GENERATION SUPERCONNECTED - THE COMING USER AUTHENTICATION SHIFT - PYMNTS.com
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JULY 2021
Generation Superconnected: The Coming User Authentication Shift Report, a collaboration between PYMNTS and Nok Nok
Labs, presents findings from a survey of 2,127 adult consumers on their preferences for sharing personal information with
merchants and digital platforms and their concerns about data security. The report reveals how consumers value the safety of
their personal information and why data security is key to establishing consumer trust.
GENERATION
SUPERCONNECTED
THE COMING USER AUTHENTICATION SHIFT
REPORT
01 | Introduction
INTRODUCTION
N
GENERATION ew PYMNTS research shows that today’s consumer is “superconnected,” shopping,
banking and even working online using multiple devices while accessing digital
SUPERCONNECTED channels to socialize and stream content. Consumers’ digital identities are
now inextricably entwined with the physical world — every consumer-merchant
THE COMING USER AUTHENTICATION SHIFT
REPORT interaction, digital or in-store, leaves a trail of data behind, representing an exhaustive
catalog of how consumers live, work, purchase and bank. PYMNTS’ research found that half of
consumers have used digital wallets to shop and manage their money, and almost half of these
shoppers have increased their use of these tools in the last 12 months. As consumers increase
their use of online and mobile banking tools, however, their exposure to new, device-based
security risks rises.1
TABLE OF CONTENTS
The variety and complexity of security thetic identities with personal information
threats are well-known in the financial ser- found on online accounts and then resell
vices sector, yet a disconnect exists between the lot on the dark web to other criminals in
consumer interest in enhanced digital secu- seconds, well before a breach is even noticed.
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 02 rity and industry-wide adoption of modern Personal data theft through hacking is big
user authentication tools. Today’s consumers business, costing consumers $43 billion in
also value ease of use and frictionless inter- 2020 alone, and password theft is a fast-
PART I: actions whenever possible when they use track on-ramp to cybercrime.3
The New Generation Of Digital Platform Superusers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 03 financial products. Many banks and financial
institutions nevertheless still use passwords Financial institutions (FIs) interested in
as the exclusive means of access to their boosting loyalty must provide frictionless
Who Are Superconnected Consumers? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 08 customers’ financial accounts and most sen- customer experiences at scale while pro-
sitive personal data. tecting their customers’ sensitive data by
implementing safeguards, including a user
PART II: There are numerous risks associated with a authentication solution that does not com-
The Normalization Of Payment Innovation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11 password-based security system, according promise security for convenience.4
to global law enforcement.2 Malware down-
loaded with a single click on a compromised Generation Superconnected: The Coming
email can install a keystroke logger that User Authentication Shift Report, a collabo-
PART III:
may capture and transmit password data in ration between PYMNTS and Nok Nok Labs,
It Is Time For A Change . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13 presents findings from a survey of 2,127 adult
seconds to cybercriminals. Consumers’ data
might be stolen along with a purse or a wallet consumers on their preferences for sharing
if they have noted their passwords down on personal information with merchants and
Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
paper or on a notes app or used an easy- digital platforms and their concerns about
to-guess combination of characters based data security. The report presents an over-
on personal data, such as birthdates. Unfor- view of how consumer sentiment about data
Methodology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
tunately, a stolen password will do far more security influences their choice of digital plat-
harm faster than a stolen wallet. Criminals forms and retailers as well as their interest in
can steal valuable personal data, create syn- stronger data security measures when using
digital tools.
1 Author unknown. Increased Use of Mobile Banking Apps Could Lead to Exploitation. FBI. 2020. https://www.ic3.gov/Media/Y2020/PSA200610. Accessed July 2021.
2 Author unknown. Cyberthreats are constantly evolving in order to take advantage of online behaviour and trends; The COVID-19 outbreak is no exception. INTERPOL. https://www.
Generation Superconnected: The Coming User Authentication Shift Report was done in collaboration with Nok Nok Labs, interpol.int/en/Crimes/Cybercrime/COVID-19-cyberthreats. Accessed July 2021.
and PYMNTS is grateful for the company’s support and insight. PYMNTS.com retains full editorial control over the following 3 Hershman, E. Total Identity Fraud Losses Soar to $56 Billion in 2020. Businesswire. 2021. https://www.businesswire.com/news/home/20210323005370/en/Total-Identity-Fraud-Losses-
Soar-to-56-Billion-in-2020. Accessed July 2021.
findings, methodology and data analysis.
