19 August 2017
Find out more

ING retreats from plan for targeted ads based on spending history

18 March 2014  |  7979 views  |  0 ING bank branch

Following a public outcry, Dutch bank ING has pulled back from plans to enable firms to push adverts to its customers based on payments history.

Last week retail banking head Hans Hagenaars told Dutch finance newspaper Financieele Dagblad that ING was looking into how it could harness big data to target customers with adverts and offers based on their spending patterns.

"A garden centre, for example, would like to know that you spend €150 on garden plants and equipment every March. So that would be the time to make a good offer. Digial banking is growing enormously, particularly via mobile app. We not only know what people spend their money on but where they do it," Hagenaars told the paper.

The bank had hoped to run a trial later this year with a couple of thousand customers who were happy to share their data.

However, the plan kicked up a privacy debate in the Netherlands with consumer organisation Consumentenbond among those raising concerns, warning that the use of payment data for commercial reasons should "be viewed with suspicion".

In an open letter (in Dutch) published Monday on its Web site, ING has sought to placate customers, insisting that it only wanted to save customers money and that it will not share - or sell - transaction data with third parties.

The bank admits that "we have not been clear enough about this sensitive subject" and says that it will now talk to customers, regulators and privacy organisations "to determine whether and how to proceed" before deciding whether to carry out the pilot.

In 2012 MasterCard was hit by a similar rash of negative headlines over its plans to sell card transaction data to large retailers and corporations.

KeywordsBIG DATA

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

MasterCard Big Data division to build restaurant reviews site built on customer payment data

MasterCard Big Data division to build restaurant reviews site built on customer payment data

17 December 2013  |  12912 views  |  0 comments | 28 tweets | 18 linkedin
Big data to drive banks' mobile wallet strategies - Finextra research

Big data to drive banks' mobile wallet strategies - Finextra research

10 June 2013  |  20157 views  |  2 comments | 46 tweets | 35 linkedin
Under fire MasterCard bids to smooth over data privacy fears

Under fire MasterCard bids to smooth over data privacy fears

26 October 2012  |  15875 views  |  1 comments | 13 tweets | 10 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.dorsum.euvisit www.niceactimize.comvisit www.abe-eba.eu

Top topics

Most viewed Most shared
Mobile contactless spending accelerating in UKMobile contactless spending accelerating i...
8283 views comments | 23 tweets | 23 linkedin
Norwegian banks and startups form fintech clusterNorwegian banks and startups form fintech...
7517 views comments | 19 tweets | 23 linkedin
RBS to bring Silicon Valley to EdinburghRBS to bring Silicon Valley to Edinburgh
6582 views comments | 10 tweets | 7 linkedin
hands typing furiouslyWhy Blockchain Might Not Be The Future For...
6194 views 1 | 5 tweets | 3 linkedin
Apple sidelined as Beijing transit system launches payments appApple sidelined as Beijing transit system...
6054 views comments | 11 tweets | 9 linkedin

Featured job

£100-120K Basic dependent on experience plus subst...
London

Find your next job