This really sounds like a noble organization trying to create a better and safer internet for everyone, but researching their website I learned that this "seal" costs companies $5,000 a year! (unless your online company makes less than $ 2,000,000 of revenue per year), which, I think is genius from a marketing standpoint.
I can see the game plan clearly, this people will populate the internet with this smart looking logo/icon in small business websites that comply with these "self regulatory principles" that they propose and also give this seal to some big companies that have certain online and offline reputation such as "The best business Bureau" and "American Advertising Federation" to give them credibility and the support they need to pursue other big companies to get the seal as well, but this time paying for it.
Basically, these companies will be paying for credibility a $5,000 fee per year with the intention to show costumers that they have an ethical use of data collection and advertising tools and as result to win over the online consumer's confidence and trust.
In other words, this seal sells a perception that a website is safer for the user, so for example, if Walmart has the "advertising option icon" will give the perception of a safer website to the online user, while if Target doesn't have this seal because didn't want to pay the $5,000 fee, the online user may think that Target's website is unsafe and is using unethical advertising data collecting tools and may decide to leave their page and to buy in Walmart's website which does has it. Meaning that having this seal of "trust" ultimately will influence online consumers to change their shopping behavior pushing companies, especially big (where the money is), to get the seal too.
So again, this is not about the consumers but instead about finding new sources of money in the world wide web, which is completely respectful. Now, I just can't stop thinking... Why didn't I think of this before?!
I agree with Maria, if only I could have thought of this myself. Nevertheless, they are taking these steps not only to profit from the inception point of this seal or product by creating a safer web environment. Yet, they are also doing this to prevent the government or any regulative organization to implement their own set of laws regarding all the online advertising that bombards people surfing the web. Therefore, by being proactive they were able to get there first and implement their vision on how online advertising should be approached. Furthermore, allowing themselves to create their own parameters and set the guidelines on how this constant issue should be confronted.
ReplyDeleteI think that Maria makes a good point that this icon will generate a ton of revenue from some e-commerce websites that try to improve conversion rates by giving their users the concept of a secure website. on the other hand, we have the graphic design / branding concept of top brands not wanting to be associated with other brands. When you visit Victoria's Secret or Walmart, they don't even have a SSL logo on their site.
ReplyDeleteAnother issue is that if you check their privacy policies, they are really difficult to find, really difficult to read and not user friendly. my question then is: Are the companies adapting this icon, the real players on behavioral marketing?
Thanks for researching the cost of the seal! I had no idea. Makes me agree even more with you and with what I mentioned on my post about the familiarity of this program and the EnergyStar program--recently found to be a bit corrupt.
ReplyDeleteI agree with you, it's essentially a business that allows websites to buy their credibility (as opposed to earning it). In my eyes, it's not only that, but an insurance policy for the industry.
I totally agree with you Maria. I believe that instead of adding a useful tool to protect Internet users, this 'icon' is just one more way that companies (like you said, specially the big ones) found to make more profit. And, yes, as a consumer, I would totally trust a website with the icon more than one without it. Especially because most people would not do a little research on it, like you did.
ReplyDeleteAlthough I do agree that the consumer's loyalty and company's popularity will increase with this tool, I do not think it will be used for its purpose. I think it will be more like a "cover" for a company to make the consumer think that the company actually cares about their privacy when in reality, they don't. Let's think about this for one second... All of us running our own business and gathering data about how a specific market behaves that we could sell for a large amount of money to other companies, wouldn't we do it? It is unethical, it is wrong in the consumer's standpoint. However, it is the ugly truth. When it comes to profit, any company would do the same.
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