In a garish move highlighting the growing concerns surrounding digital communication ethics, food delivery giant DoorDash has been hit with a substantial $2 million penalty by the Australian Communications and Media Authority (ACMA) for its relentless spam breaches. The penalty serves as
The ACMA’s decision comes as a response to DoorDash’s continuous and unchecked spam activities, which saw the company bombarding users with unsolicited marketing messages via emails and text messages. DoorDash sent over one million texts and emails between February and October 2022. Moreover, emails were sent to unsubscribed customers and texts to delivery drivers without an unsubscribe facility. DoorDash believed these texts to be solely factual in nature and thus outside spam regulations, however, the texts had commercial aspects including offers and incentives.
The $2 million fine serves as a stark reminder to businesses about the criticality of responsible communication practices in the digital age. It signals a shift towards stricter enforcement of digital communication regulations, ultimately aiming to create a safer and more respectful online environment for all users.
While businesses employ various marketing strategies to promote their products and services, it’s imperative that these efforts are carried out within the bounds of ethical and legal practices. The ACMA’s decision reflects a broader trend in regulatory bodies taking a stronger stance against spam, data breaches, and privacy infringements. Consumers today are more aware than ever of their digital rights and are quick to rally against entities that do not respect their privacy.
In addition to the financial penalty, DoorDash has provided the ACMA with a 3-year court-enforceable undertaking to appoint an independent consultant to review and make improvements to its compliance systems.
Combatting spam has become a common enforcement priority. In the past 18 months, Australian businesses have paid over $10 million in penalties for breaching spam and telemarketing regulations.