Consumers in Asia Pacific are more concerned with protecting their financial and payments information stored on a computer than they are with protecting the same information when it is stored on a mobile wallet, according to new benchmark data*, Global Consumer Survey: Consumer Trust and Security Perceptions, from ACI Worldwide and the Aite Group.
The global fraud study of more than 6,000 consumers across 20 countries revealed that only 46% of global consumers in Asia Pacific trust businesses, including restaurants and merchants, to protect their financial data. In the other hand around 80% of consumers generally believe their mobile wallet data is secure.
As payments are increasingly shifting to mobile devices and global fraud continues to rise, consumers must be vigilant about mobile fraud protection. Across the globe, consumers are adapting to technology advancements—including the ubiquity of mobile wallets and a continued shift to online shopping, but are also acquiring unbalanced perceptions around payments data security.
Principal findings amongst Asia Pacific respondents include:
· Only 46% of consumers trust businesses (e.g., stores, online shopping sites, restaurants) to protect their financial and payments data. The numbers are 47% in Indonesia, 36% in Singapore, 40% in Australia, and 42% in New Zealand. India (60%) and Thailand (51%) are the only countries where there is at least 50% confidence in stored data being well-protected.
· Around 80% of consumers report they feel at least somewhat secure with mobile wallets. India is a standout, with over 90% of consumers reporting they feel at least somewhat secure.
· Across the region, the clear fraud concern is theft by computer hacking (37% in Indonesia, 33% in India, 31% in Thailand).
· After experiencing fraud or a data breach, the majority of consumers indicated they would stop shopping with a given merchant. The numbers reached 76% in Indonesia, 73% in India, and 65% in Singapore.
· Even though many institutions have some form of anti-fraud education and training, it does not seem to resonate with all consumers: Singapore, Australia, and New Zealand showed much lower levels of awareness of anti-fraud messages, with under 50% of respondents in each country reporting that they have seen some sort of anti-fraud education for 2016.
· The majority of consumers are very interested in receiving a call or SMS message on their mobile device to help mitigate fraud.
“This data is a further wakeup call to the broader payments industry, including merchants, banks and financial intermediaries, that we must proactively educate consumers about security measures that are in place—to allay consumer concerns, which will not only result in enhanced customer experiences, but also help to reduce fraud losses,” said Andreas Suma, VP and global lead, fraud and data, ACI Worldwide.
“Moreover, consumers must become more proactive in securing their personal data by using the fraud prevention measures and services offered by their financial institutions.”
“Our research shows that consumers want to proactively manage fraud, particularly by leveraging mobile technology – whether it’s text or talk,” said Shirley Inscoe, Senior Analyst, Aite Group. “This willingness opens opportunities for financial institutions to optimise the ways in which they reach out and communicate with consumers, ultimately improving the customer experience while reducing operational costs and fraud losses.”
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*ACI Worldwide onducted online quantitative market research in April 2016 and surveyed 6,035 consumers. The study was conducted in a total of 20 countries in the following regions:
The Americas: Brazil, Canada, Mexico, and the US
EMEA: France, Germany, Italy, the Netherlands, South Africa, Sweden, the
UAE, and the UK
APAC region: Australia, India, Indonesia, New Zealand, and Singapore
China, Russia, and Poland were removed compared to 2014, while Spain, Thailand, and Hungary were added for 2016.
In total, 6,035 consumers were included in the research—approximately 300 consumers, divided equally between men and women, participated in each of the 20 countries. Of the total, 5,861 own one or more type of payment card—credit card, debit card, or prepaid card.
This is the fourth time that ACI has fielded this type of survey, and some comparative results are included from 2012 and 2014. In each country, the data have a margin of error of approximately five points. Statistical tests of significance, where shown, were conducted at the 95% level of confidence.
