TRUSTe Launches Privacy Symbols and Labels Initiative

June 20, 2001 - TRUSTe, widely known for its global privacy seal program, announced yesterday that it has launched a major initiative to dramatically improve consumer understanding of the use of their personal information and expand current privacy protections beyond the Internet into cell phones, personal digital assistants, and other devices that collect personal information.

Under the banner "TRUSTe Privacy Symbols and Labels Initiative," the initiative plans to build a broad coalition - from government to advocacy to industry - to develop a new privacy policy iconography in the form of symbols and labels. In this way, consumers will have more actionable, relevant information about the uses of their personal data.

In a speech on wireless privacy to the Congressional Internet Caucus in Washington, D.C., Lori Fena, Co-founder and Chairman of TRUSTe's Board of Directors, hailed the initiative as a return to TRUSTe's roots of enabling individuals and organizations to establish trusting relationships based on respect for personal identity and information.

Ari Schwartz, Senior Policy Analyst for the Center for Democracy and Technology, echoed the need for better privacy communications to consumers. Said Schwartz, "The notices that individuals are receiving today online and in the mail are simply not clear enough to help them make informed decisions. Serious efforts to dig through the legalese should be welcomed by everyone who cares about privacy."

Symbols and Labels

The need for the development of new privacy iconography stems from two key points. First, seals of approval are effective in indicating that a site is monitored by a third party and that it adheres to high standards; but as consumer demands have sharpened, people rely too heavily on the text of the policy.

Second, privacy statements have become too long to accommodate small form factor media in which personal information is collected, such as the cell phone or PDA. Under this program, icons will be developed that will help individuals make choices based on specific privacy practices (such as opt-in vs. opt-out) and will be translatable to
a variety of different media.

In addition, the initiative aims to develop a Privacy Label. Similar to the Food and Drug Administration's "Nutritional Facts" panel found on virtually all food labels, the Privacy Label will be a useful, consumer-friendly executive summary of key privacy practices of consumer concern. Some of the Privacy Label's categories may include information sharing, location tracking and compliance mechanisms.

Building a Coalition

Demonstrating industry-recognized need for a unified, consumer-friendly standard, several influential wireless and technology associations have already voiced their support of the TRUSTe Privacy Symbol and Labels Initiative. The initial base of supporters includes the Information Technology Association of America (ITAA), the Personal Communications Industry Association (PCIA), and the Wireless Advertising Association (WAA). TRUSTe will continue to build and lead a coalition of public and corporate interests. To ensure widespread adoption and usage across many platforms and products, TRUSTe will build a coalition that bridges industries and unites them with policy makers and consumer advocates to develop an open, gold standard for privacy communication. TRUSTe will also invite other seal programs and consortiums to join the coalition, and has already extended the invitation to the Privacy Leadership Initiative.

The coalition approach is needed because costs in time and money, as well as the likelihood of consumer confusion, will prohibit any company or vertical industry segment from addressing the issue alone. TRUSTe will lead the effort in its role as the convening organization and invites industry and consumer groups to join in the effort. In addition, TRUSTe is actively securing funding for the development and roll out, including building consumer awareness of the program.

TRUSTe plans to leverage the World Wide Web Consortium's P3P specifications as a starting point in determining the most critical consumer communications. Once the Privacy Symbols and Labels are finalized, TRUSTe intends to follow a non-proprietary, open-source model by encouraging other accredited third party oversight groups to use the symbols and label for certification and oversight purposes. Added Fena, "We have found that when people understand privacy practices, the result is a dramatic, positive impact on technology adoption and consumer comfort. By giving people the tools they need to make educated decisions for themselves, we can bridge the gap between transparency of privacy practices and trust in those practices."

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