Password Patterns No Longer Safe in Mobile Banking!
In India, the mobile and the Internet subscriber base have been increasing significantly touching 1.18 billion as of February 2017. The rise in the Internet services and mobile phone usage among the urban and rural populations are pushing enterprises to rely on mobile marketing strategies to offer or promote their services. In the current market scenario, providing extra value-added services are a key to retain customers and to increase their satisfaction.
Rising Mobile Value-Added Services:
Thus, enterprises are focusing on providing value-added services, where mobile platform is playing a vital role. Banking is one such industry that offers a wide range of value-added services to their customers via mobile banking applications, SMS, IVR, calling, USSD, etc. The availability of various delivery platforms on smartphones is helping the banking industry players to offer their services to the rural population.
As per a research by Infoholic Research India’s Mobile Value-Added Services Market revenue is estimated to reach $23.8 billion by the end of 2020
The number of customers using mobile banking is gradually increasing owing to demonetization, service charges on offline activities, and affordable Internet services. But the increase in online or mobile banking activities has led to more fraudulent activities and has become easy to hack customers’ information. The major banking industry players are hence investing in replacing traditional security systems with biometric security-based banking applications.
Bio-metrics to Rescue:
Biometrics are secured services compared to PIN, password, and patterns. In addition, biometric authentications are widely used for mobile payments, mobile wallets, card payments, and others.
There have been plenty of theft instances that directly indicates that Password patterns are no longer secure for mobile banking compared to the trending biometrics security.
Technological Driving Factors for use of Bio-metrics:
a) Increasing fraud activities
b) Technology evolution
c) Government initiatives
d) Mobile platform strategy is key element to drive the revenue
e) Facial and voice recognition tools are in demand
f) Unified payments interface
g) Two-factor authentication
h) Increasing disposable income level
The Indian mobile value-added services industry is turning to be a very competitive sector due to the increasing count of content providers, content aggregators, technology enablers, and telecom players that offer a wide range of services at affordable prices.
The partnership among the banking industry players and mobile value-added services value chain players in the secured communication services segment is gradually increasing in the market.
Download PDF: India Mobile Value-Added Services Market Trends 2017-2023