According to Mark Roemer Oakland, the digital identity of a person, business, or organization consists of all the key information that can be uniquely linked to their online identity, behavior, credentials, and more. In the era of digital transformation, digital identity plays a crucial role in allowing authorities to reduce criminal activities and businesses to serve their clients better.
Given below are a few benefits of digital identity:
1. Better security – Your digital identity can serve as a credential and contain all the important details such as your name, DOB, passport, health, or driver’s license numbers, nationality, residence, and much more. Banking institutions utilize these details to protect the login and transaction details of their customers. eCommerce websites can utilize it to reduce fraud. Government can use your digital identity to track your location and prevent any conflicts.
As a result, customers with secure digital identities experience better security than people who simply use usernames and passwords.
2. Improved user experience – Due to the complete and secure nature of digital identities, it improves the operational efficiency of businesses and organizations manyfold. As a result, customers often reap the rewards in the form of faster turn-around times, quicker approval times, fewer touchpoints, and more.
For instance, healthcare institutions can store the digital identity of their patients by storing their medical records and linking them to their credentials to make the details readily available in case of emergencies. Insurance companies can create digital identities of their clients to offer pre-approved offers and prevent fraud.
Lending institutions can use digital identity to check the credit records, credit history, and credentials of potentials of existing borrowers, and more. Digital identities can also help accelerate the transfer of secure payments.
3. Enhanced efficiency for data retrieval – Many businesses and organizations need to perform record checks of their employees or clients to offer personalized offers or simply follow the legal policies. However, it can take forever to search and retrieve information in physical format. However, it is much faster to look up and retrieve information on somebody who has a valid digital identity. It is also more accurate since the information is always kept up-to-date.
Thus, digital identity helps to accelerate workflow and makes the process of data retrieval easier.
4. It helps to maximize profit – Digital identities allow businesses to reduce their operational expenses, time, and serve their customers better by correctly identifying their unique needs and requirements. Due to the improved security, it also allows organizations to save on litigation issues. All of this ends up benefiting the customers in the end.
The significance of digital identity in the 21st century cannot be understated. Thus, you should do everything in your power to keep it secure. Mark Roemer Oakland suggests you follow the best practices to protect your digital identity. These include using separate but strong passwords for each of your online accounts and keeping your credentials and login information private.