How e-KYC Can Build a Better Customer Experience

When building a great customer experience, it’s crucial to make it as seamless as possible. However, Know Your Customer (KYC) regulations, while important, do pose somewhat of a roadblock to onboarding customers. This is where Electronic Know Your Customer (e-KYC) comes in.

A study by McKinsey shows that e-KYC can reduce the cost of customer onboarding by 90%, while another study by Refinitiv attributes the bulk of KYC costs to staffing. In line with these findings, Bank Negara Malaysia has also produced guidelines for e-KYC.

As a business owner, you now have the opportunity to revolutionize customer onboarding and improve overall satisfaction with e-KYC. We explore the benefits of e-KYC and how it can enhance the customer experience in this article.

Streamlined customer onboarding process

The traditional onboarding process often involves customers filling out lengthy forms, submitting physical documents, and undergoing manual verification, leading to significant delays and frustration. e-KYC simplifies this process by allowing customers to complete identity verification digitally.

Through the integration of biometric authentication and AI-powered algorithms, e-KYC solutions verify customer identities quickly and accurately, reducing the time required for onboarding from days to minutes. This seamless process significantly enhances the customer experience by eliminating the need for cumbersome paperwork and minimizing wait times.

Convenience and accessibility

e-KYC leverages digital technologies to provide customers with a convenient and accessible identity verification process. By utilizing mobile devices, customers can complete the verification process from anywhere, at any time, eliminating the need for in-person visits to physical branches or service centres.

This level of convenience not only saves customers valuable time but also offers accessibility to individuals who may face mobility challenges or reside in remote areas. With e-KYC, businesses can cater to a broader customer base and ensure that their services are readily available to all.

Enhanced security and fraud prevention

Identity theft and fraudulent activities pose significant risks to businesses and customers alike. Traditional verification methods are often susceptible to manual errors and document tampering, making it easier for fraudsters to exploit loopholes. e-KYC provides an enhanced level of security by leveraging biometric data, such as fingerprints or facial recognition, for identity verification. These biometric markers are unique to individuals and are difficult to forge, significantly reducing the risk of identity fraud.

Moreover, AI-powered algorithms can analyze patterns and detect anomalies, enabling businesses to identify suspicious activities and prevent fraudulent transactions. By prioritizing security, e-KYC instils customer trust and protects businesses from potential financial losses.

Personalized and targeted services

With e-KYC, businesses gain access to accurate customer data in real-time. This wealth of information allows organizations to personalize their services and tailor offerings based on customer preferences, behavior, and demographics. By understanding customers better, businesses can provide relevant recommendations, offers, and targeted marketing campaigns, resulting in a more personalized and engaging customer experience. Furthermore, e-KYC facilitates the integration of customer data with other systems and processes, enabling businesses to provide seamless omnichannel experiences, where customers can transition effortlessly between various platforms and devices.

Regulatory compliance and cost savings

KYC regulations are critical for businesses to comply with legal requirements and prevent money laundering, fraud, and terrorist financing. Traditional verification processes often involve manual checks and extensive paperwork, resulting in significant operational costs. e-KYC solutions automate compliance procedures, ensuring adherence to regulatory standards while reducing costs associated with manual verification and paperwork. By streamlining KYC processes, businesses can redirect resources to core operations, ultimately leading to cost savings and improved operational efficiency.

Know your customer with Tekkis

As e-KYC is somewhat of a new field, it can be hard to select a partner for your business.

But with Tekkis t-Verify solution, your business can run the whole gamut of e-KYC including verifying customer identity securely, via an online platform that adheres to the highest standards in regulatory compliance.

Underpinned by the latest in AI, Tekkis t-Verify can:

• Recognize and verify ID documents.
• Recognize and match the customer’s facial features in real-time to the ID document presented.
• Verify the customer’s identity using dynamic security questions.

The entire process can be done efficiently, reliably, and consistently, saving the business time while also ensuring a frictionless customer experience.

Start your e-KYC compliance journey with Tekkis today by getting in touch with us. Our friendly Customer Experience team is always ready to assist.

If you liked this article or want to discuss something we wrote about, do comment down below. Also, if you haven’t already, subscribe to our newsletter to stay updated about all things online payments and more!