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Mobey Forum: Biometrics has a Strong Future in Financial Services but Collaboration is Needed
July 2015 by Mobey Forum
The financial services industry must set aside competition and collaborate on biometrics to ensure consistent, easy and convenient services for end users. These are the findings of a survey published today by Mobey Forum, the global industry association empowering banks and other financial institutions to lead in the future of mobile financial services, exploring the current attitudes to biometrics within the banking industry, the key use cases, industry drivers and obstacles standing in the way of progress.
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Of the 235 respondents from across the world, it is clear that biometric services are a priority. 22% of banks already offer biometrics to their customers and 65% are planning to offer services in the near future. More than half plan to launch fingerprint biometrics for their end users, with an additional 21% focusing on voice recognition.
Authenticating the user during the login process and during payment or transaction confirmation was cited by 70% as the most important use case for biometrics in financial services.
A number of key drivers for the use of biometrics are explored in the study, with nearly half of respondents stating that it is the convenience for their customers, together with the desire to be viewed as an innovative and advanced bank, which makes biometrics appealing. There are, however, a number of obstacles that need to be overcome. One in five highlighted dependence on technology providers as an issue. In addition, the customer concerns relating to privacy are seen as a barrier.
“Biometrics in financial services still face challenges,” comments Sirpa Nordlund, Executive Director of Mobey Forum. “It is clear, however, that progress is being made and there are well defined use cases and benefits to moving forward. We believe that inter-bank collaboration will expedite the development of this technology and 42% of the market agrees with us. Successful financial solutions need to be easy and convenient; a collaborative approach will ensure consumers are presented with stable and consistent services, driving adoption.
“We will continue our discussions around biometrics both within our own working group and in our collaborative discussions with the Natural Security Alliance and the Biometrics Institute. We look forward to releasing further analysis in the coming months.”
