The fourth industrial revolution has indeed simplify the transaction process that occurs between two parties. Today, consumers can easily pay for their purchases using a credit/debit card, cash, cheque, or mobile wallet.
You would think, is there any other way we could improve on the transaction process to open up a way for a more seamless experience for customers?
Turns out, there is a new innovative way that might change how people go on about their transaction methods in coming years.
Biometrics is the new trend for businesses in 2020. Imagine being able to pay for your stuffs by just using your hand or finger to be precise. There’s no longer a need for cards or a need to remember all your mobile e wallet passwords/ pin numbers every time you do a transaction
Some major e-commerce brands are already experimenting with the biometrics technology. The process is simple, customers can link their credit information to their palm prints, afterwards they can just pay by hand via kiosks located in local businesses.
Biometrics have a vast potential in enhancing customer experience. The technology measures biological and physical attributes and thereafter transforms these information into data points. Biometrics technology consist of the following:
- Fingerprint Scanning
- Iris Scanning
- Facial Recognition
This could enable a more friction free and personalized customer experience while enhancing data security (passwords are much more easier to steal than a palm print). A study indicates that almost 90% of businesses will be using some form of biometrics technology by the end of 2020.
Here’s how businesses are adopting biometrics to improve CX and at the same time taking into consideration about the privacy and security issues that comes with using the technology.
Biometrics at center stage
According to a report by the research firm CB Insights published on June 2019, it was found that more than 30 US brands were testing facial recognition technology. It is no surprise as in the consumer space, facial recognition is one of the most prevalent biometrcis technologies.
Over in the automotive industry, a highly anticipated debut is awaiting for the Chrysler Portal concept car which will give drivers a personalized customer experience due to the facial recognition software. The car is able to do things like adjusting car’s temperature and seat to the driver’s unique taste after a driver completes a one time scan of their face and input their driving preferences.
it’s just not in the automotive industry that biometrics are starting to take center stage. Over in the smartphone industry, more smartphones are being fitted with biometrcis. In most of today’s smartphone , you can just place your index finger on the home button and get access to all your apps easily without any pass-codes. Some of the major banks are starting to use iris scanning instead of passwords to enable customer to log into their accounts by scanning their eyes.
Customer Experience and Biometrics
The potential of developing a seamless customer experience by enabling customers to engage with a product or service faster and with great ease shows that biometrics are more than just a way to abandon passwords. Biometrics also paves the way for a much more personalized experience. Since facial features, palm print, and fingerprints are unique, brands will no longer need to rely on digital breadcrumbs customers leave online and having to then identify them across devices and understand their preference. In a way, biometrics can help businesses to build loyalty and increase customer retention and brands can use the customer data to personalize their experience.
Even-though the benefits are vast and promising, there are some security concerns. In a recent study, it was found that only 25% of customers believed that companies handled their data responsibly, unlike passwords where you have the ability to change it once its breached, the risk are higher with biometrics as a person cant change their iris or fingerprint.
As a result, brands would need to take extra steps to prevent data breaches. Data is indeed the cornerstone of CX but whether it’s a biometric data, date of birth, email address, or any other form of customer data, companies must balance between innovation and security by engaging with customers in effort to protect their information.
