Reality Check; Consumer Attitudes to Voice Biometrics

Transcription

1 Reality Check; Consumer Attitudes to Voice Biometrics Under the guidance of Professor Michael McTear, Head of Research, Voice Authentication, University of Ulster 1

2 UK Survey of Telephone Banking Users Market Research by SpeechStorm 1. Executive Summary SpeechStorm conducted a research project in May 2008 to better understand consumer perceptions of voice biometric technology (also known as voice authentication) in relation to telephone banking. This research provides insight for organisations interested in learning more about consumer attitudes towards voice biometrics, in particular online banking providers and financial services organisations. The research is very timely given the recent public scandals relating to the loss of personal data, such as the loss of 25 million child benefit records by the Revenue and Customs office. As a result, public confidence has been shaken and concerns are rising over the security and privacy of the handling of personal information. SpeechStorm s consumer survey provides an indepth look into how Voice Biometric technology is perceived and understood, its benefits and inhibitors and how consumers are likely to embrace the technology in their day to day lives. Key findings from the research were as follows: Over a third of respondents (34%) agree they would consider moving to an alternative bank if it offered a more secure service such as voice biometrics and 38% would be inclined to join a bank that offered voice biometric security over one that did not. 37% would even be happy to pay a small fee to a bank that is very proactive in securing their personal information. 72% would be happy to receive a call from a speech automated service using voice biometrics as an additional way to prevent security account block 79% would be willing to use voice biometrics in future. 2

3 Table of Contents Background. 4 Methodology. 5 Results 8 Confidence in Telephone Banking Centre. 8 Consumer Attitudes Relating to Telephone Banking Security.. 11 Opinion of Voice Biometrics 16 Consumer Attitudes towards Outbound Anti-Fraud Calls & Future Use of Voice Biometrics.. Related articles and information Guidance Author Contact Details

4 Background Identity theft is one of the UK's fastest growing types of crime and since 1999 has grown by over 500% (source CIFAS). It is estimated that identity theft in the UK costs the British economy 1.7 billion annually (source The Home Office). Currently all telephone based transactions are dependant on knowledge verification from the caller i.e. account number, PIN, Postcode, etc. However once this information is available to a fraudster the financial institution cannot easily discern when a fraudulent transaction is taking place. Organisations across financial services and public sector are now looking at ways that voice biometric technology can help them to combat identity fraudsters. As with any new technology, rates of adoption are slow especially when they are customer facing. It is important that organisations gauge customer feedback relating to voice biometrics, how the technology is perceived and understood, its benefits and inhibitors and how likely they are to embrace the technology in their day to day lives. Identity Theft & Telephony Fraud - The Facts During 2004 one identity theft case occurred every four minutes in the UK - calculated using information from CIFAS 135,000 incidents were reported in source CIFAS On average identity theft normally goes undetected for over a year In cases where a 'total hijack' has occurred, perhaps involving different lenders, it cost the victim up to 400 man-hours and over 8000 before things are back to normal - source CIFAS Dramatic increase in cardholder not present, estimated at 270M in 2007 APAC Research Objectives The research will help retail banking organisations to better understand: 1. The concerns & level of confidence that customers of telephone banking have about their personal information and how it is stored 2. The trust people have in technology over live agents in terms of security 3. Awareness and attitudes towards voice biometrics 4. Opinions towards automated outbound calls using biometric identification 4

5 This research project has been undertaken by SpeechStorm in order to address these questions and provide guidance to those considering these issues. SpeechStorm s interest in this survey is fuelled by its leading role as a specialist provider of speech recognition and voice biometric solutions for contact centres. Methodology SpeechStorm commissioned The Independent Fieldwork Company of Enfield, London ( to carry out face-to-face interviews across a broad sample of respondents from the UK. A total of 100 interviews 1 were conducted during 22 nd and 23 rd May 2008 and lasted approximately 30 minutes each. Questions were mainly quantitative with some qualitative or open ended questions. During the interviews respondents watched a voice biometrics demonstration. Respondents The research took place in two major UK cities Figure 3.1: Region 1 The total sample size was 100 respondents and therefore interpretations of results should be mainly used as indicators. 5

6 Recruitment of respondents was based on their use of telephone banking, demographics, age and gender. Figure 3.2: Gender Figure 3.3: Age 6

7 Recruitment was spread across frequency of use. Figure 3.4: Frequency of Use of Telephone Banking 7

8 4 Results 4.1 Confidence in Telephone Banking Centre 42% of the telephone banking customers surveyed indicate that they are either not confident or not sure about their bank s ability to prevent anyone from accessing their accounts. Nearly half (42%) of all respondents, are not confident about their telephone banking centre s ability to identify fraudulent calls. Two questions were asked about the confidence telephone banking customers had in their telephone banking centre regarding information security. Fast Facts For respondents in this section: 42% indicate that they are not confident or not sure about their bank s ability to prevent anyone from accessing their accounts. 42% of respondents are not confident about their telephone banking centre s ability to identity fraudulent calls. 8

