We are pleased to share the release of this research report which looks at how Gen X and Y, their adoption of mobile technology and how they prefer to be identified. The research explores how the ‘trust’ paradigm has shifted from having them prove who they are, to being recognised for who they are. Both our identities and our consumption of financial services are now inextricably fused with our mobile device, which is why mobile identity is a critical issue and why this research is so timely.

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Our research involved financial institutions across the Asia Pacific, Europe and America and consumers across Australia, Singapore, Malaysia, Indonesia, Hong Kong, UK and USA. We found that:

  • In a mobile first financial services world, an institutions current and future performance can be determined by its ability to acquire generations X and Y, and digitally engage them. The results in the Australian market indicate that the online pure plays are ‘winning wallet’, but now it’s the mobile pure plays turn.
  • The financial services industry is experiencing an ‘Identity Crisis’ – Crisis because their customers expect greater security of their finances, personal information and privacy and place this trust in them, yet they are being impacted by identity theft.
  • More than one in two consumers rank trust as the most important driver of choice of financial services provider.
  • The fact that they trust their financial institution with personal information (above all others) places institutions in a place of privilege - one in five consumers would even be happy to go as far as sharing their DNA if it would help secure their financial and personal information.
  • Yet, despite this level of trust, less than one in two are satisfied with their institution’s security performance with more than one in three consumers effected by identity theft – 40% who believe it was the institutions fault - 65% with whom are likely to defect.
  • Whilst 62% of financial services executives acknowledge under-investment in identity and security related capabilities in past years, 87% anticipate their institution’s level of planned investment to increase (27% significantly increasing).
  • As the mobile has become the primary access device for financial services in 2014, more secure, mobile-based identity is a key driver in garnering greater trust with Gen X and Y – up to one in two of them are even prepared to pay for greater security, particularly those with most to lose

This report outlines the mobile technology developments shaping how these generations prefer to be identified, and provides the framework to realise benefits through new models of collaboration within the broader digital mobile ecosystem

rocky-bio-pic

Rocky Scopelliti

Rocky Scopelliti is Telstra’s global thought leader and industry expert in the banking, finance and insurance industry. His pioneering work and membership on the innovation council of a major bank, has delivered five industry first innovations. He is also a non-executive director on the board of Sydney’s largest credit union.

Rocky has more than twenty years senior management experience in the Information Technology and Financial Services sectors covering product development, strategy and planning, business development, research and strategic marketing.

Over the past seven years, Rocky has authored ten thought leadership research reports covering retail banking, business banking, insurance and wealth management that have become widely acknowledged for their contribution to digital transformation.

Educated in Australia and trained in the USA at Sydney and Stanford Universities, he has a Graduate Diploma in Corporate Management and an MBA. He is also a graduate and member of the Australian Institute of Company Directors (AICD).

We present a vision for secure, intelligent omnipresent identity in the interconnected financial services world. Here, we both explain some world leading technological developments, including those that Telstra has directly invested into, and discuss the role that next-generation identity, access management and security technologies can play in helping your institution map out its trust journey, including:

  • Mobile Identity Management
  • Mobile Authentication Services
  • Digital eSignatures
  • Federated Identity
  • Mobile Threat Defence
  • Cloud Application Security
  • Identity Intelligence
  • Biometrics
  • Security Infrastructure & Services

For institutions, mobile identity services deliver a wide-ranging payload in terms of:

  1. Acquisition and retention of Gen X and Y customers by developing trust in keeping their finances secure;
  2. Improved customer satisfaction and increased advocacy by developing trust in keeping personal information safe and sound; and
  3. Reduced incidences of fraud, security and privacy breaches.

These benefits, however, can only be realised through new models of collaboration within the broader digital mobile ecosystem.

More reports from Rocky Scopelliti

ANALYSE THIS, PREDICT THAT

The Digital Investor

The Digital Media Bank

Further research from Telstra

Research and whitepapers from Telstra