Consumers are ready for next wave of Identity technology

Consumers are ready for the next wave of payment technology, including deployment of AI-driven biometrics to verify identity in digital-first account opening processes.

Consumers are ready for Identity technology

Nearly two-thirds (63%) of respondents in a report form Entrust indicated that they are comfortable with AI helping their bank detect fraud.

Almost half of respondents abandoned a new bank account application after starting because it didn’t feel secure or was too cumbersome.

The Digital-First Banking report, drawing from a survey of 1,000 consumers in the United States, France, Chile, and Singapore, highlights the growing momentum toward digital onboarding in an omnichannel world.

The new wave of technology needs to seamlessly mix smartphones and payment cards.

While almost half of respondents cited instant access to a digital debit or credit card when opening a new account as an important criterion, 89% of respondents also indicated they still have a preference to use physical credit or debit cards.

As the transition to digital banking continues, Millennials and Gen Z respondents indicated they strongly preferred physical cards.

“This report clearly demonstrates that we are entering a hybrid future; banks need to provide both physical and digital payment options in order to remain competitive and relevant,” comments Jenn Markey, Vice President of Payments and Identity, Entrust.

“Digital-first experiences can enable AI-driven digital account opening and onboarding while still providing a digital payment card along with the physical credential, allowing customers secure and accessible options.”

Supporting both physical and digital services will be vital to a bank’s success in today’s competitive environment.

Three out of four respondents (78%) indicated they would prefer to do their basic daily banking online including making deposits or withdrawals, applying for a credit card, and opening a checking, savings or investment account.

Financial institutions equipped to meet the need for multiple payment and service options will be most likely to remain competitive and thrive in this new banking era.