We're living in a world where we, as consumers, expect very user-friendly experiences and things to happen at lightening speeds. To deliver on these expectations, those working in the financial services industry need to leverage digitisation, mobility and big data.
As we head into 2025, leaders should be asking themselves a few questions. Are we truly utilising these technologies effectively in the business? Are these technologies being utilised in the right areas that will help us growth and drive revenue? When it comes to digitisation, which I believe is a transformative force when it comes to operational efficiency and enhanced customer experience, there is one area that needs more focus. That is verifications. The critical importance of verifications can be shown with the U.K. Government's recent publication of its Data Use and Access Bill. The proposed bill establishes a framework for companies to gain a government-certified 'trust mark' for providing verification tools.
Taking a step back, what are verification services? Verification services are systems or process used to confirm the authenticity and accuracy of information provided by individuals or entities. For many this involves stacks of paperwork and manual forms to fill in which can take weeks to complete. This can lead to frustration, uncertainty and delays for businesses and their customers alike. And consider these sorts of issues across all the whole business from approving loans, rental agreements and mortgages to onboarding new employees.
That is why digitising verifications is crucial and should be a top priority for modern businesses in 2025 as it will ultimately provide faster and more reliable services. It is not just a trend but a necessity in today's digital age.
Here are the top six advantages to digitising verification services.
1. Enhanced Efficiency and Speed
One of the most significant advantages of digitisation in verifications is the dramatic increase in efficiency and speed. Digitised systems can process large volumes of data quickly and accurately. For instance, digital identity verification systems can authenticate a user's identity in real-time, reducing the time required for onboarding new customers or employees.
2. Improved Accuracy and Reduced Errors
Manual verification processes are susceptible to errors. Digitisation minimises these errors by automating the verification process. Advanced technologies such as artificial intelligence (AI) and machine learning (ML) can analyse data with high precision, ensuring that the information is accurate and reliable. This not only enhances the integrity of the verification process but also builds trust among customers.
3. Enhanced Security
Security is a paramount concern in verification processes, particularly in sectors dealing with sensitive information. Digitisation offers robust security measures that are difficult to achieve with manual processes. Digital verification systems often incorporate encryption, biometric authentication, and multi-factor authentication (MFA) to protect data from unauthorised access and fraud.
For example, biometric verification methods such as fingerprint scanning and facial recognition provide a higher level of security compared to traditional password-based systems.
4. Scalability
As businesses grow, the volume of verifications needed to perform also increases. Manual processes can become a bottleneck, limiting the ability to scale operations efficiently. Digitised verification systems are highly scalable, allowing businesses to handle increasing volumes of data without compromising on speed or accuracy.
5. Better Customer Experience
In today's fast-paced world, customers expect quick and seamless interactions. Lengthy and cumbersome verification processes can lead to frustration and dissatisfaction. Digitisation enhances the customer experience. Take digital KYC (Know Your Customer) processes. It enables customers to complete their identity verification online, without the need to visit a physical location. This sort of convenience could improve customer satisfaction and loyalty.
6. Regulatory Compliance
Many industries are subject to stringent regulatory requirements regarding data verification and security. Digitised systems can help businesses comply with these regulations more effectively. Automated verification processes can ensure that all necessary checks are performed accurately and consistently, reducing the risk of non-compliance.
Ultimately, the adoption of digital verification technologies will position those working in the financial services industry at the forefront of innovation and allow them to future proof their company. By embracing digitisation, businesses can streamline their verification processes, build trust with their stakeholders, and position themselves for long-term success in an increasingly digital world.
