Harrah's failure to suppress names is part of a bigger problem

DMA News reported yesterday that Harrah's was fined $40,000 for mailing to about 260 of the 7,300 people on Missouri's casino-exclusion list (6 people complained to the state Gaming Commission). Apparently, Harrah's purchased a couple of lists and failed to suppress those on the casino-exclusion list before mailing. The article also reports that Harrah's marketing director and database marketing director resigned.

I'm not surprised this happened. Chances are those who resigned either didn't understand how to manage a direct marketing program, rather than a blatant disregard for process. They either didn't know the lists needed to be scrubbed or processed, or didn't know to send a suppression list, or sent an outdated suppression list. I don't know for sure, but my guess it Harrah's can blame this one on poor hiring methods.

The fact is, as we become more sophisticated in our marketing efforts these problems will become more commonplace. There is a shortage of truly knowledgeable direct marketers and those with the knowledge command higher salaries. Hiring managers don't really understand direct, and as a result they are hiring inexperienced individuals into direct or database marketing positions then expecting them to know the ins and outs for the process that come only through hands-on experience. The result is often what Harrah's just experienced and could have avoided if it simply increased its salaries by $40,000 to attract more experienced direct marketers in the first place.

Sadly, this happens more than most will acknowledge. I know of many instances where companies have failed to follow their own opt-out policies, largely because insufficient understanding of the need to do so by inexperienced marketers. In one particular instance, a company's program manager was managing a mailing of 5,000 pieces and didn't suppress the customers on the opt-out list because the number was considerably larger than the actual mailing files. The program manager said he couldn't justify spending the money on data processing to suppress against his small mail file.

There's no substitute for the wisdom and experience of a seasoned direct marketer in this new age of marketing. As Harrah's and others have learned, it will always be a case of "Pay me now, or pay me later".

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