If you haven’t seen Rachel Botsman in this TED talk, explaining that the currency of the new economy is trust, and that reputation capital is real, then you might have seen this article in TechCrunch elaborating on the importance of reputation in this economy where we are expected to get in a car with e driver we have never met, or rent to or from someone we have never met. It all makes sense that trust has taken on a whole new life in this new economy. Philipp Kristian Diekhöner has even written an entire book called the Trust Economy.
The part that’s missing in all of this in talking about trust as currency and reputation as key – is where it starts. It should start with verifying that the person is who they say they are. Banks have had to do this ever since Know Your Customer regulations were implemented. That requires physically going into a bank and showing a photo ID. But in the digital world that’s neither realistic nor practical.
So since the dawn of the internet, most companies have skipped that step of verifying that the person is who they say they are, what we call the”First Mile” of verification. Once the identity has been verified, then you can get into deciding how to authenticate them when they come back, whether with a password or a biometric like a fingerprint, facial recognition, or even an optical scan.
It seems that most people have accepted the absence of First Mile Verification, which is why we were so pleased to see Clear use TV ads, like this one with “Jimmy”, to promote its importance.
That’s the good news.
The bad news is that Clear takes a very long time to complete the initial verification (which they don’t mention in the ad).
At AuthenticID, not only did we pioneer First Mile Verification, we have automated it so that it can take as little as five seconds. When we say as little as five seconds, the solution is configurable, so a transaction at a place like a coffee company may not need as much rigor in the verification, or authentication as a bank, so we support that full spectrum of needs.
With true First Mile Verification you can stop fraud dead in its tracks, and you can also boost revenue by lowering abandonment at the point of enrollment. If you go to a popular food delivery service to get dinner because you are starving, it can take over ten minutes to enroll and the company will lose not just the order, they will lose the customer. By shaving minutes off of that transaction – because the food delivery service gets to the point of trust that they need to move forward with the transaction – that’s just what the Trust Economy needs.
So contact us for more information, or a demo, about how AuthenticID can put you in a winning position in the Trust Economy.