7seven | 04-23-2014 07:39 AM | BC Car Dealerships photocopying your DL/violating privacy rules Thought this was pretty interesting, I understand the need to build a customer/consumer database for marketing purposes, just be upfront about it. There are some corporations/businesses and agencies I don't mind having my information. I think most dealerships that I've been to has claimed that a photocopy of your DL is required for a test drive because ICBC requires them to, oddly the only ones that haven't for me were higher end dealerships which you would have figured would have wanted a copy of your DL when taking out vehicles over 6 figures out for a test spin. Quote: B.C. car dealers may be violating drivers' privacy, claims whistleblower
Drivers' licences being scanned before test drives and data allegedly stored for marketing purposes
A whistleblower in the auto sales industry says car dealers may be violating customers' privacy rights when they take a test drive.
Kurtis Lemon says he quit his job as a salesman at Dueck GM’s Marine Drive location in Vancouver because he wasn't comfortable following a new procedure to scan customers’ licences.
Drivers' licence scanner
This machine is used to scan drivers' licences at Dueck GM car dealership on Marine Drive in Vancouver. (Kurtis Lemon)
The 27-year-old says car dealers are collecting customers’ information, including their addresses and birthdates under the guise of needing it for a test drive, when what they are really doing is building a database for marketing purposes.
"I think it’s wrong because the car dealerships are still running off of the 70s and 80s models," said Lemon, referring to what he perceives as outdated sales practices.
Lemon says Dueck GM scans drivers’ licence data and imports it directly into a new software program called DealerMine, a customer relationship management or CRM tool, that helps dealers track and market to customers.
Kurtis Lemon
Kurtis Lemon quit his job at Dueck GM because he says he was not comfortable with scanning customers’ licences. (CBC)
According to DealerMine's website, it can "track leads, enforce your sales process and measure the effectiveness of your team," and help dealers "market to customers that are ready to purchase and connect with them any way you choose."
"These new photo licence scanners are taking that info and they are directly taking the address and the height and age and all that info and putting it right into the CRM utility tool," said Lemon.
"So the customer thinks, 'I needed a copy for their test drive.' But really, I am capturing all this information so I can start marketing to the customer and make a sale."
Lemon says Dueck's new licence scanner also copies information from both sides of the licence or card, which in the case of B.C.'s combined Services Card, includes personal health numbers.
"As a sales person, later on I can go find out which drivers’ licences were scanned and then pick my customer and start adding personal information."
A guide for businesses issued by the privacy commissioners of Canada, Alberta and British Columbia says that most retailers can satisfy their needs by checking the customer has a valid licence but not recording it, stating that "photocopying or scanning the licence generally goes too far."
‘By law, we have to scan it.’
CBC used hidden cameras to test several dealerships, including all three Dueck locations in the Lower Mainland.
At Lemon's former workplace on Marine Drive we asked to test drive a 2014 Buick Encore.
The salesman asked for a driver's licence, saying it was "just to...ah...photocopy and get a...gonna get a demo plate...”
He went to the reception desk, where there is no photocopier, only a small scanner. He returned just five seconds later and we could not see if the licence was scanned or not.
At Dueck's Richmond location, a CBC producer's licence was scanned and her photo and personal data were immediately uploaded to DealerMine software, which indicated the scan was 100 per cent complete.
Drivers' licence scan complete
At Dueck GM's Richmond location, a CBC producer's personal data was uploaded to DealerMine software. (CBC)
"By law, we have to scan it, but after 30 days, we have to destroy the form," the salesman said, referring to a consent form which he mentioned but never produced.
Before a second test drive at Dueck in Richmond, another salesman photocopied a CBC journalist's licence and is recorded on hidden camera saying, "I'm supposed to use the scanner but... I photocopy, I'm old school."
He explained why they scan now, saying, "Basically, what it does is it uploads your info into our new kind of tracking software system. Not physically tracking, just to keep a database of customers."
At six different dealerships, salespeople told CBC journalists they needed a copy of a driver’s licence prior to a test drive for insurance purposes.
None explicitly asked for permission to keep personal information in a customer database. The Insurance Corporation of British Columbia (ICBC) confirmed there is no insurance requirement for a dealership to photocopy or scan the driver’s licence of a customer test driving their vehicles.
‘By law, we have to scan it.’
CBC used hidden cameras to test several dealerships, including all three Dueck locations in the Lower Mainland.
At Lemon's former workplace on Marine Drive we asked to test drive a 2014 Buick Encore.
The salesman asked for a driver's licence, saying it was "just to...ah...photocopy and get a...gonna get a demo plate...”
He went to the reception desk, where there is no photocopier, only a small scanner. He returned just five seconds later and we could not see if the licence was scanned or not.
At Dueck's Richmond location, a CBC producer's licence was scanned and her photo and personal data were immediately uploaded to DealerMine software, which indicated the scan was 100 per cent complete.
Drivers' licence scan complete
At Dueck GM's Richmond location, a CBC producer's personal data was uploaded to DealerMine software. (CBC)
"By law, we have to scan it, but after 30 days, we have to destroy the form," the salesman said, referring to a consent form which he mentioned but never produced.
Before a second test drive at Dueck in Richmond, another salesman photocopied a CBC journalist's licence and is recorded on hidden camera saying, "I'm supposed to use the scanner but... I photocopy, I'm old school."
He explained why they scan now, saying, "Basically, what it does is it uploads your info into our new kind of tracking software system. Not physically tracking, just to keep a database of customers."
At six different dealerships, salespeople told CBC journalists they needed a copy of a driver’s licence prior to a test drive for insurance purposes.
None explicitly asked for permission to keep personal information in a customer database.
The Insurance Corporation of British Columbia (ICBC) confirmed there is no insurance requirement for a dealership to photocopy or scan the driver’s licence of a customer test driving their vehicles.
‘The law is very clear’
B.C.'s information and privacy commissioner, Elizabeth Denham, was frustrated to hear the results of CBC's investigation and said dealers are not allowed to store and use customer data without their consent.
"They have been subject to this law for 10 years," said Denham, referring to a 2005 ruling on the collection of customers' personal information.
The commissioner says in most cases, it is sufficient to simply show your driver’s licence information.
“If it's collected, the auto dealer has to get the individual’s consent and there has to be a fulsome explanation as to how they are using the person’s personal information...The law is very clear.”
B.C.'s information and privacy commissioner, Elizabeth Denham, says customers should only allow salespeople to view their driver's licence to verify it, not copy it. (CBC)
Denham says customers should only allow salespeople to view their driver's licence to verify it, not copy it.
The commissioner said car dealerships must adhere to the guide for businesses which Lemon claims was not acted upon when he brought it to his manager.
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| B.C. car dealers may be violating drivers' privacy, claims whistleblower - British Columbia - CBC News |