Running a business in Pakistan? Why Needs Identity Verification

Running a business in Pakistan? 05 Reasons Why Your Company Needs Identity Verification

With the rise of online businesses, the online marketplace has a colossal presence in Pakistan. E-commerce sales are increasing due to the increase in online customers, and identity checks are becoming essential. As the number of e-businesses grows, we always carry some doubt about whether or not we are interacting with an authentic source on the other end – identity verification might terminate this uncertainty

Today, our world has become undeniably digital. In Pakistan, businesses and organisations have evolved and digitalised to stay ahead of the times. The purpose of businesses adapting to the digital world is to be accessible to customers and consumers at any hour of the day, in the easiest way possible. Furthermore, customers have become more tech-savvy due to advanced technology playing a greater role in day-to-day life. They are now capable of asking companies for high-level encrypted security for their data and services. With these greater technological advancements, however, comes a list of problems that pose a threat to the safety of the business and the customers, and the solution to most of these problems can be an identity check.

On digital platforms, ID verification is the most important process for dealing with any kind of business. Nowadays, it is hard and unwise to trust blindly, so an identity check is often important, if not necessary. Identity verification guarantees that the ‘verify your identity’ features on the platform check that you are an actual person and verify that you are who you say are.

To be safe from fraud and for privacy purposes, companies need digital solutions. A digital verification makes customers’ digital onboarding secure, encrypted, and a significantly smoother process. Nevertheless, what are the definitions of these terms, how do they function, and how do they save data breaching?

The process of converting manual data into digital by establishing a database is widely known as digitisation. The verification process that takes place by using digital data is termed digital verification. The process involving digital recruitment or onboarding of any kind online is digital onboarding. However, when going digital, business information or data is vulnerable and prone to exposure or leak, so extra precautions are required to ensure the safety of the business and customers.

Digital onboarding not only improves the customer experience but also reduces costs, boosts productivity, meets stringent regulations, and reduces waiting times. It also increases conversion rates. The secure and genuine access to the web and mobile application resources requires identity verification and digital verification, which assist in user authorisation and application access control, based on the user’s credentials.

Identity check has several advantages, one of which is that it allows firms to comply with government rules and regulations. Furthermore, customer verification systems aid in lowering fraud risks and expenses associated with erroneous information provided by customers with the help of digital verification.

There are plenty of reasons to adopt digital verification for higher measures for data security, all of which clearly and significantly benefit your business. If it makes things easier, you can even outsource the digital onboarding of your customers or employees – there is no excuse anymore for having a business that isn’t digital. Your company needs identity verification, and here are the reasons you need to go through with it:

  1. Increasing your customers’ faith and trust in your business 

Building trust in your customers is a big achievement that is achievable by advancing authentication methods for quality verification. If your digital verification process is not up to consumers’ expectations, they will switch to another company/business. Every customer wants their data saved carefully whether they are operating digitally or not. The reputation of your company plays an important role in attracting clients for any sort of business.

When it comes to companies offering digital services, they have three main goals:

  • Customer data must be safe and secure.
  • To create a consistent customer experience that leads to more conversions.
  • They want to make sure the consumers they are onboarding are legitimate.

2. Prevent fraudulent activities to your business 

To prevent any sort of fraud, verifying customer identities and maintaining identification records are mandatory. Your company needs excellent ID verification, so long as the goal is to lower the chances of a data breach or fraudulent behaviour on your digital platform.

The number of worldwide data breaches has skyrocketed in previous years. This is because fraudsters have devised increasingly complex methods of evading previous systems and committing corporate fraud, data theft, and accounts takeovers.

Secure your company from fraud and lean for anti-money laundering platforms identifying PEPs. However, you cannot develop or assist the business with digital onboarding or verifications. Thus, the solution is to outsource the KYC and AML to a third party. They will take care of the safety and anti-money laundering (AML) process of your business and customers. The third-party will create a digital solution for all the business’ needs, from authentication of customers to data handling. The software solution might include two-factor authentication for online transactions or withdrawals.

3. Improve customer service

Today, every customer expects great services and experience with every company they buy or deal from, and to provide great services is the goal to remove barriers that a consumer may encounter along the way, while simultaneously simplifying different processes they have to go through.

Good identity verification processes refer to a frictionless relationship with the customers that means not to ask for too much information from the customer during onboarding and verification processes, as this can be tedious and time-consuming. Instead creating a frictionless process, which is digital and holistic, can make the process smoother for the customers and keep them impressed with your business’ tech updates.

Moving to a digital verification method like automatic scanning, liveness check, and face recognition is significantly more convenient because identity checks can be done in the background nearly instantly, eliminating the need for consumers to wait.

4. Changing compliance requirements

There are currently rigorous compliance rules in place around the world that make it obligatory to verify consumer IDs and maintain identification records. To run a business, you have to set regulation compliances for operating it in the desired country. The more online fraud occurs, the more modifications in compliance with the regulation.

How can you reduce the stress of your business by frequent regulation compliance?

Simply adapt identity check management that is digital verification of the existing identities around you or your business. Some businesses outsource ID verification management to be more productive at achieving goals. In addition, they let the third party take care of all the changes and advancements for avoiding identity thefts.

5. Reduce chargebacks and shipping errors

Hundreds of misleading or deceptive refund requests add up to a mountain of chargebacks that eat into your bottom line every time. You may establish proof that your consumers are authentic and limit or remove suspicious transactions from your e-commerce company by validating their identities.

You can discover any problems that may have occurred throughout their data entry by comparing your buyer’s address to their billing address. Customers frequently misspell their addresses or other vital information, and because address problems can cause the item to be misdirected, identifying an error such as a discrepancy between the billing address and the address on the card’s billing statement can help speed up the process, eliminate incorrect routing, and ensure a positive customer care experience.

Unable to find all these exclusive procedures on a single platform? Then you are about to feel extremely lucky to save your business from lacking behind due to digital loss. It’s time you utilise the options of either hiring or outsourcing the digital onboarding.

Idenfo helps you and your business with better and more promising services. Idenfo Direct Pakistan has result-oriented features on a single platform that will help you stay updated with the latest development in technology, business, and regulatory compliance. Thus far, we have seen digital verification significantly improve the security of the world from fraud and exposure of data. Opt for ID verification for a safer world, during times like these when a digital world is inevitable.

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