Mobile Transactions From Your Wireless Device
In today’s news headlines, we consistently hear about job loss, the gloomy economy, and especially about banks and their potential demise from the Financial System due to all of the bad loans given out. Well, the banking industry is making news again recently, but its not about another bank collapsing-its about the explosive growth being witnessed in Mobile Banking.
This is according to a major research project conducted by a Market Research Firm known as “Javelin Strategy and Research”. They just recently published a report entitled “Multi-Channel Authentication Via Mobile Banking: Assessing the Technologies, Vendors, and Solution Providers”. In this report there were numerous findings which demonstrate this uptrend of banking on your Cell Phone (actually the more appropriate term is “Smartphone”). Here are some of the findings:
*36 Million people use currently utilize mobile banking to some degree or another, of which 18% are users here in the United States. This number of users is expected to explode up to 99 Million users, by the year 2014.
“*For ease of use: six out of ten consumers prefer simple authentication methods such as image recognition. Security questions came in close second with 59% ranking the method easy to use. In contrast, three in ten consumers ranked biometrics as easy to use.
* For effectiveness: Simple security questions – or knowledge based authentication (KBA) – ranked highest in effectiveness by 65% of consumers.
* For high risk authentication – Consumers ranked an additional security question (also KBA) as the preferred method of authentication with three in 10 trusting it as their method of choice”.
(SOURCE: http://findbiometrics.com/industry-news/i/7357/).
Final Thoughts On Today’s Posting
With this increased trend expected in mobile banking from your Smartphone, also comes the increased risk of Security Breaches to one’s financial accounts. To my surprise, as much as I have written about the use of Biometric for cell phone authentication (using mostly Fingerprint Recognition, Voice Recognition, and Keystroke Recognition), this study found that only 30% of the respondents preferred using Biometrics as a means of Security.
Perhaps this could be equated to the fact that when one thinks about Biometrics used for banking, the image of using a Fingerprint Scanner at the ATM Machines is often conjured up.
Also, it was found that other types of Biometrics Technologies for use as a means of Verification and/or Identification did not bode very well either, such as Voice Recognition and Vein Pattern Recognition (this is one I would consider more of an emerging Biometric Technology).
Overall, it was discovered that utilizing a Multimodal Security (also known as “Two Factor Authentication”) approach which is very easy to use seems to be the most appealing to the end user. This does not surprise me at all, as the theme in a lot of my Postings with regards to the End User has been about ease of use.
I think Biometrics can still prove its worth here, despite the results of the lack of interested in using it. The key thing is that the Biometric Vendors have to make a push to educate the end user about the ease of use of the Biometrics which are being implemented in the mobile banking application.
In this regard, I think Voice Recognition could probably work the best, because the end user does not have to type or enter any kind of information-all they have to do is merely speak for just a few seconds for instant Verification and/or Authentication.
Remember, the Biometric Technology may address all of the security needs of the end user, but if the perceived ease of use is very low, the acceptance will be very low as well. Once again, this Posting proves that ease of use is probably one of the most very important variables to take into consideration when developing and/or implementing a Biometric Technology.
Source for this Posting: http://findbiometrics.com/industry-news/i/7357/