Why your Business should be using an Identity provider in 2022

Every online business needs an identity provider to help forestall fraud and data breaches. IDPs are easy and cheap to manage.

A laptop secured with a password and username

In 2022, businesses have moved mainly online. What might once have been handled in an office or in-store is now taken care of over the internet, posing some unique challenges.

Foremost among them are the customer experience and online security, which frequently go hand in hand.

If a customer doesn't feel safe online, they will not have a positive experience using your business site. However, if your security protocols are too stringent, this can become time-consuming and laborious, negatively affecting their opinion of your brand.

The trick is to find a middle ground between the two, and an identity provider (IdP) is one tool that can help. We look at what an identity provider is and how it could benefit your business.  

Improved customer experience

Before we go any further, you may be asking, 'what is an IdP'? Essentially, it is a system that creates, manages and stores digital identities to use one or more authentication factors to verify a user is who they claim to be. The idea is to guard against intrusion and improve the customer experience.

The latter is achieved by making it easier to create a new account. Rather than having to select a unique username and password, the system can utilise the information that's already been collected to verify the identity of the individual.

This means they can begin using the service sooner, and fewer steps are required. An example would be a retail website allowing you to sign in with Google or Facebook when you visit for the first time.  

From Pixabay.

Better site security

IdPs can also help to improve authentication security. That’s because they make it simple to verify a user’s identity even before they’re asked to create an account on your website.

For many companies, especially smaller ventures with more limited budgets, the security measures inbuilt into IdPs are far more advanced than anything you could develop yourself.

As they enable you to verify the user across multiple networks, the likelihood of fraud is notably reduced.

Reduced reliance on passwords

In addition, IdPs can reduce the need for passwords. If you’re questioning what the issue with these is, they now pose a genuine security risk.

According to DataProt, an incredible 51 per cent of people reuse the same word or phrase, meaning that if this is revealed as part of a data leak, all of their online accounts are at risk.

For this reason, it’s a good idea to reduce your website’s reliance on them as much as possible. IdPs can help as they often rely on other authentication methods, such as biometrics and/or two-step verification.

When it comes to strengthening your online presence in 2022, there are two key areas you need to focus on: the customer experience and your onsite security. IdPs can assist with both, making them well worth looking into for savvy business owners who want to ensure continued growth and success moving forward.