Responding to Senate Commerce Committee hearings on “data passing”, which is the practice of passing along a customer’s credit card info to a 3rd party (as in upsells) without the customer specifically authorizing the transfer of credit card information, Visa has adopted a policy that prohibits online merchants from passing the credit card info for a purchase on to a 3rd party for an unrelated product. As of May 1, Visa requires that that Web merchants prompt consumers to re-enter all 16 digits of their credit card number before allowing any third-party charges. MasterCard also prohibits the practice, and American Express is currently amending its requirements so that card members will have to re-enter their card information for third party transactions.
The hearings and response so far have specifically addressed online marketing, but “advance consent marketing” can affect offline practices (both phone and retail sales) as well. Marketsmith cautions marketers to make sure they require customers to enter or re-enter credit card information for all third party services/products/loyalty clubs/subscriptions/etc.
Tags: advance consent data passing, advance consent marketing, credit cards, data passing, e-tail, internet sales, marketing advisory, online retail, web retail Category: News, What's New. You can leave a response, or trackback from your own site.