Automotive retail solutions provider MotorVise has claimed that a series of dealerships and dealer groups have been misinformed by leading industry consultants, manufacturers and associations with regards to GDPR compliance. These companies are reported to have advised that dealerships need customers to ‘opt in’ to continue to receive marketing communications.
According to MotorVise director Fraser Brown, dealer groups across the UK are committing “database suicide” by asking customers to complete an opt-in form. Brown said that with the majority of respondents likely to opt out of receiving communications if given the choice, “more than 80% of automotive retailers’ customer databases could face being rendered useless.”
MotorVise, together with Lawgistics, has been advocating a course of legitimate interest to achieve GDPR compliance, where opt-in consent is simply not required for car dealerships to be allowed to communicate with customers for marketing purposes.
This does not mean dealers carry on with business as usual; time and effort is needed to ensure that processes and documentation are all in line with GDPR requirements. Companies electing to go down the legitimate-interest route to achieving compliance will need to be completely clear with customers about how their data will be used. Further, customer opt-outs should be clearly and promptly recorded, with fulfilment within 28 days.
Customers opting out of receiving marketing emails will only receive communications covering critical safety issues, such as recalls. They would no longer receive communications related to servicing and MOT reminders, which could severely impact a dealership’s revenue.
Brown noted that rather than a specific form, customers should be given the decision to opt-out with each individual communication, much like the ‘unsubscribe’ set up currently used. In effect, it should be as easy to unsubscribe as it is to subscribe to communications.
But for existing customers the only requirement is a an email explaining that, as an existing customer, they will continue to receive marketing about similar products and services. This is performed under legitimate interest. Communications should contain a link to a data privacy notice, with the invitation to opt out of marketing.