DMNews prepares second Agency Business Report by ProQuest


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									4 | DmneWs | April 5, 2010 |

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FTC reviewing kids’ privacy rule DMNews prepares
                                 second Agency
                                                                                                                                                     Business Report
By Frank Washkuch
: Nearly a decade after it went into effect,
the Federal Trade Commission is asking
consumers and industry stakeholders                                                                                                                         DMNews is looking for feed-
whether its Children’s Online Privacy                                                                                                                       back from direct and digital
Protection Act Rule (COPPA) should be                                                                                                                marketing agencies for its second
updated for the mobile age.
   The agency is asking consumers and
                                                                                                                                                     annual Agency Business Report.
members of various Web-based industries                                                                                                                 The magazine has prepared a question-
whether mobile and interactive technolo-                                                                                                             naire that covers all aspects of the creative
gies, automated data collection systems and                                                                                                          agency business, from nuts-and-bolts infor-
geolocation data, among other tools, have                                                                                                            mation such as office locations and top
made the regulation outdated.                                                                                                                        executives, to opportunities for bragging
   “There was a sense within the agency                                                                                                              rights such as top clients and key campaigns
that technology has changed significantly,                                                                                                           from 2009.
and that children’s use of technology has                                                                                                               Last year’s Agency Business Report cov-
changed within the past five years since                                                                                                             ered more than 70 key agencies from all
we did our last rule review,” said Phyllis                                                                                                           facets of direct marketing. Agencies are not
Marcus, senior attorney at the FTC. “It                                                                                                              ranked: Boutique agencies will be asked
wasn’t spurred necessarily by public request,     The FTC revisited the rule in 2005 without changes, but new developments rekindled interest        the same questions as holding company
but there are a number of advocates who                                                                                                              subsidiaries. Companies of all sizes and
have expressed concern that it might need             In 2005, the FTC determined after a           DC, is scheduled to end June 30. However,        capabilities discuss how they leverage the
to be expanded to take into account new           public comment period that no changes to          the FTC has not determined a timeline            wide swath of accountable marketing tac-
marketing techniques.”                            the rule were needed.                             for changes or implementation, according         tics to grow their clients’ businesses.
   COPPA, which became effective in April             Michael Becker, North American man-           to Marcus, who said it could be a “lengthy          DMNews is the leading publication for
2000, regulates the operators of Web or           aging director of the Mobile Marketing            process.”                                        information about the agency world. This
online services aimed at children under 13,       Association, said that if the FTC deems              The FTC has targeted marketers who            initiative, our regular departments like The
or those that knowingly collect personal          changes to the rule are necessary, it will have   improperly collect consumer information          Work and Nailed It, and the annual John
information from children that age. The           to clearly define which mobile functions          in the past. Last year, Sears Holdings settled   Caples International Awards, are part of
rule deems that online operators must notify      it is addressing.                                 with the FTC after the agency charged it         DMNews’ mandate to show top marketing
parents and get their permission before col-          “There is a lot to mobile, a lot of moving    with failing to adequately disclose the          executives the exemplary work coming
lecting data from children. The regulation        parts and a lot of factors. When COPPA            amount of consumer personal information          from direct agencies. DMNews also creates
also requires that site operators, including      was created, it was created for the Web,          it collected with a downloadable software        several Essential Guides annually, as well as
marketers, keep that data secure.                 but when we look at mobile, there are mul-        application.                                     special features
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