Consumers anxious about purchasing goods and services over the Internet may soon find some reassurance via a new "seal of approval," from the American Institute of Certified Public Accountants, known as CPA WebTrust. Early in 1998, electronic-commerce vendors that pass AICPA muster will display a WebTrust check mark on their Web sites indicating that an auditor has reviewed the site for sound business practices, transaction integrity, and information protection.

"The seal lets customers know that the company running the Web site has clear and guaranteed policies on such issues as how long it will take to fill an order, whether items are covered by warranty, and whether customers can return products," says Wilton, Conn.-based Deloitte & Touche Enterprise Risk Services partner Everett C. Johnson, chair of the AICPA electronic-commerce task force. "Consumers need to be reassured that if they order five green sweaters at $20 apiece in cyberspace, they will indeed receive the merchandise in a timely manner at the price indicated on the screen."

Perhaps most important, says Johnson, the seal would indicate that the vendor has security mechanisms in place to protect the confidentiality of credit card or other personal data submitted over the Web.

Such protection is a key consumer concern, according to a recent AICPA-commissioned study conducted by the market research firm Yankelovich Partners. The firm queried online users about their attitudes toward electronic commerce. Among the findings: The majority said they would not provide information about their income (91 percent) or give out their credit card number (85 percent) online.

Johnson suggests that CPA WebTrust could provide the same reassurance as the auditor's letter in annual reports. Adds David Marshak, a senior consultant who tracks electronic-commerce practices for Boston based Patricia Seybold Group Inc., "Ordering materials from a reputable company over the Internet is generally as secure as calling an 800 number. So, what we are talking about is the perception of risk. But, if the seal gives some consumers the confidence to shop online for the first time, chances are they will have a good experience and return to shop again."

Since unveiling the WebTrust program last September, the AICPA has offered 12 workshops around the United States to train auditors in electronic-commerce audit procedures. By the end of 1997, close to 1,000 CPAs, ranging from sole practitioners to Big Six accountants, had participated, says Everett. The next step will be to market the review services to electronic-commerce companies, "a process that could create additional consulting opportunities for CPAs," he notes.

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