Tag: mobile commerce security

Mobile commerce fraud is on the rise in Asia

| September 10, 2015

Smartphone penetration leads to the rise of mobile commerce

In Asia, smartphone penetration is accelerating and these devices are becoming more popular for those that are interested in shopping online. By 2018, Asia is expected to account for half the world’s mobile users, with many people beginning to use their smartphones and tablets to play games, purchase products, and use social networks. As mobile adoption rises, however, fraud is becoming a greater problem in the mobile commerce space in Asia.

Japan, South Korea, and China have become very attractive mobile markets

Currently, Japan and South Korea are leading the way when it comes to mobile commerce adoption, with approximately 50% of both country’s populations engaging in mobile transactions. China has also become a very prominent mobile commerce market. In the first quarter of this year, mobile sales in China reached $58.4 billion, according to a recent report from iResearch. Companies are beginning to invest more heavily in the mobile space, and this is making the sector more attractive to malicious parties.

Mobile commerce fraud is becoming more common

Mobile Commerce FraudWhile mobile commerce represents only 14% of all transactions being made in Asia, it also accounts for 21% of all fraudulent transactions being made through mobile devices. As fraud continues to grow, mobile commerce merchants are beginning to feel extreme financial pressure. Merchants incur costs of $3.34 for every dollar that is being spend on a fraudulent mobile transaction. This is 27% higher than the costs merchants would incur from a fraudulent transaction being made on a traditional PC.

Mobile security is becoming a priority for businesses and consumers alike

Several merchants in Asia are beginning to get involved in the mobile commerce space, but they will have to find ways to better protect consumer information. Security risks have been a major concern for consumers, and these concerns have slowed the adoption of mobile commerce platforms to some degree. Several companies offering mobile payments services have found ways to improve security through the use of biometric technology, which leverages biologic information, such as fingerprints, in order to protect transactions and consumer information.

ING brings more security to mobile payments with voice recognition

| August 4, 2015

ING introduces new feature for its banking app that will make mobile payments more convenient

Dutch bank ING has introduced a new service that will allow its customers to make mobile payments using their voices. The service is being incorporated into its mobile banking application and is meant to serve as a more convenient way to make payments without having to enter a password. The service is designed to highlight the convenient nature of mobile payments, which are becoming more popular in the Netherlands as well as other parts of the world.

Voice activation will bring more security to banking app

ING customers can use the new feature of their mobile banking application to speak a short phrase, which will be used to activate a mobile transaction. Users will pre-record the phrase for the application and this phrase will be stored as a file on their mobile device. ING believes that voice activation will add another layer of security to mobile payments, as a person’s voice can be as unique as their fingerprint. This is due to differences in vocal cavities and how different mouth movements can affect the sound of the voice.

Speech recognition is becoming more popular in the mobile commerce space

ING Bank - Mobile PaymentsNuance, a biometric company, is providing the speech-recognition technology that ING is using for the new service. Similar technology is used by several other organizations in order to determine the identity of consumers. The U.S. government, for instance, use speech recognition technology in cases where agencies are handling tax issues. This technology is largely used to reduce the prevalence of fraud and has been relatively successful in doing so in recent years.

Biometric technology could help mobile commerce appeal to consumers

Making mobile payments more secure has become a major priority for banks around the world. These banks have become heavily involved in the mobile commerce space, but consumers have voiced their concerns regarding their financial information. Biometric technology is expected to put many of these concerns to rest, which may make mobile payments significantly more attractive to consumers throughout the world.