9 Q. How confident are you in your telephone banking centre s ability to prevent anyone accessing your personal information? Figure Almost half (42%) of telephone banking customers are either not confident (18%) or neutral (24%) about their bank s ability to prevent anyone from accessing their accounts. 9

10 Q. How confident are you that your telephone banking centre has the ability to identify fraudulent calls? Figure While a small proportion (13%) is not confident about their telephone banking centre s ability to identify fraudulent calls, another 29% are neutral/not sure. 10

11 4.2 Consumer Attitudes Relating to Telephone Banking Security Respondents were asked a series of questions regarding their opinions and attitudes towards telephone banking security. Q. How concerned are you about identity fraud and misuse of your private information? Figure Fast Facts For respondents in this section: 69% have concerns about identity fraud and misuse of their private information. (74%) confirm they have been more careful about their personal information in the last 12 months compared with the previous 12 months. 61% are concerned about the security of PIN, passwords and secret data when used to confirm ID over the phone with a real agent. Telephone banking customers have clear concerns (69%) about identity fraud and misuse of their private information. However this concern is particularly prevalent amongst year olds. (52% very concerned and 29% concerned) 11

12 Q. How important do you think security is when it comes to your banking transactions done on the phone? Figure % of respondents considered security to be either very important or important for banking transactions done on the phone. 12

13 Q. Do you think that you are being more careful with your personal information now than in the last 12 months? Figure Awareness of the increase of identity theft widely reported in the press may have helped influence respondents to be more vigilant about their security. Nearly three-quarters (74%) of them confirm they have been more careful about their personal information in the last 12 months compared with the previous 12 months. 13

14 Q. How concerned are you about the security of your PIN numbers, passwords or random secret data such as a favourite pet, when they are used to confirm your identity to an organisation over the phone with a real agent versus an automated system? Figure More than half (61%) of the responding telephone banking customers are concerned about the security of PIN, passwords and secret data when used to confirm ID over the phone with a real agent. Only 11% show no concern. 14

15 Q. In relation to telephone banking, do you think that your personal information is more secure using an automated system to handle your PIN & password or speaking to a live agent? Figure A higher percentage of telephone banking customers (41%) believe that their personal information is more secure using an automated system than speaking to a live agent (36%) when handling PIN and passwords. Over half (56%) of the middle age group years think it is more secure with an automated system. 15

16 4.3 Opinion of Voice Biometrics Respondents were shown a brief video demonstration illustrating how voice biometric technology uses a unique voice print to identify a caller in conjunction with a PIN/Password. The respondents were shown two clips. The first demonstrated a customer being identified using their PIN/Password and the second demonstrated an impostor using the same personal details to try and get past the system. To watch the demonstration please visit Fast Facts For respondents in this section: 86% would be happier either using a voice biometrics only or a blend of both voice biometrics and Password/PIN in identifying them for telephone banking transactions. 38% agreed that they would be inclined to join a bank that offered voice biometric security versus one that didn t. 37% agreed they would be happy to pay a small fee to a bank that is very proactive in securing their personal information. 53% agree that they would feel comfortable using voice biometrics if it meant that it would provide tighter security. 16

17 Q. Have you heard of voice biometrics or the concept of using your voice to identify you as a caller? Figure % of respondents had heard of voice biometrics. 17

18 Q. Which would you be happier to use as a means to identify you for telephone banking transactions in the future? Figure % of respondents would be happier to use either voice biometrics (28%) or a blend of both voice biometrics and Password/PIN (58%) in identifying them for telephone banking transactions in future with only 14% selecting PIN/Password only. Among those choosing voice biometrics only, 75% said it would be safer/more secure this way. For those choosing a blend of both, 42% said it would give more security. Respondents were asked to indicate their level of agreement with statements regarding telephone banking including the use of voice biometrics. A range of responses from Strongly Disagree to Strongly Agree were offered. 18

19 Q. I d feel comfortable using a voice biometrics system if it speeded up transactions. Figure Over half (55%) agreed that they would feel comfortable using a voice biometrics system if it speeded up transactions. Agreement is higher with the older age group with 75% of year olds agreeing. 19

20 Q. I would consider moving to an alternative bank if it offered me a more secure service such as voice biometrics Figure Over a third (34%) agreed they would consider moving to an alternative bank if it offered a more secure service such as voice biometrics. This number is significantly high amongst males (48% ) 20

21 Q. I d be inclined to join a bank that offered voice biometric security versus one that didn t. Figure Over a third (38%) agreed that they would be inclined to join a bank that offered voice biometric security versus one that didn t. This view was particularly high amongst year olds (55%) 21

22 Q. Voice biometrics provides an unobtrusive way of protecting my identity. Figure Nearly half (49%) of telephone banking customers agree that voice biometrics provides an unobtrusive way of protecting their identity. This figure was higher amongst year olds (55%) 22

