May 21, 2021
Customers lean toward agile, frictionless ways to complete online processes in today’s digital-first world.
According to wpforms.com, “81% of people have abandoned a form after beginning to fill it out.” The data further states that “More than 67% of site visitors (...) abandon form(s) forever if they encounter any complications.”
Ensuring frictionless identity verification is crucial from a regulatory, fraud, and consumer experience perspective. Businesses need to depart from time-consuming and tedious identity verification processes such as in-person ID checks and extensive documentation (to prove address or identity).
Businesses need to meet these new expectations and create long-term, consumer-first strategies to enhance customer engagement and generate new revenue streams.
Application abandonment at the time of onboarding can adversely impact financial services and other businesses. For example, according to a study cited by Prove, “It takes anywhere between 70 and 120 clicks to open an online account at a traditional bank.”
These clicks essentially involve time-consuming requests for personal information such as proof of address, photo ID, or other official documents like a passport to verify legitimate customers. However, a phone-centric approach can now be leveraged to disrupt these methods.
Prove’s paperless, real-time Identity Verify API uses the phone number to verify consumer identity. The technology leverages various phone intelligence attributes that are paired with device information and data from authoritative identity verifiers to enhance the efficacy and accuracy of identity verification and authentication.
Furthermore, the technology meets regulatory needs and augments business/risk management. A unique "Ownership" check at the time of onboarding helps determine whether a consumer is associated with the number or not. This can be returned as a flag or with granular information to determine accuracy and availability.
Here’s how digital onboarding can support businesses:
Technology-led identity verification benefits the following industries/services:
Financial Institutions and Services: Banks and financial institutions need to replicate existing physical robust processes with a digital-first mindset as customers increasingly prefer phone or hand-held devices to access banking services. By adopting a phone-centric identity approach, financial institutions can ensure a relevant and dynamic method of identity verification and yet meet customer expectations.
Gambling: Identity verification helps monitor credit card fraud, stolen identity charges, and other suspicious activities in the online and offline gambling industries and promotes responsible gambling. Digital identity verification automatically helps in confirming a consumer’s name, age, address, and other regulatory requirements.
Government Services: Identification checks allow government agencies to approve tasks such as signing legal documents, filing taxes, receiving benefits, and so on—all remotely, securely, and without friction.
E-Commerce: Identity verification can help reduce identity theft and processing time, minimize cart abandonment, and protect the company and consumers from data misuse.
A smooth digital onboarding process accelerates revenue generation and enhances CX.
All these checks not only help in winning new customers but also retain existing customers by ensuring enhanced customer experience, building out the concept of reusable identity. In addition to meeting customer expectations, digital verification needs to offer flexibility, build trust, be 100% compliant, and accelerate revenue generation.
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