Most companies offer consumers the opportunity to access accounts via multiple avenues, including Web, mobile, in-store and call centre. Whilst convenient for consumers, the challenge for businesses is incorporating multi-factor authentication in a way that is seamless for customers, when visibility across channels is low and risk management approaches are often inconsistent.
Fewer challenges means less friction for customers. And modern fraud strategies allow you to reduce those challenges without assuming more risk. Here are some approaches to consider.
- Authenticate based on fewer challenges: The less fraudsters know about how you recognise your customer, the better. Gleaning insights from data not visible to fraudsters – or even the customers themselves – can be used to know your customer without questions or passwords. These insights are from previous customer interactions across your products, teams and processes. Only you have access to this information and using it to authenticate customers improves their overall experience.
- Analyse patterns of behaviour: You can quickly recognise your customers by looking at individual customer behaviour patterns and the devices used to access their accounts. You can also quickly flag suspicious attributes. For example, if a country of origin is incongruent with a customer’s typical behaviour, you can know with greater confidence that fraudulent activity is taking place and flag it for investigation.
- Look at the universal consumer: Having a universal view of the consumer can make it easier to recognise legitimate customers without challenging the customer or revealing your tactics to the fraudster. For example, you might use historical data on the customer to determine that they are logged in from the same handheld or laptop device they used to open the account three years ago, and that they’ve only used a handful of devices since that time to conduct transactions with other institutions and merchants.
Technology offers an evolution in customer behaviour and experience. The main benefit, perhaps, is the infrastructure that underpins it. An infrastructure built on data and understanding your data can offer valuable, real-time, and instant views that are truly unique to the individual – enhancing their, and your, purpose.