4 Nok Nok Labs CEO: Online Customers Give Better Identity Signals Than Fraudsters. PYMNTS.com. https://www.pymnts.com/pymnts-post/identity/2021/nok-nok-ceo-online-
© 2021 PYMNTS.com All Rights Reserved
customers-give-better-identity-signals-than-fraudsters/?c=nok-nok. Accessed July 2021.
Generation Superconnected: The Coming User Authentication Shift Report | 04
FIGURE 2:
CHANGES IN USAGE OF ONLINE MOBILE BANKING OPTIONS
PART I: Use of online mobile banking options, by generation and income
THE NEW GENERATION OF DIGITAL PLATFORM SUPERUSERS
Annual income Generation
Generation Superconnected
Baby
Under $50K $50K - $100K $100K+ Generation Z Millennials Bridge Generation X boomers and
millennials seniors
Increased 42.3% 49.8% 52.6% 53.9% 60.0% 53.2% 48.4% 39.6%
Younger, affluent and urban consumers are FIGURE 1:
CHANGES IN USAGE OF ONLINE OR MOBILE BANKING
increasing their use of digital and mobile Use of online or mobile banking over the last 12 months, by
Remained 54.8% 48.9% 46.0% 42.1% 38.7% 45.3% 50.3% 58.4%
banking and are the most interested in new connected persona type
digital security measures. Millennials were Superconnected (N = 730)
Decreased 2.9% 1.3% 1.5% 4.0% 1.3% 1.5% 1.4% 2.0%
the first digital-native generation. They are 42.9% 55.8%
likely to own multiple connected devices Connected-me (N = 220) Source: PYMNTS | Nok Nok Labs
that provide seamless interactivity between Generation Superconnected: The Coming User Authentication Shift Report
42.9% 54.6%
shopping platforms, payment methods and
their banks, saving time and allowing them
Smartphone-centric (N = 62) PYMNTS found that 24 percent of all respondents would like to use both 2FA and 3FA, with bridge
to make purchases more easily, such as 51.0% 47.3% millennials and high-income earners reporting the greatest interest in enhanced security.
by voice command. Consumers who have Connected-home (N = 376)
increased their use of online and mobile 56.9% 41.8% FIGURE 3:
banking apps are also more likely to own None (N = 85) CONSUMER INTEREST IN 2FA AND 3FA
3A: Interest in 2FA and 3FA, by generation 3B: Interest in 2FA and 3FA, by annual income
more connected devices than the rest. Our 67.6% 24.7%
study showed that 60 percent of millennials Over $100K
Baby boomers and seniors 49.3%
and more than half of high-income earners 17.4% 28.2%
35.7%
have increased their use of online and mobile 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 14.9% 17.2% $50K - 100K
banking. Superconnected consumers, those Generation X 40.9%
13.1% 23.8%
Decreased 46.4%
who have six or more connected devices, are Remained 16.0% 27.6% Under $50K
convenience-focused, and their increasing Increased Bridge millennials 38.3%
13.9% 20.2%
adoption of digital banking highlights their 48.8%
9.7% 35.5%
comfort with digital tools. Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
Millennials
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
49.7%
Along with younger consumers, the affluent 13.8% 31.1%
and urban dwellers are the most interested Generation Z
“Very” or “extremely” interested in 2FA
“Very” or “extremely” interested in both 2FA and 3FA
47.5%
in enhanced security measures, such as the 14.8% 26.3% “Very” or “extremely” interested in 3FA
two-factor authentication (2FA) or three-
factor authentication (3FA) methods that Source: PYMNTS | Nok Nok Labs
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Generation Superconnected: The Coming User Authentication Shift Report
power passwordless authentication.
