24 October 2001

This week's continued enforcement of the Data Protection Act 1998 should have little effect on those businesses which have introduced CRM best practice, says Detica, the UK's largest dedicated CRM consultancy (source: Management Consultancy magazine).

"CRM is all about tailoring service to suit the needs and wants of the individual consumer, based on their explicit preferences; the Data Protection Act is based on similar principles of accuracy, transparency, appropriateness and security," said Michael Smith, Associate Director at Detica. "Complying with the Act will be a larger problem for those B2Cs which have been slow to recognise the importance of customer-centric operations - these firms are now being forced to pull their socks up."

On 23rd October, further exemptions of the Data Protection Act 1998 ended, all information held on any database - paper and electronic - is now governed by the new Act*. Although this and similar European legislation only applies in the EU, Detica predicts that many multinational companies will adopt it as best practice. Any non-EU based business operating in the EU must also comply with this legislation and any positive affect on building long-term customer relationships could provide a blueprint for the handling and processing of personal information across the globe.

"E-businesses have long suffered from a 'Big Brother' image - they are seen to be secretive and manipulative holders of vast, inaccurate databases. The introduction of this legislation should see an end to this perception and should help more companies foster long-term customer relationships," continued Smith.

Michael Smith is available to comment on how e-businesses can benefits from the Data Protection Act.

*with the exception of paper based files created before 24th October 1998.

Nick Miles Text 100 Public Relations Tel: +44 (0)208 846 0700 email: