DIGITAL IDENTITY IN THE FINANCIAL SERVICES INDUSTRY
R&C: Why has digital identity technology become a critical solution for the financial services industry?
Caley: Creating engaging customer experiences has become a critical success factor in determining the winners and losers in the rapidly evolving financial services industry. New market entrants and startups, across many different sectors, have disrupted established players and have stolen their market share due to a laser focus on user experience, convenience and better value. Digital identity is a fundamental element of creating a seamless customer journey across lines of business and different types of channels, be it web, mobile, contact centre or a growing ecosystem of partnerships. Given the regulatory demands of Know Your Customer (KYC), anti-money laundering, Open Banking, PSD2 and the EU General Data Protection Regulation (GDPR), digital identity helps financial services organisations not only achieve compliance but also develop innovative new products and services to stay competitive.
Thompson: Customers are increasingly expecting their financial institutions to deliver value whenever and wherever they are, and in that sense digital identity is both an enabling technology and cyber risk for the industry. The move to the cloud and mobile or connected devices has greatly expanded the number of applications that all financial services offer to their customers and digital identity is central to creating trusted interactions across those devices and applications. Further, digital identity technology can help by automating enrolment and providing security to enrolled customers in a scalable manner. Yet, increasingly sophisticated attacks require solid knowledge of who the customer is and requires multiple levels of control over how they access services.
Jan-Mar 2018 Issue