“Very” or “extremely” interested in 2FA
“Very” or “extremely” interested in both 2FA and 3FA
“Very” or “extremely” interested in 3FA
© 2021 PYMNTS.com All Rights Reserved
05 | Introduction
Part I: The New Generation Of Digital Platform Superusers Generation Superconnected: The Coming User Authentication Shift Report | 06
Consumers in urban areas or larger towns show highly interested in 3FA. Consumers in these Urban consumers are also highly engaged and
a higher interest in enhanced security than areas are also far more comfortable using sophisticated users of digital banking tools and
those in rural areas. Our researchers found that passwordless authentication methods such as are more likely than rural residents to use them.
52 percent of those living in large cities and large facial scanning, which uses facial recognition, More than half of those who live in large cities or
urban areas are “very” or “extremely” interested among other data, to authenticate identities. large urban areas and those living in large towns
in using multifactor authentication (MFA), with Consumers in urban areas, large towns, small and small cities have also increased their use of
6 percent of this group reporting that they are cities and rural areas showed similar levels online or mobile banking in the last 12 months.
of interest in the use of fingerprint-based These groups tend to surpass rural and small
authentication. town residents in their use of passwordless
52%
FIGURE 4:
authentication methods.
CONSUMERS “VERY” OR “EXTREMELY” INTERESTED IN
MFA
4A: Share of consumers who are “very” or “extremely” 4A: Share of consumers who are “very” or “extremely” FIGURE 5:
interested, by area size interested, by type of MFA
CHANGES IN USAGE OF ONLINE OR MOBILE BANKING
Consumer use of online and mobile banking over the last 12
Large cities and large urban areas Entering a fingerprint on a registered device months, by area size
72.2% 0000000000
52.0%
14.2% 32.2%
72.9% 0000000000
Share of consumers in large cities
73.5% 0000000000
Increased
Large towns and small cities 52.0% 0000000000 and large urban areas who are
Using a facial scan from a registered device
43.1% 54.6% 0000000000
54.2% 0000000000
“very” or “extremely” interested in
42.2% 0000000000
17.0% 23.6% 54.4% 0000000000
41.8% 0000000000
multifactor authentication
Remained
Rural areas and small towns
46.9% 0000000000
36.5% Using a voice print on a registered device
43.0% 0000000000
13.9% 18.9% 39.9% 0000000000
56.2% 0000000000
38.6% 0000000000
33.1% 0000000000
Decreased
1.2% 00000
Other 2.7% 0000000000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
3.1% 0000000000
1.6% 0000000000
2.8% 0000000000
5.0% 0000000000
“Very” or “extremely” interested in 2FA
“Very” or “extremely” interested in both 2FA and 3FA
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
52%
“Very” or “extremely” interested in 3FA
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Large cities and large urban areas
Large towns and small cities
Large cities and large urban areas
Rural areas and small towns
Large towns and small cities
Rural areas and small towns
Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
Source: PYMNTS | Nok Nok Labs
Share of consumers in large
Generation Superconnected: The Coming User Authentication Shift Report
cities and urban areas who
increased their use of online
or mobile banking platforms
© 2021 PYMNTS.com All Rights Reserved
07 | Introduction
Part I: The New Generation Of Digital Platform Superusers Generation Superconnected: The Coming User Authentication Shift Report | 08
FIGURE 6: FIGURE 7:
USAGE OF DIGITAL APPLICATIONS USAGE OF LOGIN METHODS
Use of digital applications to pay for goods and services, by Most used login methods, by area size
area size
Digital wallet Username/password
58.7% 0000000000
69.8% 0000000000
51.2% 0000000000
75.3% 0000000000
39.7% 0000000000 77.7% 0000000000
Mobile payment app Phone-based fingerprint scan
51.6% 0000000000
25.3% 0000000000
42.1% 0000000000
25.3% 0000000000
26.7% 0000000000 17.3% 0000000000
QR code scanning Personal security questions
15.3% 0000000000
21.1% 0000000000
9.6% 0000000000
21.6% 0000000000
5.4% 0000000000 20.9% 0000000000
None Phone-based facial scan
24.7% 0000000000
22.0% 0000000000
32.3% 0000000000
17.4% 0000000000
