Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

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Canada’s long-anticipated Anti-Spam Legislation (CASL) came into effect July 1, ushering in a new era for online marketing. However, new survey data from Constant Contact®, Inc. (NASDAQ: CTCT) reveals that the majority of Canadian small businesses do not fully understand the law and how to be compliant and have taken limited action to date to adhere to the new regulations. Less than half of Canadian small businesses (42 percent) feel they understand how to be CASL compliant. Just 33 percent of Canadian small businesses are aware of the penalties associated with CASL non-compliance. “Despite the fact that CASL came into force July 1, it’s clear that small businesses are behind the curve when it comes to fully understanding the new legislation and what steps they need to take to be compliant,” said Lisa Kember, regional director for Canada East at Constant Contact. “Getting educated is the first step to being CASL compliant, and ultimately, achieving marketing success. Constant Contact has free CASL resources available to help small businesses and organizations, both in terms of education and marketing tools, to enable them to become compliant marketers.”

Transcript of Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

Page 1: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

New survey reveals Canadian small businesses not CASL-ready

Page 2: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

Less than half of Canadian small businesses (42%)

feel they understand how to be CASL compliant.

Lack of understanding

Just 33% of small businesses are aware of penalties

associated with CASL non-compliance.

Unaware of penalties

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29%

20%

42%

9%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

34%

19%

33%

14%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

Q: I understand how to be CASL compliant.

Q: I am aware of the penalties associated with CASL non-compliance.

Page 3: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

Delayed Preparations

21%

25% 25%

29%

Soon; I've been thinking about it

Not sure; I haven't thought about it

I don't plan on making any changes/

preparations

I am already underway

preparing for CASL

enforcement

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• Only 29% of small businesses surveyed began preparations

for CASL before enactment date of July 1, 2014.

Q: When will you begin preparing for CASL enforcement?

Page 4: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

• What are Canadian SMBs doing in preparation?

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15%

19%

28% 28%

35%

39%

51%

59%

85%

Posted legal language on my physical sign-up

sheets

Sent an email campaign to my list that includes a link to confirm opt-in

Deleted contacts from my email list

Included an email opt-in check box on online transactions

Emailed contacts to obtain express

consent

Training my staff on how to be CASL

compliant

Keeping records of when, where, and

how I obtain consent to email contacts

Reviewed my email contact lists to ensure I have

proper permissions

Educating myself about CASL

regulations and the steps I need to take

to be compliant

Q: What are you doing in preparation for CASL enforcement?

Steps taken in preparation

Page 5: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

Resources used

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18% 20%

28%

44%

50%

59% Q: What resources are you using to learn/prepare for CASL?

Page 6: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

CASL Concerns

4%

6%

15%

25% 25%

33%

39%

41%

44%

Other None/Not applicable

Training my staff on CASL

compliance

Gaining new contacts willing to opt-in to my email

list

Penalties associated with non-compliance

Finding the time and resources

that will be needed to ensure CASL compliance

Managing/ tracking email

permissions from contacts

Collecting express consent from my existing

list of email addresses

Uncertain about what I need to do

to comply

.ca

Q: What are your largest concerns about CASL enforcement?

Page 7: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

More than half (63%) think CASL will be good for

consumers.

20%

16%

58%

6%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

CASL is good for consumers

58% of businesses believe CASL will help mitigate

spam.

CASL will help mitigate

spam

12%

21%

63%

4%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

Mixed expectations Q: CASL is good for consumers.

Q: CASL will help mitigate spam.

Page 8: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

44% think CASL is good for businesses in general.

CASL is good for

businesses in general

When asked if they thought CASL would have a

positive impact on their business, only 23% agreed,

while 47% were neutral/ had no opinion.

CASL will have a positive

impact on my business

0 0 0 0

19%

29%

44%

7%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

Q: CASL is good for businesses.

22%

47%

23%

8%

Disagree somewhat/completely

Neutral/no opinion Agree somewhat/completely

I don't know

Q: CASL will have positive impact on my business.

Page 9: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

When asked how CASL will impact their marketing,

43% of respondents said that they do not think it will

limit their reach.

3%

45%

20%

4%

27%

Do more Same amount Do less Stop Don't do

Impact on marketing

When asked specifically about CASL’s impact on

email marketing activity, most respondents reported

that their efforts will remain largely unchanged.

Impact on email activity

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43%

24%

27%

6%

Disagree somewhat/completely

Neutral/no opion Agree somewhat/completely

I don't know

Q: Thinking about CASL enforcement beginning on July

1, 2014, how will this affect your email marketing

activities?

Q: CASL will limit my marketing reach.

Page 10: Canadian Small Businesses Not CASL-Ready According to New Constant Contact Survey

© Constant Contact 2014

This data was compiled from a Constant Contact-sponsored survey, deployed to a Research Now panel of 500 Canadian small

businesses in June 2014. The survey is the first of an ongoing series addressing the impact of CASL for small businesses across

Canada.

About the Data:

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Want to learn more?

www.constantcontact.com/casl

Constant Contact’s CASL Resource Center

www.fightspam.gc.ca

Canada’s CASL Website