New Zealand
New Zealand New Zealand
Consumers make most of their payments by internet banking
  • 74%
    BFSI
  • 70.5%
    TELCO
  • 54.5%
    RETAIL
  • 46.5%
    BFSI
  • 39.6%
    TELCO
  • 40.7%
    RETAIL
  • A higher percentage make payments via internet banking to banks and insurance companies, telcos, and retailers, respectively, compared to the regional average
  • Impact: Anti-fraud capabilities critical to the increased digital transaction frequency and customers’ trust in banks
Australia
Australia Australia
Consumers are most satisfied with the post-fraud service of banks and insurances companies
  • More than 70% satisfaction rate compared to 59.7% on average
  • Impact: Increased trust in BFSIs
Indonesia
Indonesia Indonesia
Consumers that encountered most fraud incidents in the past 12 months
49%
34.7%

AP Average

  • 49.8% have experienced fraud at least once compared to 34.7% on average
  • Impact: Overall anti-fraud capabilities need improvement
Singapore
Singapore Singapore
Consumers have the highest trust towards government
AP Average
  • 75.5% choose government agencies, compared with 51.7% on average
  • Impact: Trust of personal data protection is centered around government agencies
Vietnam
Vietnam Vietnam
Consumers encountered most fraud incidents in retail and telco during the past 12 months
  • 55%
    TELCO
  • 54.5%
    RETAIL
  • 32.8%
    TELCO
  • 35.2%
    RETAIL
  • 55% and 54.5% have experienced fraud at least once in retail and telco, respectively, compared to 32.8% and 35.2% on average
  • Impact: Overall anti-fraud capabilities need improvement
Thailand
Thailand Thailand
Most Thai consumers believe speed and resolution are severely lacking (response/ detection speed toward fraud incidents)
AP Average
  • 60.5% think it is most important, compared to 47.7% on average
  • Impact: Response time as one of key factors to fraud management to retain customers and gain their trust
India
India India as standalone
Consumers have the largest number of shopping app accounts in the region
India
  • Average of three accounts per person
  • Impact: Highest exposure to online fraud
Hong Kong
Hong Kong Hong Kong
The least percentage of consumers with high satisfaction level toward banks and insurance companies’ fraud management
AP Average
  • Only 9.7% are most satisfied compared to 21.1% on average
  • Impact: effective response towards fraud incidents to be improved
China
China China
Consumers are the most tolerant toward submitting and sharing of personal data
AP Average
  • 46.6% compared to the AP average of 27.5% are accepting of sharing personal data of existing accounts with other business entities
  • Impact: higher exposure of data privacy and risk of fraud
alert
Japan Japan as standalone
Consumers most cautious on digital accounts and transactions
50.7% Actively maintain digital accounts’ validity
27% AP Average
45.5% Do not do online bank transfers
13.5% AP Average
  • More than 70% did not encounter fraud incidents in past 12 months, compared to 50% on average
  • Impact: Relatively low risk of fraud

Experian releases 2020 Global Identity and Fraud Report

Experian releases 2020 Global Identity and Fraud Report

98% of businesses believe they can identify customers digitally in China, yet 45% of consumers feel unrecognised

 

Beijing, April 23 2020 — Businesses in Mainland China might feel confident in identifying customers and engaging with them digitally, but consumers don’t feel the same way. Research from the 2020 Global Identity and Fraud Reportreleased by Experian – the world’s leading global information services company – shows that Chinese businesses ranked the third highest in Asia Pacific at 98 per cent in being confident in identifying and recognising their customers digitally, after Indonesia and India, where companies felt 100 per cent confident in their ability.

 

Experian interviewed 6,500 consumers and 650 businesses across 14 countries worldwide for the report, including Mainland China, India, Japan, Indonesia, Australia, United States, United Kingdom, Germany/Austria, France, Spain, the Netherlands, Brazil and Columbia. Experian’s 2020 Global Identity and Fraud Report explores inconsistencies between businesses’ views of their ability to meet their customers’ needs, and customer experiences with those businesses.

 

Globally, while 95 per cent of businesses are confident in their ability to identify customers digitally, more than half of consumers across the globe do not feel recognised when engaging with businesses online.

 

In addition, fraud poses significant challenge for businesses worldwide, with 57 per cent of businesses seeing rising year-on-year fraud losses linked to account opening and account takeover fraud, often rising from the inability to recognise customers.

 

Two thirds of consumers globally said security is still the most important factor when deciding to engage a business.

 

Businesses need to recognise consumer priorities to build trust

 

In China, consumers want security and convenience whereas businesses are prioritising personalisation.

 

For the fourth year in a row, Chinese consumers cited security as the most important factor when deciding to engage with a business online, followed by ease of access to their accounts.

 

78 per cent of Chinese consumers see the value of providing their personal information, the third highest in Asia Pacific and globally, if it provided them with benefits. 92 per cent of Chinese consumers enjoyed having a personalised customer experience after sharing their data, compared to 88 per cent globally.

 

When consumers feel assured about security, businesses get a win-win relationship further driven by convenience, with personalisation enabling a business to maximise its potential.

 

“Our research has revealed two inconsistencies between Chinese businesses and consumers. The first involves businesses having high confidence in their ability to identify customers, and consumers not feeling the same way. The second is how businesses prioritise personalised offers, while customers place emphasis on data security,” says Huang Jian, Managing Director of Experian Greater China. “The false confidence that companies have in identifying and re-recognising customers online is contributing to higher fraud losses. On the consumer front, it’s leading to a lack of trust. For companies to be truly customer-centric, they need to recognise that consumers are prioritising data security, and balance this with their own business needs, which is the first step in building trust and having meaningful online interactions.”

 

Methodology

 

From July to November 2019, Experian conducted research among 6,500 consumers ages 18-69 and 650 businesses across banks, card and payment providers, telecommunications providers, online and mobile retailers in 14 countries including United States, United Kingdom, Germany/Austria, France, Spain, the Netherlands, Brazil, Colombia, Mainland China, India, Japan, Indonesia and Australia. Findings were further validated by over 26 in-depth phone interviews with senior executive leaders with decision making responsibilities for the strategic planning process for digital customer experience, technology and innovative, or fraud risk management across a range of functions, including product, marketing, operations, information technology, general management and finance. This is the fourth year of the study.

 

Find out more with Experian’s 2020 Global Identity and Fraud Report here.

 

Read full article

Experian

By Experian 04/23/2020

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