Friday, June 12, 2020
Schnieper further noted that LexisNexis Risk Solutions researchers had expected the rapid digital commerce migration to lead to opportunistic attacks against first-time ecommerce and mobile consumers. Instead, they were surprised to find increases in physical identity-focused fraud attacks, most notably in new account fraud, he added.
Based on analysis of fraud trends and incidents during the initial eight-week COVID-19 lockdown, LexisNexis Risk Solutions analysts reported the following data points:
"A multilayered approach to risk allows a greater level of flexibility to adapt to new vectors," Schnieper said. "Organizations can become overwhelmed with these digital experiences and their downstream capabilities may not be as automated as they should. They need to adapt quickly to ensure that new applications won't just fall on the floor or end up in a manual pen."
Individuals live in a broad spectrum of general interaction, Schnieper noted. Some transact in digital channels; others prefer to use physical channels. Organizations do a disservice by not having the right type of data to be able to properly evaluate them, he added.
Schnieper also pointed out that generational differences must also be considered, as some generations are more comfortable than others using online and mobile application processes. Organizations need to authenticate users according to the channels they are using and the experiences they expect from each of those channels, he stated.
"View the combination of omnichannel commerce with multilayered security as a matrix, with the Y access being the channel and the X access being the identity authentication modality," Schnieper said. "For a financial application, I may want to do an ID authentication and repopulate the application with a 2D barcode. If someone is just signing up for loyalty on a digital channel, maybe I just need a phone number and email and check the tenure of that email."
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