The Telecom Regulatory Authority of India (TRAI) has rolled out sweeping reforms for telecom marketing regulations, promising greater protection for the consumer while bringing about new hurdles for the business sector. Revised Telecom Commercial Communications Customer Preference Regulations (TCCCPR), 2018, notified on the 12th day of February 2025, will address the endemic problem of unwanted commercial communications (UCC), also referred to as spam calls and text messages.
These changes will affect more than 1.2 billion mobile users in India by giving them greater control over their communication preferences and making telemarketers accountable for regulatory compliances. However the business impact will also be massive for those who rely heavily upon outbound sales, and the business will need to transform their customer engagement models.
The Rising Menace of Spam Calls in India
India is one of the worst-hit countries when it comes to the issue of spam texts and calls. In its report for the year 2024, Truecaller ranked India the 5th country for the maximum number of spam calls. A few statistics here detail the depth of the issue:
- Over 202 billion spam calls were detected during the year 2023, the majority being from India.
- On average, each Indian cell-phone subscriber gets around 17-18 unwanted calls during the month.
- Telemarketing and financial services were responsible for over 70% of them.
- One in three spam calls was for campaign ads by lending providers, credit card providers, and insurance providers.
- Nearly 50% of the Indians using cell phones reported being called by fraudsters who were purporting to be bank and government authorities.
This persistent problem has frustrated the consumer, prompting stricter regulatory actions from TRAI.
What’s Changing for Consumers?
1. Stronger Control Measures for Spam
One of the greatest changes is the prohibition against using 10-digit cell phone numbers for business communication. Instead, business houses need to use assigned number series:
- ‘140’ series for promo calls
- ‘1600’ series for transaction and servicing calls
This move will make spotting and blocking by consumers easier and reduce the misuse by unregistered telemarketers (UTMs) of common mobile numbers.
2. Simplified Complaint against Spam
Previously, consumers were required to pre-register their preference prior to filing complaints against unwanted calls and texts. These regulations remove this hurdle, enabling the reporting of unwanted communication by the user without prior registration.
Additionally, the reporting timeline for spam has also expanded from three to seven days, and telecom operators will also need to resolve the concerns within five days, rather than the earlier provided 30 days.
3. Opt-Out Option for All Promotional Communications
To empower the customer, all the communication for the purpose of promotion now has the required “opt-out” option. This helps the users easily unsubscribe from the communication from the relevant brands.
4. Stricter Punishments for Violations against Spam
TRAI has also introduced tough penalties for repeat offenders:
- First-time violators will also face suspension for outgoing telecom services for 15 days.
- Repeat offenders will lose their telecom resources and will also be placed under one-year blacklisting.
- Telecom operators failing to adhere to these regulations will pay penalties starting from ₹2 lakh for the first violation, ₹5 lakh for the second violation, and ₹10 lakh for each successive violation.
The Big Shake-Up for Marketers
While these changes will bring relief for the consumer, those who rely upon the use of voice and SMS-based marketing will find serious operation and regulatory hurdles.
1. Loss of Access to 10-Digit Number
Brands can now not use normal mobile numbers for campaigning, thus restricting the capability for masking the campaign calls. This will reduce their potential for reaching buyers through traditional call-based marketing.
2. Higher Compliance Costs
Businesses must now legally make contracts with telecom providers, whereby they follow strict guidelines for headings for the message, handling consent, and anti-spam features. This involves legal and operating costs for the business.
3. Reduced Ability to Re-engage Users
Previously, businesses could send follow-ups very frequently to those individuals who had opted out. New regulations require waiting for 90 days prior to requesting the users’ new consent, restricting their ability to reconnect with potential buyers.
4. Shift towards Online Marketing Platforms
With telemarketing being subject to stricter regulations, the business will turn towards using email marketing, app alerts, and online advertisements. These avenues provide greater flexibility while being respectful of the desires of the customer.
A Balanced Perspective
TRAI’s new telecom regulations are unequivocally beneficial for the consumer, easier to avoid or block unwanted calls, and hold the culprits accountable. Increased processes for complaints, stricter penalties, and transparent opt-outs will sharply curtail the frustration caused by unwanted texts and calls.
However, for corporations, the changes pose a significant challenge, including the need for new marketing strategies, investment in compliance, and the need for transformation towards online engagement. Although the idea is to make the market environment transparent and friendly towards the consumer, brands need to transform rapidly to escape being disrupted.
Ultimately, these changes signal the much-needed shift towards permission marketing, where only desired and relevant communications find their way to the consumer—a windfall for the user and a paradigm shift for the business
