Recent amendments to the Consumer Protection Act 68 of 2008 (CPA) Regulations, which took effect on April 15, introduced a formal compliance framework for direct marketing in South Africa.

For property practitioners who rely on cold-calling and any other methods of direct marketing, including SMS campaigns, canvassing of neighbourhoods, or making use of outsourced lead generation services, this does not mean the end of your prospecting strategy, but it does mean that your marketing methods must now align with a clearly regulated system.

“According to the amendment, direct marketing remains lawful, but compliance is no longer optional, said Rowan Terry, legal counsel at TPN Credit Bureau.

“Section 11 of the CPA has always given consumers the right to refuse direct marketing, demand that a marketer stop contacting them and pre-emptively block marketing via an official registry and provides for a complaint procedure against direct marketers.”

These include:
• Complaint to the National Consumer Commission (NCC)
A consumer may lodge a complaint with the NCC, which may investigate the supplier’s conduct.
• Compliance notice
The NCC may issue a compliance notice directing the supplier to stop the prohibited conduct and take corrective action.
• Referral to the National Consumer Tribunal
If the supplier fails to comply, the matter may be referred to the National Consumer Tribunal for enforcement proceedings.
• Administrative fines
The tribunal may impose an administrative fine of the greater of 10% of the supplier’s annual turnover, or R1 million.

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“The amendments build on Section 11 by introducing operational and compliance obligations for direct marketers. Are property practitioners regarded as direct marketers?” asked Clare Laurent, of SBL Law.

“If you are calling potential sellers, landlords or buyers, or employing the use of any other methods of direct marketing, you are a direct marketer.

“This triggers a set of ongoing compliance obligations, not just a once-off requirement.”

To remain compliant, property practitioners must:

• Register as a direct marketer annually
You must formally register with the NCC by completing the prescribed process and including company registration details, VAT number, contact information, supporting documents, and the initial registration fee, annual renewal fee, and filing cleansing fee.

• Conduct monthly database cleansing
Agents are required to check their contact database against the National Opt-Out Registry and remove any consumers who have registered a pre-emptive block.
Marketing lists must be continuously updated to reflect consumer privacy choices.

• Do not contact blocked consumers

• Honour direct opt-out requests
Terry explains that this is separate from the registry but remains just as important.
“Even if a consumer is not registered, they can tell you during a call, or shortly after, to not contact them again and to remove their contact details from the direct marketer’s contact list,” he said
“You are obliged to record the request, remove the contact from your database and stop all future communication.”

• Ensure you are clearly identifiable
All communications (calls, emails, SMSs) must clearly identify your agency and include correct contact details.

Consumer rights and responsibilities:

“Consumers carry a much lighter burden, but they do still have a role to play,” said Laurent. “They have the right to register a pre-emptive block on the Opt-Out Registry and demand that any marketer stop contacting them. These registrations and demands can be made, free of charge.”

If a consumer wishes to use the registry, they must register via the prescribed process, provide accurate information, and ensure their details are updated. This ensures the system works effectively across all registered marketers.

“There is a common misconception that consumers must register to be protected; this is incorrect,” she said.

“Even if a consumer is not on the registry, they can still directly instruct marketers to stop contacting them and as a direct marketer, you must comply with this request.”

For agencies nationwide, the amendment introduces a structured compliance obligation rather than a ban on cold-calling.

The amendments shift the landscape from informal marketing practices to regulated, accountable engagement.

The message is clear: you can still cold-call, but you must register as a direct marketer, cleanse your database monthly and respect both registry blocks and direct opt-out requests.

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