News & Views - Savantor
You are here:
/
/
/
Consumer data – high volume

Consumer data – high volume, high risk

Sunday, 09 August 2015
A recent report commissioned by Payments UK – "The Future of Payments" produced by Consult Hyperion – shares a view of what the payments world could look like over the next five-to-ten years. One of the paper's predictions is that there will be "substantial developments in the information available to customers, and further improvements for retailers" within the next five years. It's hard to disagree with this vision. The opportunities for value-add services within existing payments infrastructures are severely limited. Retaining more meta-data about a payment and making it accessible is one relatively simple way to offer just a little more. Payment solutions have regulatory controls that stipulate the levels of security around payment information. This doesn't, however, cover the vast majority of meta-data that a retailer is able to capture about a customer. In February 2012, the NY Times published an article "How Companies Learn Your Secrets" that, among other things, described how the simple act of capturing and analysing a person's shopping habits is used to enrich what a retailer knows about its customers. Therefore, the amount information held by a service provider or retailer is, legally, not restricted solely to the data that a consumer either surrenders to them or explicitly gives permission for them to hold. It is likely that the majority of consumers would be horrified if they fully understood what information is held by those whose services they use and how that information is or can be used. This extended information is currently naturally compartmentalised by retailer – the entity which captures and enriches the data. Unfortunately, reports of high-profile data breaches are on the increase (albeit slowly at the moment) and even some core technologies are under attack. Reaction to the most recent data breach, at Ashley Madison, has been focussed on the data that was released, its context and the potential risk to customers based on the nature of the site (e.g. blackmail). Credit card and transaction information itself has remained largely anonymous to the casual browser. The Ashley Madison data does, however, provide additional enrichment opportunities for holders of other related data. It can provide links between email addresses, transactions and locations as well as filtering criteria on matching card numbers to users. Considering a deliberately extreme example, if the data breaches now escalate and cascade, venting more "profile" type and transaction data into the public domain, a far more global picture can become available of an individual. As this picture grows, so does the risk of fraud and the circumvention of existing methods of identity verification. At some point, it can no longer be assumed that "private" data is indeed only known to the customer. All this amounts to an increasing risk to the payments industry and it can no longer rely on insular security regulation for merchants and payment processors. The solution is not obvious; consumers continue to share information with various online service providers and financial services providers are understandably keen to limit the number of hoops customers have to jump through to use their financial products. However, the world is rapidly changing, as is consumer behaviour, and the industry needs to be wary of and proactive in addressing the risks presented by these changes day on day.
Savantor Services

Savantor Services

Savantor services are tailored to Client needs based on our core service areas

Specialist Resourcing Payments Strategy Platform Transition Operational Efficiency
Savantor Services

Job Opportunities

Consulting and contracting roles in the payments, mobile and banking arena within the UK and across Europe

View more
Savantor Services

Savantor Views

Find out more from our Savantor brochures, MarketEye back copies and Industry opinion

Collateral Market Eye News & Views Sign Up to receive MarketEye

Client Quotes

Payments Workshop Material

"Savantor helped ACI build a payments onboarding workshop for new technical staff in ACI EMEA. Their extensive experience took our outline and built a great starting presentation of industry facts that we have now customised further into a half day session that is used for all new joiners. Our Americas and APAC regions have also taken the material and customised it for their regions. A great job by Savantor has meant new joiners to ACI hit the ground running."

Richard Sanders, Principal Solution Consultant - ACI - Worldwide EMEA

Interchange Review

"Savantor did a superb job in confirming what we believed was an area of weakness. The detail we now have will enable us to agree internally what we need to do to improve structure, control and income. Nationwide management were very impressed with the quality of the Savantor team."

Adam Slater, Senior Manager - Banking - Nationwide Building Society - UK

New Payments Initiative

"In moving our new initiative into reality, we required specialist payments knowledge and forward thinking in the retail sector. Savantor supplied this and provided very effective guidance throughout. We enjoyed working with them."

Sophie High, Head of Innovation Delivery - Cancer Research UK

Acquirer Strategy and Operating Model

"Savantor brought an effective blend of European acquirer market expertise and transaction processing solution design. Their experts quickly forged strong working relationships with our team. We enjoyed working with them to create our future acquirer strategy."

Mikko Hyttinen, SVP - Lending Services - OP-Pohjola Group - Finland

Payments Platform Strategy and Sourcing

"We were in urgent need of external independent expertise to supplement our internal resources. Senior consultants had to quickly integrate with our team and actively contribute. Their experts quickly forged strong working relationships and delivered to our brief. We enjoyed working with them to develop our future platform strategy."

Evert R Fekkes, SVP - Payment & Savings Services - Rabobank Nederland

Acquirer Risk Assessment

"The expertise provided by Savantor has greatly helped us evaluate our risk position and to take the right steps in managing our future risks. Strong, disciplined planning and an ongoing willingness to work closely with our staff played an enormous part in making this a very successful well-delivered project which will greatly help us in achieving our business goals."

Mark Healy, Chief Risk Officer - NEOVIA Financial - UK

Moneris Solutions

"Savantor did an outstanding job of the review and I received nothing but positive feedback on the interaction with our management team."

Jeff Guthri, COO - Moneris Solutions - Canada

Acquirer Specialist Support

"OP-Pohjola Group has used Savantors help in numerous different specialist projects differing from risk assessment to management tool creation to transaction analysis. We have been very satisfied by the quality of the service provided by Savantor's experts."

Kai Lindstrom, Head of Acquiring - OP-Services Ltd - Finland

Clients - Request Support

Send us a support request and one of our specialists will be in contact to assist you.

Consultants – Upload your CV

Register your CV with us and gain access to a range of job opportunities through our online job search portal.