Today, we’ll show you how an ID provider can eliminate the need for repeated ID verifications within its network of existing clients.
Identity providers are aware of the friction and frustration caused by requiring end-customers to verify their identity from scratch for every service they sign up for, even when the same verification company handles the process.
This repetitive process leads to drop-offs, reduced conversion rates, and missed business opportunities for the ID provider and their clients.
Many ID providers fail to solve this problem because they cannot leverage verified data across multiple clients.
Decentralized Reusable ID enables end-customers to reuse their verified ID data across the ID provider’s client ecosystem and sign up for new services instantly.
Here’s how 👇
Why Verified ID Data Isn’t Being Reused
Currently, end-customers must go through ID verifications from scratch for every service they sign up for, even if these services use the same ID verification provider. This is a legal requirement placed upon service providers.
This process typically involves manually inputting personal details, taking pictures of driver's licenses, and performing liveness checks.
Such repetitive steps frustrate users and lead to significant drop-offs and reduced conversion and onboarding rates, which in turn lead to missed business opportunities.
Why can't verified ID data be reused between companies?
The main issues are data storage and consent to reuse that data. To enable the reuse of ID data, someone has to safely store it while the end user must give their consent to it being used.
ID verification companies and their clients are reluctant to take on the burden of storing PII. And rightly so! Storing PII is a major liability, and securing and managing the database entails high costs.
How to reuse verified ID data to accelerate customer onboarding
Decentralized Reusable ID technology solves the PII storage and consent challenge by allowing end-customers to store their verified ID data locally on their mobile devices.
Using this technology, an ID provider can bring different sets of high-quality verified data into a single, tamper-proof, verifiable ID credential.
The end-customer can then easily share the credential with other companies in the ID provider’s ecosystem, bypassing repeated data entry and physical document collection.
Here’s how it works
1. Setup: The ID provider connects a Reusable ID API to their existing system and invites their Issuers (i.e. Company A) and Verifiers (i.e. Company B) to its Ecosystem.
2. Initial Verification: The end-customer completes the usual identity verification process with Company A. The Reusable ID API works invisibly in the background to package this verified ID data into a tamper-proof Reusable ID credential.
The tamper-proof nature of this credential (made possible by cryptography) assures verifiers (other companies verifying this data) that the data within it was not modified or corrupted.
3. Storage: This credential is stored in Company A’s existing mobile app, locally on the end-customer’s phone. This ensures that end-customers manage and store their own data, eliminating the need for companies to store PII and the associated liabilities.
4. Reusing Credentials: When the end-customer signs up with Company B, a partner/client of the same ID provider, they’ll see an option to share their credentials. Similarly to the “Google Sign In” process they’re used to, they tap a button on their phones, and they’re in.
5. Instant Verification: The sign-up process becomes immediate because the data has been pre-verified and is trustworthy. That identity credential will allow the end-customer to open up new accounts as long as they are within the ID provider’s network of clients.
Enabling end-customers to bypass repeated data entry and physical document collection leads to quicker onboarding, reduced frustration, and fewer abandonments, thereby increasing conversion rates and revenue for the ID provider's clients.
Does your ID provider have a network of clients that could benefit from consuming verified ID data from each other to make customer onboarding faster? Socure is using our Reusable ID platform to do just that. Consider joining us for a live demo on a call to learn how Reusable ID can fit your use case.
Or, if you're not ready yet, check out these demo recordings.
