Amazon, PayPal, Google, Microsoft and Facebook have emerged as the preferred identity providers with the rise of Bring Your Own Identity (BYOID).
New Research from the Ponemon Institute shows that both the lines of business and IT departments see value in Bring Your Own Identity initiatives, where social networking or digital IDs are used for application login.
The groups also agree that more security is needed to increase BYOID adoption. The report, “The Identity Imperative for the Open Enterprise 2014,” examines business user and IT department attitudes toward BYOID.
CA Technologies, vice president, solution strategy, Asia Pacific and Japan, Vic Mankotia, said, in today’s application-driven economy, access to applications had to be simple and secure.
"BYOID is an increasingly popular option for simplifying access," he said.
"It can reduce the need to create new accounts for every site, which leads to registration fatigue and abandoned shopping carts."
“We are working to make sure we enhance BYOID security without adding friction or complexity.” The report, which covers two key Asia Pacific countries, India and Australia, provided several key insights into BYOID, including the current state of adoption, its perceived value, views toward the identity providers and how BYOID could be enhanced. It found BYOID deployment using social IDs was still in its infancy.
But interest is high, especially for mobile and web customer populations.
There is a high level of interest in BYOID and using social identities such as Facebook, LinkedIn or Yahoo, with 50 per cent of IT and 63 per cent of business users globally expressing high or very high interest and even higher amongst Australian business users at 74 per cent.
Customers engaging with the business via the Web and mobile device were highest rated for targeted digital identity engagement, eclipsing other populations such as job recruits, employees, contractors and retirees.
Respondents’ preferred identity provider varied based on the situation and region.
When asked what social ID was of most interest to their organisation, IT users ranked PayPal as the preferred identity provider across all regions.
Business user responses varied with Amazon edging out PayPal and Microsoft.
When asked what social ID respondents preferred as a consumer, Google was highest ranked among both IT users and business users globally but business users in Australia ranked Facebook the highest. Both IT and business users agreed that an important reason for BYOID adoption in their organisation was to achieve a stronger identity credential and get a higher level of confidence in the identity of the user (69 per cent and 65 per cent respectively), especially in Australia where 85 per cent of business users feel this way.
Business users in Australia also cited capturing attributes about users as the biggest benefit (93 per cent).
This indicates an evolving view of identity.
No longer viewed as simply a component for protecting data, identity is now seen as a value asset providing data that could drive incremental revenue and help maintain customers. The report found additional security developments could drive increased BYOID adoption.
The majority of IT and business users said “identity validation processes” would help increase BYOID adoption (72 per cent and 70 per cent respectively).
Implementing fraud risk engines also rated among the top three across both groups.
In Australia, business users feel that simplified user registration would help the most (85 per cent).
Only 27 per cent of business respondents believed formal accreditation of the identity provider was very important/essential, while 59 per cent of IT users believe formal accreditation is very important/essential. Ponemon Institute, chairman and founder, Dr Larry Ponemon, said a holistic examination of the attitudes uncovered in the research show two clear views of identity. “IT continues to take a traditional risk-based, security view of dealing with identities, while the business side takes a more value-based, customer-centric view of identity," he said.
"In order to gain the most value from any BYOID initiative, these two groups must collaborate and become allies for secure business growth.”