47.8% 0000000000 14.14% 0000000000
Respond to email or text codes
18.6% 0000000000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 12.9% 0000000000
14.5% 0000000000
Large cities and large urban areas Answer knowledge-based questions
Large towns and small cities 10.6% 0000000000
9.8% 0000000000
Rural areas and small towns 6.9% 0000000000
Voice recognition
7.2% 0000000000
Source: PYMNTS | Nok Nok Labs 3.2% 0000000000
Generation Superconnected: The Coming User Authentication Shift Report 1.8% 0000000000
Other
1.5% 0000000000
0.0%
0.7% 00000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Large cities and large urban areas
Large towns and small cities
Rural areas and small towns
Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
© 2021 PYMNTS.com All Rights Reserved
09 | Introduction Generation Superconnected: The Coming User Authentication Shift Report | 10
WHO ARE during which many consumers transferred
in-store and in-person activities to online
SUPERCONNECTED channels, boosted superconnected con-
CONSUMERS? sumer engagement with digital payment
tools. PYMNTS’ research found that 60
percent of millennials and 53 percent of Superconnected Superconnected
Superconnected consumers are affluent, higher-income earners have increased 26.9% 0000000000
54.8% 0000000000
44.8% 0000000000
38.2% 0000000000
young and digitally savvy. They use multi- their use of online or mobile banking in the 48.8% 0000000000 20.3% 0000000000
49.8% 0000000000
ple devices to help them curate shopping, last 12 months. The superconnected are 39.3% 0000000000
lifestyle and entertainment experiences active shoppers driven by value for their Connected-home Connected-home
that meet their needs wherever they are — time: They spend more on convenient,
25.7%
20.7%
0000000000
0000000000
15.7%
24.1%
0000000000
0000000000
at home, in stores or at work.5 They were on-demand services, like quick-service
19.6%
17.9%
0000000000
0000000000
26.1% 0000000000
early adopters of digital wallets and remain restaurants, and tend to use an average
17.5% 0000000000
enthusiastic users of payment options of six devices to connect with the plat- Connected-me Connected-me
that save them time and remove friction forms and services that help them make
8.8%
15.3%
0000000000
0000000000
13.6%
14.6%
0000000000
0000000000
at checkout. The past year’s digital shift, the most of their time.6
14.1%
14.9%
0000000000
0000000000
10.3% 0000000000
18.5% 0000000000
Smartphone-centric Smartphone-centric
4.0% 0000000000
2.5% 0000000000
4.4% 0000000000
2.9% 0000000000
5.6% 0000000000 6.9% 0000000000
3.7%
Personas:
0000000000
FIGURE 8: 3.0% 0000000000
CONNECTED PERSONA
SUPERCONNECTED CONSUMERS
None None
Connected persona, by whole sample, share of generation and
13.0% 0000000000
2.8% 0000000000
income group 2.6% 0000000000
6.3% 0000000000
These consumers are the 39 percent who have 3.8%
4.8%
0000000000
0000000000
14.1% 0000000000
six or more connected devices. Superconnected 4.8% 0000000000
38.6% 0000000000
CONNECTED-HOME CONSUMERS Connected-home
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
21.7% 0000000000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
One-fifth of consumers belong to this group, Connected-me Over $100K
whose users own a voice-activated device or 12.9% 0000000000
Baby boomers and seniors $50K - 100K
Under $50K
smart appliance among their six or fewer con- Smartphone-centric Generation X
Bridge millennials
nected devices. 4.0% 0000000000
Millennials
None
Generation Z
CONNECTED-ME CONSUMERS 7.5% 0000000000
Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
Thirteen percent are connected-me consum-
ers, who own connected wearable devices 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
among their six or fewer devices.
SMARTPHONE-CENTRIC
This group consists of the 4 percent of con-
sumers who own only smartphones, and the
15 percent who own only a smartphone and a
tablet or computer. 5 Webster, K. How Consumers Live In The Connected Economy. PYMNTS.com. 2021. https://www.pymnts.com/commerce-connected/2021/how-consumers-live-in-the-connected-economy/.
Accessed July 2021.
6 The Rise Of eCommerce And Superconnected Consumers. PYMNTS.com. 2021. https://www.pymnts.com/today-in-data/2021/the-rise-of-ecommerce-and-superconnected-consumers/.
Accessed July 2021.
