Spamming and the law
Well what about the legal issue? Are you worried that spam will be
Absolutely not. See the thing is that I believe that there is
a resistance out there that this will be challenged. There's either going to
be a law against what we're doing or a law against some of the things that
email marketers are doing. It's going to be a debate that has to happen
And I will represent the emailers who believe that this is a
free country and that we're allowed to do what we're doing as long as we
have respect for people who don't want to get what we're sending them. Then
there's no reason that we need a law. And technology can fix this. But I can
promise you that there's enough people out there that have a loud enough
mouth that there will definitely be a point when someone like Sanford
Wallace is going to have to defend what we're doing in Congress. I'm
prepared to do it.
So what's going to happen if this somehow is outlawed? Are you in
for the long haul or are you thinking you'll make your money and then go
Well I think I've already proven that this is a long-haul business.
There are a lot of people who have jumped in and have jumped right out.
We've been doing it longer than anyone and we'll continue to do it for
longer than anyone. And if it becomes illegal to send unsolicited emails,
Cyber Promotions has many other ways to stay in business because we are no
longer really in the business of sending unsolicited emails.
don't even realize this, but we don't actually spam that much anymore. Most
of the people on our mailing list are there by choice at this point or at
least they're indifferent to it and they haven't opted-out. And most of the
new people on our list have actually subscribed. The reason why we're still
getting all this
attention is because the whole world thinks that all we do is send
unsolicited email and now with the ISPam Network,
we're definitely going
to be affiliated with unsolicited email, but on a different level. Now
we're going to be more of the conduit and less of the actual individual who
Faxing is outlawed, so why shouldn't email be outlawed? What's the
What we're doing actually would not be illegal on the fax. The
the conduit of the advertisements are not the people who are responsible for
unsolicited faxes. It's the actual advertisers. So just to let you know,
Cyber Promotions wouldn't even be breaking the law if we were doing the same
exact thing through a fax.
Fax and email are very different. There are humongous differences.
Email has technology to help filter. People can reject mail. It's not the same as
a fax where every single fax sent to that telephone number will be printed
out on the person's paper. The second difference is that only people who
print out email by choice are the ones who print it. Fax automatically
prints it. The third big difference is that when somebody sends an
unsolicited fax, it literally ties up the telephone line. There's no such
thing as tying up a telephone line with email. You can get ten emails at
once. But the big difference really is the fact that email can be filtered
and technology can solve the problem. With faxes, you couldn't solve the
problem with technology--there's no way to filter by fax number.
I understand your fax business prompted the antifax law.
That's a rumor. We weren't sending unsolicited faxes. We were
calling people and asking them for their fax numbers. Everyone thinks that Sanford
Wallace is responsible for the fax law--but no one even knew who I was in
Do you screen the people who want to advertise through you?
We're very, very selective now. We used to be much easier,
but now it's gotten to the point where we literally can't send out as much as people want
us to send out, so we have the opportunity to screen their material. And
we're so strict about adult material. We used to have ads that said: "Call
a party line." Not an adult sex line, but a party line: We won't even take
that anymore. Even if it has the word "bikini" in it we might not take it.
We want to make sure that everybody who is on our list is not offended by
Also, there's a lot of scams out there. One of the
reasons that we reproduce some of the National Fraud Information Center's
postings is because we don't want people to get ripped off online. If we
can police our own information, then we won't need the government to get
What kind of clients are they? What are they selling?
Most of the people who we service are people who work out of their
own home: People who don't have the opportunity to take advantage of more
traditional advertising mechanisms that cost a lot of money. We work with
mostly one-to-two-to-three person businesses and we also have some larger
clients as well, but we don't cater to the larger clients as much at this
But I can tell you, for example, we have somebody who works out of his
garage in Kansas City. That's one of our customers. We also have a company
that sells software in New Jersey. It really ranges from one thing to the
And do you check out all these companies before you agree to
We don't sit there and have an investigative department here, but any
time that we get any types of complaints of any kind we're the first people
to act on it. Most of our clients are legitimate business people who are
trying to make an honest living.
Can you tell me how much money you're making?
I could tell you what's public information and that is we're rated by
Dunn & Bradstreet, so the numbers are public. Our first year our business
grossed over $800,000. And that's last year as a corporation. This year our
numbers are just going to make that look like a baby. So that's really the
best number I can give you because otherwise my accountant might yell at me.
What I know is that my customers are happy and that when I look at my books
at the end of the month, we're showing a profit when just about every other
Internet Web-based company is showing a loss.
When America Online,
CompuServe, and Prodigy are so afraid because they're all losing money every
single quarter--Cyber Promotions, the bad boy on the Internet, has never lost
money. And we've had to pay lawyers for five high-profile lawsuits, yet we
still show a profit--and that's important. It's not all about money, but
money talks very loud, especially in business.
message it's saying is that people are willing to spend money to send bulk
commercial email period. And they're coming back for more. One more thing:
83%--actually the number is about
84% now--of our clients come back another time and either use the same
service or buy a different service from us in the future. So we're keeping
our customers happy.