Google Tries Hand At Targeting Consumers With Good Credit

Google has been testing the ability to lay consumer FICO scores on top of its Google Content Network to identify people with good credit. The strategy will enable the search engine to help advertisers target a specific type of consumer through display and text ads, according to Masha Korsunsky, Google's senior industry marketing manager, financial services.

 

The project is one of two initiatives Google recently explored to help advertisers reach "credit-worthy consumers" online. For both projects, Google partnered with Compete and the research firm's 2 million U.S. consumers who opt into these types of projects.

"Let's say we have an advertiser who wants to reach consumers with a high FICO score who applied for mortgages in the first quarter," Korsunsky says. "We can provide the advertiser with a list of Web sites on our Google content network that index against this segment."

Korsunsky says Google's Content Network can reach 70% of credit card applicants with a high FICO score, 87% of mortgage applicants with a high FICO score, and 90% of the people who visit small business sites who have a high FICO score.

The strategy is not limited to advertisers who want to reach consumers looking for a credit card. Based on the search research, Korsunsky says other industry segments, such as Luxury retailers and hotels, could also use this data to reach "high credit-worthy consumers."

Compete's sister company integrated the FICO data with searches done by participating consumers who applied for a credit card between January and March 2009. Through this data, Google would analyze the search behavior that led the applicants to apply. Compete panelists were placed into three categories based on their FICO score: Super Prime (720 and above), Prime (600 to 719), and Sub-Prime (below 600).

More than half of the people who looked for a new credit card online fall into the Super Prime segment. This segment performs many searches because they are not as "credit hungry as some of the other segments." The research shows that 34% of applicants do five or more queries while they shop. These consumers are significantly more likely to apply for a card.


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Who's watching the watchers?

A silicon chip in your Viagra pack reports back to Pfizer on how much you took, and when. You fetch the last Coke from your chip-tagged fridge and your TV airs a Pepsi ad. Your phone company combs your trash for the chips you've cast off, selling the data it finds to marketers. And when you pick up pricey pasta at the supermarket, a screen on your shopping cart flashes an ad for a high-end sauce to go with it.

The plans to "spy-chip" your fridge belong to Procter & Gamble, which has a second patent pending to track consumers in-store. American telecommunications giant BellSouth has a patent pending on the garbage-picking. NCR is behind the shopping cart ads and also holds a patent on "automated monitoring of shoppers" at grocery stores. As for Viagra, like OxyContin, its manufacturers are already tagging bulk bottles at the pharmacy (packs of Diovan, an antihypertensive, are actually tagged individually).

Radio Frequency Identification, or RFID, is surveillance technology at its finest -- cheap, invisible, infallible, ubiquitous -- and privacy advocates abhor it. Silently, without even a bar code beep, RFID reads and records people's behaviour and inventories their possessions.

Benetton was the first large retailer to find out the hard way that not everyone likes being watched. In 2003, consumer outrage forced it to recall millions of garments it had embedded with microchips.

Tesco and Gillette were next: Later the same year, customers boycotted both companies when the British grocery chain showcased RFID "smart shelves" that flashed customers pictures of themselves reaching for razor blades.

All the same, a complete history of your movements could soon be recorded and sold to commercial and security interests. Privacy experts predict that RFID will replace the closed-circuit television surveillance currently used by governments in China, Europe and Canada, and businesses are heavily investing in the technology.

The tags aren't new -- billions have been sold since the early eighties -- but their proliferation is. Cumulative to 2005, 2.4 billion were sold. For 2006 alone, sales of 1.3 billion are forecast. By 2015, sales of 13 trillion are projected, with the greatest push in retail, electronics, health care and pharmaceuticals. A chip lasts 20 years, needs no batteries and costs just five cents (with cent-apiece chips coming).

So, how long before RFID actually comes home with you?

The sooner the better, says Mark Roberti of RFID Journal, the industry publication. For Mr. Roberti, the shopping-cart ad for tomato sauce is no different from a salesman at a boutique who shows you some Prada shoes to go with the Armani suit you're considering. RFID is your friend, he says from his Long Island home. He thinks companies are over-sensitive to consumer concerns about their privacy.

Consumer-privacy expert Katherine Albrecht disagrees. The boutique salesman forgets you, she says, but "the computer always remembers." The woman behind the Benetton recall, Ms. Albrecht has been called the Erin Brockovich of RFID. "Promoters have a lot more funding these days to make their case. Privacy advocates don't get as much press," she says from her office in New York. "RFID fans have considerable respect for the ethics of corporations, too. Often, they're paid by them."

Ms. Albrecht, founder of Consumers Against Supermarket Privacy Invasion and Numbering, has briefed Canada's federal Privacy Commissioner. She has been invited back to brief Ontario Privacy Commissioner Ann Cavoukian, too, as more and more RFID comes to Canada. Wal-Mart Canada would like to see all its merchandise tagged at supply point by 2007. And Canadian retailer Nygard tags garments in Toronto. RFID pill bottles are made in Ottawa.

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Google vows to protect privacy after camera exposes nude man

Canadians nervously awaiting the launch of Google's Street View can rest assured: Operators will be standing by to handle complaints and remove compromising images within 24 hours.

The pledge from the head of Google Canada to have extra staff on hand should be welcome news to Robert White, who has been fretting about unwanted exposure since April. That's when he stepped naked in front of an open window after taking a shower just as a Google camera car rolled down the street.

Mr. White raised the issue with his Nepean-Carleton MP, Conservative Pierre Poilievre, who passed the story along to Jonathan Lister, Google Canada's managing director, during the executive's appearance Wednesday before a House of Commons committee.

“What assurances can you give Mr. White that he will not become an international sex symbol?” Mr. Poilievre asked.

Mr. Lister said it's unlikely the cameras were able to shoot through a window.

“The photography and the photographic ability isn't that good,” Mr. Lister said. “Google is not seeing inside buildings.”

Further, his main message to MPs on the access to information and privacy committee was that Google intends to err on the side of individual privacy. He said Google's technology automatically blurs faces and license plates that appear in its photos. If the software misses a face, Mr. Lister said, people can file a complaint and it will be addressed within 24 hours.

The tripod-mounted Google cars have been spotted taking 360-degree images in cities across Canada.

Street View is already available in nine countries, but Google has yet to say when the Canadian version of the site will be launched.

British tabloids quickly dubbed the site “Google Cheat View” after reports of men caught parked outside their lover's house or walking out of sex shops.

The venture ran into privacy objections in Greece this year, and Google was forced to reshoot its images in Japan after complaints the photos were taken from a high angle that peeked into private backyards.

Mr. Lister said he is working closely with Privacy Commissioner Jennifer Stoddart to make sure that the site complies with Canadian law.

“Google takes privacy concerns extremely seriously,” Mr. Lister said. “We've put world-leading privacy protections into the product.”

The Google executive said Street View will be a boon to Canadian real estate and tourism.

The committee also heard from Olivier Vincent, the president of Canpages Inc., which is already providing 360-degree street views of Western Canadian cities, including Vancouver and Whistler.

Despite Google's stated commitment to privacy, MPs expressed concern that Mr. Lister has not clearly stated how long the company will keep the non-blurred images.

MPs were also worried that the technology could identify vulnerable people, citing women's shelters as an example.

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