14 replies
Is re-selling marketing lists illegal? I have several lists that I would like to combine into one more effective list to sell to businesses, and am not sure of the legalities, being a newbie and all
#illegal
  • Profile picture of the author djneill
    What niche are these list in and are you selling to online or offline business? If it's an email list then most auto responder companies aren't cool with importing people that have not opted in to the persons list.
    What you can do is mail to the list someone else's offer and pretty much sell the clicks generated or leads generated.
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    • Profile picture of the author Steve B
      The question is . . .

      Do you have the express permission from the people on the list to contact them directly?

      My guess is . . . no.

      If that's the case, don't email them regardless of who the offer comes from. Lists are a dime a dozen and most often when a list is being advertised for sale, it is a list that has not opted in to receive emails.

      Legality aside, such lists are notoriously poor converting because they are stale and not targeted.

      Don't do it unless you are ready to have your hosting service receive a lot of spam complaints.

      Steve
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      • Profile picture of the author Steve B
        Regarding the sale of these lists - you said:

        "I have several lists that I would like to combine into one more effective list to sell to businesses"

        How are you going to make this bundle of combined lists "more effective"?

        Have the names on the list given you permission to sell their information to 3rd parties? If not, don't do it!

        Steve
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        • Profile picture of the author JohnMcCabe
          Do you have a contract with these people, implied or real?

          When you built any of these lists, did you use a phrase like "we will never sell, rent or share your address"?

          Does your privacy policy include a statement that information may be shared with third parties, and under what conditions? Do you have language near the opt-in (like a checkbox) where subscribers assert that they agree with the policy and any TOS you have?

          Absent some form of explicit permission, I'd steer well clear of emailing commercial email to any list.
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          • Profile picture of the author Cyberdog1
            Originally Posted by JohnMcCabe View Post

            Do you have a contract with these people, implied or real?

            When you built any of these lists, did you use a phrase like "we will never sell, rent or share your address"?

            Does your privacy policy include a statement that information may be shared with third parties, and under what conditions? Do you have language near the opt-in (like a checkbox) where subscribers assert that they agree with the policy and any TOS you have?

            Absent some form of explicit permission, I'd steer well clear of emailing commercial email to any list.
            You won't find a better answer than that
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  • Profile picture of the author troy23
    I'm not sure if it is illegal, but would you feel good about doing such a thing?
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    • Profile picture of the author JohnMcCabe
      Originally Posted by troy23 View Post

      I'm not sure if it is illegal, but would you feel good about doing such a thing?
      Troy, legitimate list sales and/or rentals are a big money business. As long as the list builder is transparent about the conditions under which the list will be shared, there's no problem and nothing to feel bad about.

      I do have a hunch, though, that such is not the case here. If I'm right, my original answer stands...
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      • Profile picture of the author kindsvater
        Originally Posted by JohnMcCabe View Post

        Troy, legitimate list sales and/or rentals are a big money business. As long as the list builder is transparent about the conditions under which the list will be shared, there's no problem and nothing to feel bad about.
        Funny, I don't recall magazines, schools, offline stores and other places that get a name and physical address asking for permission before selling it.

        The problem with email is that it is so low cost for spammers they can ruin the service. You don't receive 2000 pieces of junk mail via the post office every day. But if control a mail server where you can see the pile of spam that gets filtered out you know the spam level is obscene.

        Re-selling marketing lists is typically going to be illegal in some manner, whether CAN-SPAM or violations of service agreements or breaches of privacy policies. The bottom line is do you have the permission to market to the recipient via email?

        .
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  • Profile picture of the author Newbie880
    Thanks to everyone for your input, your answers have deff steered me in the right direction

    I have found another service to market that does not involve reselling lists

    I know everyone says buying lists is a bad idea, but I have an opt-in list that I'm willing to give a try. I plan to send engaging, personalized emails that try to differentiate from the standard mass spam lists that have become so notorious.

    My question to all you experienced warriors, if I sent individual emails (one receipient, not multiple) will the email get delivered to the recipient, or get delivered to the spam folder? How can I avoid getting automatically sent to the spam folder? Is G-mail better for this?


    Thanks
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    • Profile picture of the author JohnMcCabe
      Originally Posted by kindsvater View Post

      Funny, I don't recall magazines, schools, offline stores and other places that get a name and physical address asking for permission before selling it.
      Brian, you know as well as I do that the rules for physical mail are different than they are for email.

      I will admit that the magazines, stores, even banks that have my email have varying levels of transparency regarding permission to share contact information. Some ask right on the subscription form, others bury it in the TOS you have to accept to use one of their services. It's usually buried about halfway through and uses terms like "marketing partners" or "approved third party providers".

      Originally Posted by kindsvater View Post

      The problem with email is that it is so low cost for spammers they can ruin the service. You don't receive 2000 pieces of junk mail via the post office every day. But if control a mail server where you can see the pile of spam that gets filtered out you know the spam level is obscene.
      No argument from me here.

      Originally Posted by kindsvater View Post

      Re-selling marketing lists is typically going to be illegal in some manner, whether CAN-SPAM or violations of service agreements or breaches of privacy policies. The bottom line is do you have the permission to market to the recipient via email?
      As you say, the bottom line is permission.
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  • Profile picture of the author RobinInTexas
    Originally Posted by Newbie880 View Post

    Is re-selling marketing lists illegal? I have several lists that I would like to combine into one more effective list to sell to businesses, and am not sure of the legalities, being a newbie and all
    If you want to sell the list that is likely legal.

    If anybody else uses that list to email out it's probably against can-spam to use the list you want to sell.

    So you would probably have a difficult time selling the list.

    I am not a lawyer, in fact have no legal training whatsoever. I don't even play a lawyer on tv.
    In no event will I be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits arising out of, or in connection with, the use of my opinion. Taking legal advice from anyone via the internet is a bad idea, you should do your own research and consult proper legal counsel before embarking on anything after breakfast.
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    • Profile picture of the author JohnMcCabe
      Originally Posted by RobinInTexas View Post

      I am not a lawyer, in fact have no legal training whatsoever. I don't even play a lawyer on tv.
      In no event will I be liable for any loss or damage including without limitation, indirect or consequential loss or damage, or any loss or damage whatsoever arising from loss of data or profits arising out of, or in connection with, the use of my opinion. Taking legal advice from anyone via the internet is a bad idea, you should do your own research and consult proper legal counsel before embarking on anything after breakfast.
      Love it!
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  • Profile picture of the author brentb
    In my terms and conditions it basically says I will collect as much information as possible from them, including IP and physical location from IP. I will also retain the right to sell the information and to market to them and to have third parties market to them. I also will put cookies in their browser for tracking and retargeting purposes.

    I don't really do all this stuff but I figure its best to pretty much just cover my bases. In terms of the # of people who actually read it, its extremely minimal, or at least what my Google Analytics tells me so the change in conversion rate is insignificant.
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  • selling lists is probably illegal in many countries or states, for example one year California passed 7000 laws. Most countries they pass so many laws that the people who pass them can't READ THEM. My neighbor is a prosecutor he can put any one in jail all he has to do is read the laws find one you broke and yes everyone breaks them.

    So yes if you sell list it's probably illegal in some states and not in others. Check with your state and your attorney.
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