Why are businesses asking for zip codes?

It’s so they no where to build there new store.
I used to work at Ross Dress for Less. We would ask for zip codes when corporate was considering building a new store. They wanted to know where the majority of outside zip codes came from so they knew where they would get the most business.

@RedPowerLady Hmm. Good to know… I guess?

Some businesses use it to track the effectiveness of direct mail campaigns, couponing programs, etc. or to quantify advertising spend. If you would want to target areas where you’re already drawing customers from.

If you are paying with cash you may refuse to provide it.

At the gas station, and a few other places it’s to verify the zip you provide with the one on file for your credit card to reduce theft.

For purchase tracking, by your account and by your zipcode. Profiling spending habits of individuals and neighborhoods to better target marketing.

It’s a unique identifier. Strings are not.

For Marketing/Promotions planning . . . to track demographics of shoppers.

even gas pumps ask for zip code.

It’s for demographics.

@jazmina88 Gas pumps ask for zip code as a security verification. There are lots of credit card fraud MO using self-serve gas pumps that take payment at the pump. inputting zip code is a step towards fraud prevention but really is not fool proof.

As a consumer, I am curious about this also and it always irritates me, particularly in light of our concern with privacy issues, database hacking and identity theft. To me, giving a business my money should be gratifying enough.

I wish businesses would address this every time they ask a client/customer for that information. For example, saying “Could I have your zip code please? We need it to confirm your card transaction” or “Could I have your zip code please? We use this information for determining where we open additional stores.” would at least help justify why they are getting that information from me. As I am never given this explanation when they request my zip code or phone number, I usually decline to provide it.

@jazmina88: At the gas station it’s not for demographics. Try entering the wrong zip code, and see what happens. Your card will be denied. That’s because they already know what your zip code is as soon as you swipe your bank or credit card.

@njnyjobs and @La_chica_gomela: Yes, those are automated machine transactions where it actually protects the user by requesting that info. For credit card transactions at machines, I appreciate being prompted for my zip code. It’s obvious the machine is using it to verify your identity at least, I hope it is