23 Q. I d feel comfortable using voice biometrics if it meant that it would provide tighter security. Figure Over half (53%) agree that they would feel comfortable using voice biometrics if it meant that it would provide tighter security. This figure was particularly high (75%) amongst year olds. 23

24 Q. I d be happy to pay a small fee to a bank that is very proactive in securing my personal information. Figure Over a third (37%) of telephone banking customers agreed they would be happy to pay a small fee to a bank that is very proactive in securing their personal information. Another 17% are neutral/undecided and 46% would not want to pay a fee. Half of year olds would pay. 24

25 4.4 Consumer Attitudes towards Outbound Anti- Fraud Calls & Future Use of Voice Biometrics Q. Have you ever received a call from an anti-fraud department regarding irregular usage patterns i.e. credit card company, bank? Figure Fast Facts For respondents in this section: 60% of respondents received a call for antifraud purposes from a live agent (vs machine) 72% would be happy to receive a call from a speech automated service using voice authentication as an additional way of security 79% of telephone banking customers would be willing to use voice authentication with their banks in future A quarter of telephone banking customers have received a call from an antifraud department. Well over half (60%) of the instances where an anti-fraud department made a call it was from a live agent with very few (12%) from an automated system. 25

26 Interviewees were asked to read the following script that illustrated how an outbound anti-fraud call might sound. You can hear an example at Q. In order to prevent security account blocks would you be happy to receive a call from a speech automated service using voice biometrics (as a secondary verification) as an additional way of security? Figure Nearly three quarters (72%) of telephone banking customers would be happy to receive a call from a speech automated service using voice biometrics as an additional way of security. 26

27 Q. If banks in the future are considering using voice biometrics, how willing are you to use it? Figure A high percentage (79%) of telephone banking customers would be willing to use voice biometrics with their banks in future with only 11% not willing. 27

28 5. Related articles & information e-book: Combating Identity Fraud: How voice biometrics can protect consumer. Recorded Webcast: Speaker Verification & Caller Authentication 6. Guidance Author Michael McTear is Professor of Knowledge Engineering and Coordinator of the Artificial Intelligence Research Group at the University of Ulster. He graduated in German Language and Literature from Queens University Belfast in 1965, was awarded MA in Linguistics at University of Essex in 1975, and a PhD at the University of Ulster in He has been researching in the field of spoken dialogue systems for more than fifteen years, having previously worked in the areas of computational linguistics, user modeling, and knowledge based systems. He is the author of the widely used text book Spoken dialogue technology: toward the conversational user interface (Springer Verlag, 2004), and was a coinvestigator of the EPSRC-funded Queen s Communicator dialogue system. He was the recipient of the Distinguished Senior Research Fellowship of the University of Ulster in He is a member of the Scientific Advisory Group of SIGDial, the ACL/ISCA Special Interest Group for Discourse and Dialogue. 28

29 About Genesys Telecommunications Laboratories, Inc. Genesys, an Alcatel-Lucent company, is the only company that focuses 100 per cent on software to manage customer interactions over the phone, web and in e- mail. The Genesys software suite dynamically connects customers with the right resources self-service or assisted-service to fulfill customer requests, optimise customer care goals and efficiently use resources. Genesys software directs more than 100 million customer interactions every day for 4,000 companies and government agencies in 80 countries. These companies and agencies can leverage their entire organisation, from the contact centre to the back office, to improve the overall customer experience. As a result, Genesys helps stop customer frustration, drive efficiency, and accelerate business innovation. For more information, go to or visit the industry blog at About SpeechStorm SpeechStorm provides speech self-service and voice biometrics solutions that work alongside the contact centre, enabling callers to get what they need, faster and at their own convenience. Using the SpeechStorm inbound and outbound speech solutions suite, contact centres across the world are transforming their customer experience, reducing costs and improving service levels. Organisations including Irish telecoms giant, eircom, Dixons Stores Group, SITA, Northern Ireland Electricity, the National Blood Service and Allied Irish Banks rely on SpeechStorm solutions to underpin their contact centres and to improve the performance of their businesses. Backed by a professional services capability of more than 250 consultants, SpeechStorm is part of Kainos Software Limited. SpeechStorm has offices in the UK and Ireland. For more information please visit the corporate website on 29

30 Contacts For more information regarding the survey please contact SpeechStorm s PR agency: carina@sarumconsultancy.co.uk Jessica Davies Marketing Manager SpeechStorm Phone: +44 (0) j.davies@speechstorm.com Lucille Jackson Marketing Manager Genesys Telecommunications Laboratories-Europe Limited Phone: +44 (0) ljackson@genesyslab.com Professor Michael McTear School of Computing and Mathematics University of Ulster Phone: + 44 (0) mf.mctear@ulster.ac.uk 30