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For 73% of consumers account opening can 'make or break' their ties with digital services

Monday 30 March 2020 13:30 CET | News

A new report published by Trulioo has revealed that 73% of consumers claim that the account opening process can ‘make or break’ their relationship with digital services.

experiences and 77% indicate they will switch to other sites if met with a less than optimal experience. 

This intolerance is expressed by younger and older consumers alike in the US and the UK, across all types of digital services. In the financial services industry, less than half (43%) of consumers are fully satisfied with their recent experiences opening new online accounts, one-third (37%) of online shoppers are fully satisfied with their experiences when opening new online accounts with retailers, and 44% of consumers are fully satisfied with their experiences opening new accounts across online marketplaces.

Consumer concerns about online security are higher within financial services than in any other sector, with more than half of respondents (51%) reporting that they are ‘very concerned’ about identity theft when using financial services sites.

As people sign up for an increasing number of digital services, expectations for smooth and seamless account creation are also rising. The new report Consumer Account Opening Report 2020 highlights consumer behaviours and expectations around security, digital onboarding and identity verification in the financial services, retail and online marketplace sectors.

In financial services:

  • 90% of customers cite security as a very important part of an optimal account creation experience, far ahead of flexibility (60%) and seamlessness (58%);
  • 90% believe that online financial services providers have a responsibility to reduce cybercrime through whatever identity verification is necessary, the highest across industries;
  • when a financial services company uses real-time identity verification as part of their account creation process, more than 80% are less likely to abandon, 84% will have greater trust in the brand and 71% are more likely to share more personal data.

In retail:

  • 90% of online shoppers cite security as a very important part of an optimal account creation experience, far ahead of flexibility (59%) and seamlessness (59%);
  • almost 90% of online shoppers say they are concerned about identity theft when using retail sites and feel safer when sites ask to verify their identity;
  • when an online retailer uses real-time identity verification, 85% of online shoppers are less likely to abandon a site, 80% feel more valued as a customer and 78% are more likely to spend more time and money on a site.

In online marketplaces:

  • 90% of users cite security as a very important part of an optimal account creation experience, far ahead of flexibility (59%) and seamlessness (59%);
  • 58% of consumers regard online marketplaces as riskier than other types of online services and the same proportion (58%) claim to be worried about security and the potential for fraud when transacting on online marketplaces;
  • when an online marketplace uses real-time identity verification, 85% of consumers are less likely to abandon a site, 83% will have greater trust in the brand and 81% are more likely to say positive things about the brand to others.
Consumers see clear benefits in online services providing real-time identity verification as part of a fast and seamless account creation process. Despite the ongoing quest for faster customer experiences, most people (62%) report that they prefer a slower account creation process with more rigorous identity verification to protect them against risks, over a faster process with fewer identity checks. 

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Keywords: account opening, Trulioo, study, retail, banking, marketplaces, identity verification
Categories: Securing Transactions | Digital Identity, Security & Online Fraud
Countries: World
This article is part of category

Securing Transactions