A smarter way to Know Your CustomerJohn Spencer | September 24, 2019
In a fast evolving landscape where fraud and cyberattacks have hit an all-time high, one of the biggest issues now facing companies is how to verify customers in the most secure and seamless fashion. In response, many are now turning to more innovative methods of customer authentication such as biometrics.
Amidst ever-rising fraud and data breaches, more and more organisations are looking to implement digital ID technology to provide both the most secure and accessible user experience when verifying their customers. That means it’s essential to reach the consumer on their own device, as mobile is firmly at the heart of any successful digital transformation strategy.
Leveraging the customer’s personal technology from the outset also sets the foundation for ongoing online engagement with an organisation in the most frictionless way. Increasingly, organisations are recognising that they need a stronger approach to creating digital identities and customer authentication, with many now realising the value of biometrics as an emerging technology to support that capability. However, as more and more organisations turn to biometrics, it will become essential to adopt an open approach to implementing the technology – using the right biometric, for the right use case, for the right scenario.
This is due to the variety of different use cases associated with the digital identity registration and onboarding process, where a strategic biometric approach will prove highly valuable. The requirements and expectations of the consumer have never been more important than today. Businesses are realising that leveraging widely adopted consumer technology can deliver a great user onboarding experience – driving greater productivity whilst ensuring a secure experience that builds confidence.
However, it is important to emphasize that in many areas the digital identity registration process takes place remotely; physical, paper-based registration processes conducted in person will soon become extinct. It simply isn’t viable for customers to travel vast distances when they could be using digital devices to access the same registration at the click of a button.
Organisations are also realising the significant savings of up to 90% associated with a remote digital onboarding process as opposed to a manual one. It truly is a critical area for both traditional and challenger organisations to get right in the way they interact with their customers in an increasingly competitive environment. The implementation of a digital identity strategy that supports customer registration is currently simultaneously being facilitated by regulatory requirements impacting a variety of different sectors. These requirements usually focus on transactions, but are also hugely useful in accelerating the KYC and digital onboarding process. Organisations that are not seen to move forward with a digital strategy that reaches clients on their own mobile device, risk leaving themselves vulnerable to unprecedented levels of customer churn.
The bottom line is anything that creates a negative user experience must absolutely be avoided.
To learn more about how digital IDs can be used to verify customers, watch this video.