Improving Customer Experience With Multifactor Authentication
“Security and fraud prevention is paramount to our customers, due to the large volumes of money at stake. TransUnion ensures that our consumers’ funds are secure and that we can prevent and manage fraud to the degree that is expected of us.” - says our CEO Marius Galdikas.
ConnectPay began as a small Fintech startup in 2017. Company evolved significantly over the early years, allowing ConnectPay to move from running exclusively on a vendor platform to having nearly their entire technology stack built in -house. When migrating systems, however, it became clear that using SMS delivery for authentication was the piece of the tech puzzle that needed extra attention. “Using mobile numbers and SMS wasn’t enough to assure us of security when authenticating our customers,” says our CEO Marius Galdikas. SMS authentication was not only causing deliverability issues for customers, but it created a lack of confidence identifying verified customers for ConnectPay. Usually you are balancing security with friction, but in this case we were able to obtain more security and reduced friction. That has been a complete win for us.” says Galdikas.
Barriers with SMS authentication lead to influx in customer complaints
Prior to working with TransUnion, ConnectPay relied on a second factor of authentication delivered via SMS. Given the global nature of the company, however, the solution created cross-border challenges for Galdikas and his team, which in turn led to a lot of hassle. Given the large volumes of money ConnectPay customers are exchanging, security is of the utmost importance to ConnectPay’s customer experience and risk assurance. “SMS didn’t allow us to confidently identify our customers so we relied on best-effort delivery, which often just didn’t work,” he says. “We were constantly receiving calls from customers complaining about not receiving an SMS, or being unable to confirm payment.”
As ConnectPay continued to acquire customers, Galdikas knew he needed to implement a more reliable form of authentication — one that would provide additional security and a more seamless experience for his customers. This is when he turned to TransUnion. “I kept hearing how about good TransUnion and its services were,” Galdikas recalls, noting his time at previous financial institutions, “so I decided to make TransUnion our primary provider for risk management.”
Multifactor Authentication provides seamless experience across customer journey
ConnectPay went on to implement TransUnion Multifactor Authentication (MFA) — a comprehensive, white-label MFA solution that extends the authentication capabilities of customers’ mobile devices. With Multifactor Authentication, Galdikas now has the capability to provide customized authentication options throughout each touchpoint of the customer journey. “We have better visibility and better control of devices,” he explains. For ConnectPay, this includes improved customer convenience at login, payment authorization, currency exchange, and API access. Plus, his team now has better visibility of verified devices. “Usually you are balancing security with friction, but in this case we were able to obtain more security and reduced friction. That has been a complete win for us,” says Galdikas.
Implementing Multifactor Authentication has also been a significant win for ConnectPay’s customer support team, which was previously inundated with customer issues. “My customer support team has seen a 100% decrease in inquiries related to the authentication process,’ Galdikas remarks. “To our knowledge, every single client that has adopted the app has had a seamless authentication experience. It is simply no longer an issue.”
ConnectPay has plans to implement IDVision with iovation Device Risk as the next phase of their fraud prevention and risk assurance strategy. In the meantime, Galdikas finds comfort in knowing that he’s providing a seamless experience for his growing customer base at ConnectPay. We no longer have friction and are confident about the devices being used — regardless of how many customers we have,” he says.