A new campaign from MYPINPAD seeks to shed light on consumer attitudes towards security and determine the biggest threats to consumer trust.
The enabler of multi-factor authentication for touchscreen devices wants to determine if the digital commerce industry has risked consumer security in favor of user experience. That thought has become more common after news reports of higher fraud rates at large companies like Amazon Prime, eBay and Vodafone.
Business development director David Poole explains how security concerns have arisen in the industry.
“Since the start of the digital commerce revolution, the onus has been on making the checkout, authentication and payment processes as swift and easy as possible.”
What is uncertain is how consumers would feel about online transactions if security measures were proactive but increased experience friction. Have increased attention to very public instances of fraud brought people to the point where they are willing to take a bit longer to complete an online transaction?
In April MYPINPAD completed research which showed 85 percent of customers are interested the ability to authenticate large financial transactions with their mobile phones.
Mr. Poole spoke of the need for universal ID and verification methods to increase consumer trust.
“Segmented is a good way to describe the payments industry, but fragmented might be even better. It is fantastic that we are working in an industry so innovative and forward looking, however innovation can often lead to new security risks. Another way to pay or another method of ID&V can be another potential open door to fraudsters.”
The positive industry reaction to Chip&PIN ten years ago suggests a similar initiative has potential today. Once deployed, Chip&PIN reduced face-to-face transactional fraud by 70 percent. Mr. Poole added the industry should work together with a singular goal.
“We see a future when consumer trust is c0dependent on the action of the banks and the brands, but also a consumer’s own active ability to responsibly secure personal data. Our digital profiles are growing, our individual consumer avatars are constantly active online making purchases, banking, and socializing. This is where consumer empowering ID&V technology becomes vital.”