© 2021 PYMNTS.com All Rights Reserved
1111 | | Part
Introduction
II: The impact of an eventful year Generation Superconnected: The Coming User Authentication Shift Report | 12
PART II:
THE NORMALIZATION OF PAYMENT INNOVATION
FIGURE 10: FIGURE 11:
CHANGES IN USAGE OF ONLINE OR MOBILE BANKING USAGE OF DIGITAL APPLICATIONS
The digital shift’s next wave Change in use of online or mobile banking tools over the past Use of digital applications during the past year, by type of FI
12 months
National bank
31.5% 0000000000
Decreased 24.7% 0000000000
National and digital bank customers FIGURE 9: 24.9% 0000000000
1.8% 0000000000
USAGE OF DIGITAL APPLICATIONS TO PAY FOR
are widely embracing digital channels GOODS AND SERVICES
Reimained
49.4% 0000000000
and are increasing their adoption of in- Most used digital applications to pay for goods and Regional bank
services, by area size Increased 28.2% 0000000000
novative payment methods such as 48.8% 0000000000
19.0% 0000000000
15.5% 0000000000
QR codes. Our research found that half Digital wallet
58.7% 0000000000
of consumers increased their use of 51.2% 0000000000
39.7% 0000000000 Credit union
online or mobile banking over the last 12 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
19.0% 0000000000
Mobile payment app
months, with young adults and the af- 20.1% 0000000000
51.6% 0000000000
11.0% 0000000000
42.1%
fluent showing the greatest gains. Digital
0000000000
26.7% 0000000000 Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
money management is now part of con- QR code scanning Local bank
sumers’ toolkits for navigating online and 15.3%
9.6%
0000000000
0000000000
0.0%
15.2% 0000000000
in-store experiences. PYMNTS’ research 5.4% 0000000000
Digital banking app adoption rates saw the 16.3% 0000000000
found that 49 percent of consumers None
biggest gains at national and digital banks.
24.7% 0000000000
currently use digital wallets to pay for 32.3% 0000000000
Digital bank users have increased their use of Digital-only bank
47.8% 0000000000
20.9% 0000000000
goods and services, and 37 percent use mobile payment apps (31 percent) and digital 31.0% 0000000000
27.6% 0000000000
digital wallets to pay more than other wallets (28 percent) the most. QR codes have
method. Overall, digital wallets are the 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
seen the highest adoption rate during the past
Other
most used applications to pay for goods Large cities and large urban areas year. Twenty-seven percent of respondents 0.0%
and services. These numbers repre- Large towns and small cities
who use them have significantly increased their
21.5%
21.7%
0000000000
0000000000
Rural areas and small towns
sent 97.7 million and 74.9 million United use of QR codes, compared to 23 percent who
States consumers, respectively. have increased their use of mobile apps and 21
Source: PYMNTS | Nok Nok Labs 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Generation Superconnected: The Coming User Authentication Shift Report
percent who are now using digital wallets more
often. QR code adoption rose by 32 percent at QR code scanning
Half of the consumers who use digital national banks. Mobile payment app
Digital wallet
payment applications have increased
their use during the last 12 months. More
than 20 percent of consumers who use Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
each digital banking application have
“significantly” increased their use of each
app over the last 12 months.
© 2021 PYMNTS.com All Rights Reserved
13 | Introduction Generation Superconnected: The Coming User Authentication Shift Report | 13 Generation Superconnected: The Coming User Authentication Shift Report | 14
PART III:
IT IS TIME FOR A CHANGE
Consumers want secure alternatives to username
and password authentication — yesterday.
Our research found that three-quarters of consumers are using usernames and
passwords to access bank accounts, but only 42 percent prefer to do so.
