New privacy rules require new, innovative methods for companies

1. Simplify the authentication verification process 

While it’s imperative to maintain a secure identity verification process, many of them are unnecessarily convoluted. Assess your current approach to see how it can be made simpler, faster, and more efficient. For example, consider using time-saving tools like face and/or voice match authentication, or ways to scan “official” documents like passports to ensure that they have all the proper markings (e.g., watermarks).

Some organizations are exploring biometric technology such as facial and fingerprint authentication.3 These techniques can make it easy for customers to prove their identity quickly and securely and engender confidence in your process.

2. Foster CMO and CIO collaboration 

Customer authentication primarily has been seen as an information technology (IT) issue as IT typically is responsible for building the systems for identifying and authenticating new and returning customers. However, marketing needs to equally be involved with IT in this process. 

IT typically – and perhaps naturally – looks at the customer authentication process through a technology lens. What IT sees as sensible and logical security measures are all too often viewed by consumers as irritating roadblocks that discourage doing business with the company. IT wants to enable the organization and reduce redundancies but can’t do that if they are not connected in lockstep with the front office. If marketing and the rest of the front office keeps offering customers new experiences, it only makes IT’s authentication process more difficult. 

As noted in a recent study by KPMG, “70% of all CMOs lack a multiyear strategic plan for Marketing Technology, making is difficult for technology teams to align with and keep track of Marketing Technology.” 4 By aligning the IT and Front Office offerings, both departments can solve their pain points and collectively align on a multiyear strategic plan for success. As a result, marketing, and other front office departments need to work with IT to develop an authentication process that is both secure and consumer friendly. 

Breaking down siloes between IT and the other departments may require a high degree of cooperation and orchestration across the company. Unfortunately, only 23 percent of organizations excel in this relationship, according to a study by KPMG and the CMO Council. 5 So it’s critical that CMOs and CIOs work together to get the customer authentication process right. Companies that do this will be seen as the most trusted to work with.

3. Acknowledge and alleviate customer trust concerns

Due to many highly publicized cyber-security breaches, customer trust has been shaken, introducing uncertainty around customer data practices and laws. This is one of the primary reasons regulators at home and abroad have enacted rules regarding data privacy and protection. It’s critical to make customers feel safe and secure and ensure that you’re safeguarding their personal and confidential information from cybercriminals. At the same time, you must balance the need to protect customer data with the corresponding need to offer a simple and easy process for consumers to do business with you in a digital world.

By focusing on a strong customer authentication process that’s developed with these customer trust issues top of mind, companies can still get valuable customer data while doing so in a manner that makes their customers feel comfortable providing it to them. 

4. Be transparent with your consent and privacy practices 

Being transparent with customers about how your “identity platform” fits into your privacy platforms should make them more willing to share their personal information with the you and engage with your applications. Communicate with customers so that they’re aware you follow strict measures to keep their data safe, including how you use their data and who has access to it. 

Reassure them that devices used to manage customer inquiries are secure and the data is encrypted. Also, let them know that employees are required to keep workstations free of cellphones or other tools that may be used to record customer information, and these rules are strictly enforced. This information should also be communicated throughout your company so that everyone is aware and on the same page. 

5. Personalize the authentication process

Consumer trust can be enhanced by a customer experience that’s personalized to their preferences and needs. Your security and privacy process can add to this personalization. By monitoring their interactions through your digital experiences, you can learn about how they use devices, their media behavior, and overall preferences. The more you know about your customers, the better equipped you'll be to personalize how you interact with them while preventing fraudulent activity at the same time, benefiting both your customers and your business.