The Perfect Holiday Gift - Privacy (Crawford)

Date: 
14 Nov 2000

The Perfect Holiday Gift - Privacy
by Chris Crawford, Justice Served
www.justiceserved.com

Chris Crawford serves as president of the Redwood Technology Consortium (www.redwoodtech.org), a professional trade organization promoting technology-based economic development on the North Coast. He is owner of Justice Served, a court technology consulting firm in Eureka.

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It may surprise you to learn that according to the National Consumers League, one issue was of more concern to the average citizen than health care, crime or taxes. That issue is loss of personal privacy, especially with the emergence of the Internet. People are increasingly worried that their online shopping and surfing habits are being watched, catalogued and used for commercial and who-knows-what other purposes.

This article suggests ways that businesses can improve their administration of privacy issues. As for consumers, everyone should know their rights - take steps to know what personal information is being tracked, and for what purpose it is used. Check a Website privacy policy before deciding to do business there. Do not give credit card information on an unsecured Website (a picture of a padlock or a key usually appears at the bottom of a secured page).

For those technology businesses operating online, and to those who want to sell goods and services in e-commerce, privacy should be a major concern. Congress and state legislatures are considering a variety of measures to curb abuses that could mean legal and financial consequences to those who do not put safeguards in place to recognize the rights of your online customers. Protections are currently in place to protect health-related information and children, yet many online companies do not have policies and programs in place to comply with these existing privacy laws. Even if an e-company is acting responsibly, abuses can occur with vendors and Internet host services.

Information gathering from a Website shopper is often used to customize future visits. For instance, when I log onto Amazon.com I am reminded that a new Teddy Roosevelt biography has been published, based upon their knowledge of my previous shopping interests. A notable abuse of this practice occurred when a recent shopper at another Website ordered a home pregnancy test kit, and was later treated to free baby formula samples delivered to her front door!

According to the Federal Trade Commission, less than 20% of all online businesses have reasonable privacy standards. However, smart e-businesses today understand that a clear, direct privacy policy means more revenue. Here are some of the things you should consider to improve the privacy safeguards (and therefore, sales) for your Website:

1) PRIVACY POLICY - Develop a privacy policy using one of the many available templates (see ?seal of approval?, below). Don?t just copy it - personalize it to your site. Tell your customers what information you are gathering, what it is used for, who it is shared with and give the customer the ability to opt out.

2) SEAL OF APPROVAL ? Several organizations offer a variety of options to earn a ?better housekeeping?-type seal of approval. Among them are Truste.com, BBBonline.com, and Betterweb.com. Even if you do not choose to utilize one of their available fee-based plans, privacy policy templates are available at these sites.

3) LOCK IT ? Do not take credit card information on an unsecure site. Use the correct tools to ensure encryption of private information so it does not fall into the wrong hands.

4) CO-OPT YOUR PARTNERS ? Make sure your Internet carrier, credit card processor and other vendors understand and comply with your privacy policy.

Shopping on the Internet can be a fun and convenient experience. It is estimated that online sales will double this holiday season compared to 1999. With proper attention, our local shoppers and e-businesses should both enjoy the holidays.