28 May 2014: PhonepayPlus has today announced a 12 month pilot scheme under which all app stores and Level 2 providers operating inside app stores who are involved, or intend to be involved, in the provision of services through the app stores using a premium rate payment facility, may apply for an exemption from certain provisions of the 12th edition of the PhonepayPlus Code of Practice.

The most significant part of the pilot is that App stores will be able to obtain permission for their Level 2 clients – i.e. app developers and merchants who are offering products for sale  – to operate within that App store without the need to register.

Conditions exist around the dis-application of certain parts of the 12th Code including the requirement for consumers to have registered with the App Store and accept the trading terms. For more information on the announcement please click here.

AIME sees this move  by PhonepayPlus as very positive, showing that regulation can be flexed to cater for new environments that were not envisaged when the 12th Code was implemented.  This will provide consumers with a greater choice of digital products via their smartphones and tablets while extending the protection principles to those consumers and maintaining a regulatory level playing field for the industry.

Viacom Inc. (Nasdaq: VIAB, VIA) and Northern & Shell Media Group yesterday announced a definitive agreement for the acquisition of Channel 5 Broadcasting Limited by Viacom International Media Networks (VIMN) for £450 million (approximately $757 million).

The transaction brings Viacom one of British television’s biggest brands, and the only commercial public service broadcaster to consistently grow viewership share in recent years. Channel 5’s diverse programming slate is viewed by more than 80% of the UK population each month, benefits from the programming grid prominence associated with its public service broadcaster status, and will complement Viacom’s popular pay TV networks, which connect with focused and valuable audiences.

http://ir.viacom.com/releasedetail.cfm?ReleaseID=844406

PhonepayPlus has published a discussion paper on affiliate marketing. This discussion paper intends to help PhonepayPlus and the industry support each other to ensure consumers are protected and compliant members of industry can operate with confidence. The paper sets out PhonepayPlus’ current approach to regulation, discusses what good practice may look like, suggests further sources of information and details actions they are taking with industry to help ensure affiliate marketing can be used compliantly.

Whilst this is not a formal consultation from the Regulator, PhonepayPlus are welcoming responses from in and outside the industry to the discussion document.

AIME will be reviewing and responding to the document after internal discussion with members involved in the Digital Marketing Working Group.

To view the full discussion paper please click here.

AIME Board and Executive were taken by surprise with the PhonepayPlus news this morning that Paul Whiteing, the CEO of five years and the Director of Strategy prior to that, is to stand down in May this year to take up a lead role in the Financial Ombudsman Service.

AIME worked with Paul and his team extensively over the years, including deep involvement with the development of the regulatory 12^th Code of Practice and its subsequent implementation. We found his pragmatism and reasoning to be strong and he was always ready to listen to industry participants, Board Members and the AIME Executive.

We are sorry to see him moving on and hope that we are able to establish an equally  strong working relationship with his successor. We will continue to engage positively with PhonepayPlus during the transition time and provide our full co-operation to Jo Prowse while she stands in as Acting CEO.

AIME Chairman Edward Boddington said: “Paul had a very tough role bringing PhonepayPlus into the modern world of the digital services explosion, transitioning to a principles based code and developing a culture where industry innovation could occur while ensuring consumer protection is top priority. I have worked with him for many years and I congratulate him on his new role in the financial services industry where he can carry over his extensive experience of the PRS industry.”

 

 

Following a successful pilot period, PhonepayPlus has set out its plan to make regular text donation to charities easier. Following consultation with Industry, PhonepayPlus has announced a Statement of Application applying to registered UK charities providing fundraising via a premium rate text shortcode on an on-going subscription basis.

For charities operating subscription-based premium rate SMS donations, this Statement:

– Permanently dis-applies rule 2.3.12(d)(v) of the PhonepayPlus Code of Practice (twelfth edition);

– Allows the use of SKIP facility so that subscribers can text SKIP to miss a given month’s subscription payment without opting out of the on-going donation entirely;

– Provides an exemption from the requirement to seek permission where donations exceed £4.50 in any given 7-day period.

UK registered charities and intermediaries working with them that operate or wish to operate premium rate subscription SMS donations should read the conditions set out within in the Statement.

You can view the full document relating to the changes here.