Business today is increasingly mobile, with over 96% of Americans now owning mobile phones. While some businesses might still rely on foot traffic for a percentage of their revenue, hundreds of millions of consumers now prefer to use mobile channels instead for their simplicity and convenience.
Already about 2.4 billion people use smartphones for financial services, and the use of smartphones for shopping and managing finances has only increased during the COVID-19 pandemic. Going forward, even if a customer opens a financial account in a branch or store, that customer is likely going to access their account on a mobile device.
This shift toward mobile has important implications for financial services companies:
- Mobile channels are essential for success: Companies must be able to support customers opening and transacting through accounts on mobile devices.
- Mobile channels must be secure: Companies must be able to contend with fraud vulnerabilities inherent in online financial services generally, and on mobile devices specifically.
- Mobile experiences must be seamless: Whatever services companies provide on smartphones must meet mobile users’ expectations for fast, frictionless experiences.
- Mobile channels must be compliant: Whatever takes place in a mobile app must comply with applicable regulations, including anti-fraud regulations and data privacy regulations.
Identity verification and authentication of mobile users presents unique challenges for financial services companies.
Only 8% of successful account applications were completed start to finish on a mobile device, according to research by Javelin Research.
While companies need to be confident they know who is opening an account, who is logging into that account, and who is executing transactions associated with that account, every mobile interaction with customers needs to be fast and frictionless, so customers don’t become frustrated and click away to another website or app.
To learn more about how to balance friction and fraud prevention for mobile users download our new Financial Services Guide: Enabling Frictionless Fraud Prevention for Mobile Users.
Download this whitepaper to learn:
- The latest techniques cybercriminals are using to bypass mobile security
- Recommendations for how to balance fraud prevention and friction for mobile users
- The benefits of frictionless authentication and identity verification using location behavioral biometrics.
With the shift to mobile, getting digital account opening right for mobile users offers the opportunity for financial services companies to drive business growth.
