How automation can solve identity verification issues

The gaming industry has evolved, with online gaming now generating 35% of the industry’s overall gross gambling yield. While this has created a wealth of opportunities, it has also presented operators with increasingly complex challenges for verifying gamers’ identities, especially as they face growing pressure to comply with the regulatory trifecta of GDPR, AML, and KYC requirements. It has also added extra complications in managing omnichannel needs and a global user base, particularly when verifying online and offline users with similar parameters.

However, with the online gaming community having the lowest tolerance for arduous identity checks – sitting at just four minutes – it is vital that operators achieve the perfect balance between protecting their business from fraud, whilst simultaneously providing a positive and seamless player experience.

This often-conflicting criteria means operators have to juggle multiple priorities and stakeholders.  Building the right verification infrastructure is therefore key to implementing a smooth player experience which doesn’t forfeit customer security or sidestep compliance requirements. But how can operators unify these competing needs? The answer lies in automated identity verification, which can liberate gamers from inefficient processes and empower operators to be better.

Driving growth

By automating the verification process and validating players’ identities in real time, operators not only reduce their costs by eliminating their manual workload, but also minimise the risk of making manual errors, which can result in a frustrating experience for gamers and increased abandonment rates. By automating the KYC process, operators can reassign their resources to other revenue-generating functions of the business that require human expertise, ultimately helping them to identify new business opportunities and drive growth. Furthermore, traditional KYC providers can generate false positives and lack access to crucial databases; which can be mitigated by automating the use of multiple verification suppliers.

Staying compliant

In the wake of GDPR and PSD2, automation can also help operators quickly adapt to the latest regulations. PSD2, for example, requires institutions to provide a certain degree of assurance over personal information. With the gaming industry requiring several identity checks to help combat fraud and problem gamblers (such as age, funds, and criminal background), automation can streamline and simultaneously cross-check multiple complex qualification requirements. No longer will gamblers and operators need to repeat the time-consuming verification process for each transaction – rather, gamers benefit from a set of solid authentication credentials that can be used for future transactions, while operators gain a compliant, 360 view of their customer.

Building customer loyalty

Automation also ensures that the verification process is fast, effortless, and conducted in record time. This means players are left with memories of a sleek onboarding and verification experience, leaving them to form positive associations of the operator and more likely to use their platform again. This helps operators maximise their sales conversion, reduce drop-off rates, and encourage customer loyalty. By facilitating a painless verification process, automation also leaves room for customer acquisition through positive word-of-mouth.

And…fighting identity fraud

To verify a customer’s identity, operators need to collect lots of personal information, including their age, and address. Unfortunately, the documents that players have to physically present to prove their identity is often the exact information fraudsters need for identity theft.

However, as online gambling continues to gain popularity, focusing on gamers’ digital identities may be the solution – by using an automated verification solution that incorporates multi-vendor checks to capture and analyse gamers’ information in real-time, operators can generate a unique online footprint for each gamer that is difficult to replicate or steal.

With more operators understanding the importance of the customer experience, the identity verification process is now a key priority. For operators looking to generate real business value from their verification technology, an automated solution is the answer.

SafeCharge COO Yuval Ziv