In the present, the logistics business has taken on an increasingly significant role due to the borderless world of the internet that allows everyone to order items from around the globe with just a simple screen click. However, with the vast number of users, sometimes logistics businesses might encounter data management errors or legal violations. Hence, eKYC (Electronic Know Your Customer) identity verification plays a crucial role in enhancing accuracy and addressing various challenges that might arise in the logistics business. Today, we have compiled 5 reasons why logistics businesses must prioritize identity verification. Let’s take a look
5 reasons why logistics businesses
must prioritize identity verification (eKYC)
1. Enhance the security of product delivery with advanced identity verification
As we know, logistics services in the digital age have a large number of users and handle a significant volume of package deliveries, making it challenging to scrutinize the origins of products and senders. Therefore, identity verification through eKYC can enhance the security of product delivery. By verifying the identity of the sender before each dispatch, service providers or customers can check the sender’s details, preventing the risk associated with the use of counterfeit ID cards for identity confirmation.
Furthermore, it helps mitigate risks in cases where the sender delivers illegal items or products that don’t match the customer’s order. Service providers might blacklist these senders to prevent future misconduct, giving customers increased confidence in the delivery service.
2. Increase accuracy in data verification
Due to the vast amount of data associated with logistics services, there’s a chance for operational errors, such as incorrect sender details or misdelivered products. Therefore, identity verification through eKYC can help reduce such mistakes. Using OCR technology to read the sender’s information and tracking data to monitor the product’s status from that specific sender allows the recipient to check the order status continually. This ensures they receive the correct product on time.
3. Save time and resources in operations
Using eKYC for identity verification not only helps reduce operational errors but also saves time and organizational resources. Since all the verified sender information is stored in a database, it becomes easy and convenient to search quickly, streamlining work processes more efficiently.
Apart from saving operational time, eKYC identity verification also helps reduce organizational resources. It reduces the space needed for storing large amounts of data and decreases paper usage for printing various documents. This enables organizations to conserve resources and reduce unnecessary expenses
4. Maintain the organization’s reputation and credibility
For logistics service providers, reputation and service quality are vital, given the vast number of people using their services, both domestically and internationally. Accuracy in operations is crucial because if errors occur, it can harm both the customers and the organization’s reputation, discouraging people from using the service again.
Using eKYC identity verification helps maintain the operational standards of the organization, enabling them to manage vast amounts of data. This gives customers confidence that they will receive accurate, prompt, and efficient services.
5. Storing Customer Data for Target Audience Analysis
Another benefit of identity verification through eKYC is that organizations can store data of their users, especially the senders. Beyond just collecting basic information, the eKYC system also serves to analyze the obtained data to design services suitable for various target groups. The system analyzes usage patterns and types of target groups to recommend those who might be interested. This enhances the service level to better cater to the needs of the product senders.
It is evident that the identity verification via eKYC plays a vital role in the logistics business. Not only does it help reduce errors, enhance accuracy, and save time and resources in operations, but it also elevates the efficiency of service delivery. Choosing the right eKYC service provider is crucial for organizations. We recommend APPMAN E-KYC, an identity verification service that utilizes technology to retrieve data from national ID cards or passports quickly and accurately with a 98.7% precision rate. It supports both Thai and English languages.