Customers Want Biometric Security

This article in Finextra identifies consumer research from MasterCard and Goode Intelligence that suggests biometric adoption is well underway:

“For example, research from the fourth annual MasterCard Mobile Payments Study finds cardholders are increasingly asking for mobile payment options. Meanwhile, MasterCard and PRIME Research compiled 2 million global social media comments about mobile payments in 2015 – compared to about 85,000 similar posts they found in their 2012 study. Biometrics and the prospect of no more passwords were among the most engaging topics based on social conversations in 163 countries. The most talked about biometric payment options were fingerprint, electrocardiogram (ECG) technology and facial recognition

Biometrics are an ideal enabler for validating online transactions when compared to more traditional options such as passwords and knowledge based authentication. But an often overlooked key to facilitating secure biometric authentication starts with a strong identity verification process. It’s critical to offer a simple and effective user experience when it comes to associating the face or other biometric traits used for biometric authentication with the authorized individual.

A forecast from Goode Intelligence predicts one billion customers will use biometrics to access banking services by 2017. Taking into account that the number of mobile banking users globally is forecast to double to 1.8 billion over the next four years, representing over 25% of the world’s population according to KPMG, biometric authentication could be especially beneficial and attractive to different demographics ranging from millennials to older individuals, from mature entrepreneurs to military services members.”

Mercator agrees that consumers are ready for biometrics however we also recognize that issues remain, from what may describe as a patent minefield to an increasing number of different biometric solutions that risk confusing the consumer. Still, if the consumer perceives biometrics as simple and secure, then adoption will surely follow.

Overview by Tim Sloane, VP, Payments Innovation at Mercator Advisory Group

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