Forest City Commercial Management, operator of shopping malls in Richmond, Va., and Temecula, Calif., planned to spy on its mall customers this holiday season, Consumer Affairs reported. Using Path Intelligence's Footpath Technology, the company planned to map the movements of shopper with dots by using its cellphone identifiers. Sen. Charles Schumer, D-N.Y., took up the cause of consumers, and the company announced it will not go forward.
Data Collected
Forest City Commercial Management already tested the system on Black Friday on nonconsenting mall visitors and is analyzing the data. The only notice customers got was small signs, according to CNN Money, and the only opt-out option was turning off their cellphones. While it has temporarily agreed not to spy further, its long-term intentions are not to scrap the customer surveillance plan. According to CNET, the company has promised to work on system enhancements with the technology developer.
The mall management company says its temporary suspension is being done in deference to concern raised by Schumer. The Richmond Times Dispatch says the company hopes to find a way for shoppers to "opt-out" of being tracked, short of turning off their cellphones. To opt out, a mall customer would need effective advance warning that movements would be tracked and instructions for opting out.
Behind the Objections
The system doesn't collect or analyze personal information such as contacts lists from cellphones. But it does provide identifiable information on the shopping habits of specific customers.
"A shopper's personal cellphone should not be used by a third party as a tracking device by retailers who are seeking to determine holiday shopping patterns," Schumer said . "Personal cellphones are just that -- personal. If retailers want to tap into your phone to see what your shopping patterns are, they can ask you for your permission to do so."
As for requiring customers to opt out, privacy regulations may require the opposite, that the mall obtain affirmative consent before tracking customer movements via cellphones. Schumer asked the Federal Trade Commission to examine the privacy issues and also wrote to Path Intelligence CEO Sharon Biggar suggesting development of an opt-in rather than opt-out system.
A system hack could compromise shoppers' privacy, Schumer noted.
Since the information the malls are seeking has commercial value, arguably they should pay customers who agree to provide it.
How Footpath Technology Works
The technology consists of monitoring units placed throughout the mall that recognize unique cellphone signals. As explained in Wired, the monitoring units transmit the signal data to Path Intelligence's secure servers where it can be used to assess hot spots. Biggar told CNN Money the technology is akin to cookies that online retailers use.
end of the world end of the world jerome harrison ryan leaf ryan leaf carlos santana jahvid best
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.