Data helps MasterCard and its partners determine advertising that would be most attractive to the credit card user.

Data into DollarsMasterCard, the largest global payment network, is under scrutiny for a data digging project that raises some concerns about privacy. The company was said to have launched a new business whereby it uses consumer data to determine more about their users. This information is then sold to third parties for advertising and marketing campaigns.
The privacy concerns may be unwarranted, however. MasterCard data does not reveal who makes the purchases, nor does it include the names or addresses of those who use its cards. In fact, the company has explained its process by example. Those who travel frequently are more likely to be business travelers. Those who use their cards more heavily on weekdays are more likely to be business travelers than people who use their cards more often on weekends.

This data helps MasterCard and its partners determine advertising that would be most attractive to the credit card user. The company is rolling out the service to marketers for online advertising campaigns.

This is not the first time that consumer data has been used to generate better advertising campaigns. Google records user data to determine what customers are most likely to buy and when. Facebook has its own data-tracking, which follows users around the internet to learn more about the sites they visit. Amazon is known to collect data on its shoppers to find information about their spending habits and what products they would be most likely to buy given their most recent purchase history.

For consumers, this poses very little privacy threat. However, it does mean that you might be seeing better personalized advertising in the near future.

Source:
creditcardflyers.com