The Information Commissioner’s Office (ICO) has fined Royal Mail Group (LON:RMG) over sending more than 300,000 nuisance emails, the watchdog has said. While the emails outlined a price drop for parcels, the company did not have the recipients’ consent to send them.
Royal Mail’s share price has jumped in London in today’s session, having added 0.87 percent to 557.40p as of 13:18 BST, outperforming the benchmark FTSE 100 index which has slipped into the red and is currently 0.22 percent worse off at 7,183.55 points. The privatised postal operator returned to the Footsie following the index’s reshuffle last month.
ICO fines Royal Mail
The ICO announced in a statement today that it had fined Royal Mail £12,000 after the company sent emails to 327,014 people who had already opted out of receiving direct marketing. The messages were sent on two dates in July last year.
“Royal Mail did not follow the law on direct marketing when it sent such a huge volume of emails, because the recipients had already clearly expressed they did not want to receive them,” ICO Head of Enforcement, Steve Eckersley, commented in the statement. The watchdog noted that during the investigation, the company had claimed that the emails were a service rather than marketing, namely informing customers of a price drop. The Commissioner, however, concluded that the emails sent constituted marketing and not simply a service message.
Analysts on postal operator
The 16 analysts offering 12 month price targets for Royal Mail for the Financial Times have a median target of 495.00p, with a high estimate of 605.00p and a low estimate of 300.00p. As of March 30, the consensus forecast amongst 18 polled investment analysts covering the blue-chip group advises investors to hold their position in the company.