FIGURE 12:
USAGE VERSUS PREFERENCE FOR LOGIN METHODS
12A: Login methods used by respondents who interact with 12B: Preferred login method among all consumers (percent
their banks using a mobile or online channel over complete responses)
Username/password Username/password
74.5% 0000000000 41.8% 0000000000
PIN code PIN code
N/A 18.2% 0000000000
Fingerprint only Fingerprint only
22.1% 0000000000 14.0% 0000000000
Personal security questions Personal security questions
21.2% 0000000000 N/A
Multifactor authentication Multifactor authentication
N/A 13.4% 0000000000
Facial scan only Facial scan only
17.6% 0000000000 11.0% 0000000000
Respond to email or text codes Respond to email or text codes
15.3% 0000000000 N/A
Answer knowledge-based questions Answer knowledge-based questions
8.9% 0000000000 N/A
Voiceprint only Voiceprint only
3.9% 0000000000 0.6% 00000
Other Other
0.7% 00000 0.9% 00000
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
© 2021 PYMNTS.com All Rights Reserved © 2021 PYMNTS.com All Rights Reserved
15 | Introduction
Part III: It Is Time For A Change Generation Superconnected: The Coming User Authentication Shift Report | 16
Despite only a minority of consumers express- 40.4%
Username/password
0000000000
29.3%
Username/password
0000000000
ing a clear preference for password-based 33.4%
25.4%
0000000000
0000000000
31.0%
33.2%
0000000000
0000000000
login, adoption rates for secure passwordless 24.3%
19.6%
0000000000
0000000000
37.2%
26.4%
0000000000
0000000000
authentication are relatively low. Less than
Fingerprint only
one-quarter of consumers use any type of bio- 4.3% 0000000000 Fingerprint only
10.8% 0000000000
12.6% 0000000000
metric tools such as fingerprints (22 percent), 18.3% 0000000000
10.5% 0000000000
15.4% 0000000000
13.3% 0000000000
facial scans (18 percent) or voice recognition (4 10.3% 0000000000
7.8% 0000000000
30%
1.2% 00000
percent). Superconnected consumers showed Face scan only
the lowest preference levels for username and 2.1%
9.3%
0000000000
0000000000 Face scan only
13.2% 0000000000
password logins and the highest levels of inter- 9.0%
11.0%
0000000000
0000000000 5.4% 0000000000
3.7%
est in passwordless user authentication.
0000000000
21.4% 0000000000
5.2% 0000000000
Voiceprint only 4.0% 0000000000
0.0%
0.0%
FIGURE 13: 0.4% 00000 Voiceprint only Portion of consumers earning more
0.3% 00000 0.2% 0
USAGE OF PREFERRED LOGIN METHODS 0.0% 0.0% than $100,000 who prefer and use
Share of consumers using their preferred login methods, by 0.0%
income, generation and connected persona 0.0% username/password logins
0.0%
Username/password
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
30.1% 0000000000
35.2% 0000000000
33.2% 0000000000
Baby boomers and seniors
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%
Fingerprint only
Generation X
11.9% 0000000000
Bridge millennials
9.2% 0000000000
6.7% 0000000000 Millennials Superconnected
Generation Z
Face scan only Connected-me
10.8% 0000000000 Smartphone-centric
20%
7.6% 0000000000
Connected-home
4.6% 0000000000
None
Voiceprint only
0.2% 00000
0.0%
0.0%
Source: PYMNTS | Nok Nok Labs
Generation Superconnected: The Coming User Authentication Shift Report
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Share of Generation Z consumers
who prefer and use usernames/
Over $100K passwords to log in to digital
$50K - 100K services
Under $50K
© 2021 PYMNTS.com All Rights ReservedCONCLUSION
O
nly a few consumers prefer usernames and passwords
to access their bank accounts. Those most interested in
new ways of managing their banking experiences include
superconnected consumers, who encompass Gen Z,
millennials and the affluent, along with national or digital bank
customers. Consumer interest in MFA, which facilitates secure, passwordless METHODOLOGY
bank account management, is highest among the same groups. FIs seeking
to improve customers’ experiences while enhancing digital security have
a large and growing potential audience in the country’s most engaged
customers — superconnected consumers.
Generation Superconnected: The Coming
User Authentication Shift Report is based on
responses to a census-balanced survey of
adult American consumers. The survey used
2,127 complete responses to a survey that
took an average of 6 minutes and 57 seconds
to complete. The survey asked questions
regarding user comfort with sharing personal
data and payment credentials with merchants
and digital platforms as well as consumers’
preferred methods of logging in to digital
platforms.
GENERATION
SUPERCONNECTED
THE COMING USER AUTHENTICATION SHIFT
REPORT
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