NuData Argues Behavioral Biometrics Can Help Online Merchants Retain Customers

NuData is encouraging online retailers to adopt behavioral biometrics during the COVID-19 pandemic. In a new post on the company blog, the Mastercard subsidiary notes that online traffic has gone up dramatically since the outbreak began in February, but warns that that trend could just as easily be reversed once the economy starts to reopen.

With that in mind, NutData argues that behavioral biometrics (and other forms of passive authentication) could help online merchants keep some of their new business. Many people who would normally prefer to shop in brick-and-mortar establishments simply do not have that option while the world is locked down. Those customers are therefore being forced to do their shopping online, a fact that accounts for much of the traffic and many of the new account logins in the past few months.

However, those people are likely to drop their online habits if they do not enjoy the customer experience. If retailers are able to make online shopping less of a hassle, they have a better chance to convert users who are using their digital services for the first time.

That’s where behavioral biometrics comes into play. Eliminating security checks like one-time passwords will speed up checkout, but getting rid of barriers also increases the risk of fraud. Behavioral biometrics, on the other hand, should allow retailers to streamline their procedures without sacrificing security.

NuData pointed out that cybercriminals have tried to take advantage of the coronavirus with a number of COVID-related scams. In that regard, the company is echoing the concerns of organizations like the Electronic Frontier Foundation and companies like Yubico, who have similarly warned about a rise in social engineering attacks. BioCatch has also warned about higher rates of account takeover fraud, and has similarly advocated for behavioral biometrics as a potential solution to the problem.

–

May 25, 2020 – by Eric Weiss