Privacy Concerns - Credit Card Information Online

For some using a credit card or bank account online to make a purchase, pay a bill, or verify their age is just another routine of number punching, but not everyone feels the need to "risk" their financial information just to purchase online. In fact according to the Wall Street Journal 79% of people who were conclusive about their online spending habits said they would spend more online if they felt it was safe.

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Consumers continuously quote the same reasons for holding off their shopping until they can hit a physical store, and the reasons despite large chains re-assurance it's safe to purchase online, haven't changed. The top reason for skipping the online "fad" is the risk of being flooded with junk mail by either the merchant items were purchased from, or other merchants that consumer information was sold to. With 51% of consumers saying they do not trust merchants to not "share" or "sale" their personal information. Other reasons included merchants misusing credit card information, and personal information being "intercepted" or "hacked" online. Anyway a merchant interpenetrate this information they are loosing out on online sales by not offering a form of payment that is perceived as safe. Also merchants who are not participating in mass customer database "swaps" or sales should re-assure customers that you will not share, or use their information with out their permission.
Alternate forms of payment that are "limit the risk" of security loss, that merchants could implement into their online shopping carts include PayPal, Amazon Check Out , and Google Check Out. Another level of security is Direct Mobile Billing where customers use a PIN to complete purchases and the charge shows up on their mobile bill rather than their credit card or bank statement. Many countries are already seeing a switch but that faze hasn't quite hit the United States in a big way just yet (although Amazon has announced a move in that direction). However, with still over 50% of people saying they'll hold off at least some online purchasing for the sake of security, offering peace of mind just maybe the biggest marketing campaign most companies can offer potential customers who are currently searching for their wallets and glasses to type in that 16 digit number and "risk" their financial and personal security.

References & Further Reading:

Press Release (December 13, 2011) Wall Street Journal Market Watch, Four Times More COnsumer COnsidered Mobile Payments Safer Than Credit Cards. Retrieved January 07, 2012 from: http://www.marketwatch.com/story/four-times-more-consumers-consider-mobile-payments-safer-than-credit-cards-2011-12-13

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Drea (March 2, 2009) Business Pundent, 5 Ways To Boost Your Credit Score. Retrieved January 08, 2012 from: http://www.businesspundit.com/5-ways-to-boost-your-credit-score/