the individual receiving the email at the corporate organisation should always have the right to unsubscribe from receiving your marketing emails.

Can I Send Marketing Emails to Businesses Freely?

Before sending such emails, you should ask yourself the following questions: 

1. Is the Business Recipient a Sole Trader or a Non-LLP Partnership?

If you wish to send marketing emails to businesses operating as sole traders or non-incorporated partnerships, you will generally need consent. This is because, under PECR, these businesses are treated as ‘individual subscribers’. As a result, the rules around marketing to them are stricter.

Additionally, the recipient’s consent must be:

  • freely given;
  • specific;
  • informed; and
  • unambiguous. 

In this sense, the consent must be an apparent form of positive action. For example, the recipient can show their consent by ticking a box or sending an email to indicate that they agree to receive marketing emails.

You may also be able to rely on the ‘soft-opt in’ exception to send marketing emails to sole traders and non-incorporated partnerships. You can send these emails if you:

  • have obtained the contact details of an individual in the course of a sale (or negotiations for a sale) of a product or service to that person;
  • are marketing your similar products or services; and
  • give the individual a simple opportunity to refuse or opt out of the marketing, both when collecting details and in every message afterwards.

2. Is the Business a Corporate Body?

You can email corporate bodies (i.e., limited companies, limited liability partnerships and corporate bodies) without consent. The individual receiving the email at the corporate organisation should always have the right to unsubscribe. You should also not disguise or conceal your identity when sending marketing emails.

The UK ICO (the data protection regulator) also recommends keeping a ‘do not email’ list of businesses that have opted out of receiving certain emails from you.

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What are the Rules Governing Personal Data?

The UK General Data Protection (‘UK GDPR’) regulates the processing of personal data about living individuals. The UK GDPR sets out compulsory rules for you to follow when you process personal information about individuals.

If the business email addresses identifies individuals like Joe.Bloggs@ABClimited.com, you will be processing personal data. As such, the UK GDPR rules will apply, and you will need to identify a lawful ground for processing that personal data.

You must consider and document a lawful reason to use individuals’ names and contact details for email marketing purposes.

The UK ICO can apply severe penalties for non-compliance, including heavy fines. Fines for breaching the UK GDPR can be £17.5 million or 4% of total worldwide annual turnover, whichever is the higher.

Additionally, breaching the PECR is also severe, with fines of up to £500,000. As such, compliance with the rules is crucial. If you are unclear about which steps to take to comply with email marketing rules, you should seek legal advice from a data protection solicitor.

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Key Takeaways

Email marketing is a popular tool to reach your target audience. However, you cannot simply send marketing emails to all businesses freely. Your organisation must carefully consider the UK GDPR and PECR rules before sending these emails to businesses. You must understand the types of businesses you target and ensure that your email campaigns comply with mandatory legal requirements. The rules are more relaxed when you are sending marketing emails to corporates. However, there are still considerations and rules to follow when doing so.

If you need legal advice on email marketing law rules, our experienced data, privacy, and IT lawyers can assist as part of our LegalVision membership. For a low monthly fee, you will have unlimited access to lawyers to answer your questions and draft and review your documents. Call us today on 0808 196 8584 or visit our membership page.

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Sej Lamba

Sej Lamba

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