New York State Attorney General Andrew Cuomo is investigating 22 online retailers, including Avon Products Inc.’s avon.com, for directing shoppers to membership programs often involving hidden fees. In the matter, which state officials said involves no other beauty or apparel firms, movie Web site Fandango has agreed to pay $400,000 into a consumer redress fund. Other membership programs involved include Webloyalty, Affinion/Trilegiant and Vertue. “Avon ended its relationship with Affinion/Trilegiant last year and has no further, no ongoing relationships with any firm engaged in post-transaction marketing,” said Victor Beaudet, a spokesman for Avon. “We are cooperating fully with the attorney general’s office in its investigation of Affinion/Trilegiant.”
This story first appeared in the January 29, 2010 issue of WWD. Subscribe Today.