Digital IDs Make the Great Grocery Balancing Act Possible

Restaurants and supermarkets are under pressure to deliver food quickly, making it essential to have accurate, real-time online fraud filters and payment security tools to verify customers’ identities and keep bad actors out.

The October Digital Identity Tracker® explores how players in the restaurant and supermarket space can leverage innovative digital identity verification measures to combat fraud.

Around the Digital Identity Landscape

Recent research confirmed that 5,258 data breaches occurred across 16 different industries in four regions of the world, a steep rise from the 3,950 confirmed breaches that happened a year ago. Analysts estimated that 86 percent of these breaches were financially motivated, and nearly half of security and IT executives polled said their top priority is protecting sensitive data. Threats are growing in scale and sophistication, highlighting an urgent need for more robust solutions across sectors.

The United States Federal Trade Commission recently reported that identity theft cases doubled in 2020 as fraudsters claimed billions of dollars in unemployment benefits in others’ names. Governments that relied heavily on in-person verification methods found that last-minute remote solutions were not up to the task. Many retailers similarly found themselves unprepared to manage eCommerce security. Tapping a combination of artificial intelligence (AI)-based analytics and biometric security is therefore necessary to establish robust digital identities.

AI and machine learning (ML) are helping retailers and online platforms detect fraud risk. Cyberthieves have stepped up their games too, however, using increasingly sophisticated techniques such as deepfakes, images or videos manipulated with someone else’s likeness and synthetic identities, fake credentials for nonexistent individuals. Merchants looking to protect their customers’ data can turn to biometrics and location- and device-level data to enable repeat transactions without introducing too much friction.

For more on these stories and other digital ID headlines, read the Trackerʼs News and Trends section.

How Dumpling Uses Personal Service to Reduce Grocery Delivery Platform Fraud

Revenues have exploded for grocery delivery services, and this growth even predates the onset of the pandemic. The accounts used to receive contactless deliveries are increasingly under attack from fraudsters, however. Customers may want speedy service, but delivery companies face the challenge of ensuring quick delivery without compromising security. In this month’s Feature Story, Joel Shapiro, co-founder of Dumpling, discusses how the West Coast-based personal grocery shopping and delivery platform has managed to keep its fraud rate at 0.1 percent, one-third less than the industry average.

To get the full story, download the Tracker.

Deep Dive: How Digital ID Verification Innovations Can Keep Food Delivery Services’ and Customers’ Data Safe

Consumers lost $56 billion to identity fraud last year as crooks stole credentials from UberEats, Grubhub, DoorDash and Instacart. While shoppers prefer the convenience of food deliveries, there’s a flourishing criminal market for contactless delivery account data. This month’s Deep Dive explores how increasingly varied and sophisticated food delivery fraud calls for innovative solutions that provide a real-time, comprehensive approach to tackle the sector’s unique vulnerabilities. Read the full Deep Dive in the Tracker.

About the Tracker

The October Digital Identity Tracker®, a Jumio collaboration, offers coverage of the most recent news and trends in the digital ID ecosystem.