MasterCard to Launch Online Shopping Mall
By Tom Ryan
MasterCard Worldwide is launching MasterCard Marketplace, an e-commerce site
promising tailored discounts and special deals each day for MasterCard members.
The website will rely on technology that analyzes consumer behavior to display
offers shoppers are most likely to buy on the site’s front page.
On the new
site, shoppers first set their preferences for the types of merchant offers
they want to receive. They will be monitored on how they use the site and offers
will be adjusted accordingly. Each offer is available for a limited time.
"If you see you’ve missed something you’re interested in, the system
lets you set a reminder for the next time a similar offer is available," Josh
Peirez, group executive of innovative platforms, MasterCard Worldwide told Direct
Marketing News. "Merchants can then use that information to manage
their portfolio of offers."
The site will also offer "VIP Events," such as private shopping
sessions from stores at a discount, as well as "Outstanding Offers," or
limited specials posted each day at noon. Special offers from the MarketPlace
include free shipping from a network of participating merchants across a wide
variety of categories including apparel, jewelry, electronics and children’s
Mr. Peirez said MasterCard is operating Marketplace separately from its existing
"Although this is very rewarding, we don’t look at it as much as a rewards
program as we do a shopping experience," said Mr. Peirez. "We see
it as a way to play in a new space for us, connecting buyers and sellers on
a fun, interactive page."
The New York Times questioned MasterCard’s ability to attract consumers
to a shopping site run by a payment network rather than a retailer. Although
MasterCard said it has set up safeguards, privacy experts also have concerns.
to the Times, Anita Allen, a law professor at the University
of Pennsylvania, said there is a cost for consumers who give up private information. "In
the end, we turn into citizens who live in a world where we have no control
over our own data," she said.
Discussion Questions: What do you think of MasterCard launching an online
shopping mall? Do you think the company will face any push-back over its
monitoring of shopper behavior or will consumers welcome offers?
- MasterCard Joins Forces with Next Jump to Revolutionize the Consumer E-Commerce
Experience – MasterCard Worldwide
- MasterCard Set to Open an Online Shopping Mall – The New
- MasterCard launches e-commerce site for cardholders – Direct Marketing News