Consumer loyalty tactics questioned

A West Virginia senator renewed his attack on a trio of Norwalk companies that help other businesses attract and retain customers through the use of “loyalty” rewards.

Through the Senate Committee on Commerce, Science and Transportation, Sen. Jay Rockefeller released a report lambasting Affinion Group, Vertrue Inc. and Webloyalty.com Inc.

In varying ways, the companies manage membership-based clubs allowing customers to earn points toward reduced-price or free purchases, while often automatically charging a credit card to continue receiving the benefits.

According to Rockefeller, several million people are enrolled in such clubs without their knowledge, and he said customers often do not receive the rewards they are due.

On the eve of Rockefeller releasing the report, Affinion said it has recently updated its consumer protection policies. In the third quarter, Affinion lost $16 million as revenue dropped 1 percent from a year earlier to $361 million.