Phone number- new digital identity
Number anonymization or number masking as it is called colloquially, is a simple solution that should be implemented in order to protect a customer’s privacy.
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We are living in the best of times and the worst of times. Social media has invaded most aspects of our personal and professional lives and made the world better connected, much to our pleasure. Yet it has also rendered us vulnerable to the risk of identity theft and cybercrime. All of us have an online identity. That identity used to be our email address. Today, it is our mobile phone number.
Phone number as the new digital identity
For a long time now, it has been predicted that phone calls will no longer hold relevance with respect to business communication. Yet, every single time, phone calls have emerged successful and a key driver of growth of businesses. Before we realize, it will have invaded almost all spheres of our existence from banking to business.
As of September 2017, India was registered having over 1.1 billion mobile phones for a population of 1.3 billion. These adoption rates are showing no signs of slowing down.
How many times have you been asked for your phone number to register for an app or a service in the last 6 months? It is not surprising that phone numbers are becoming the go-to choice as an online identity. Here are a few reasons why:
1. Phone numbers are exclusive and are able to provide businesses with a lot more information than an email address ever could
2. People hold onto their mobile numbers longer than email addresses.
3. Features like OTP make it harder to get away with fake phone numbers
4. Communication can be more personal and two way unlike through EDMs
5. Access to the customer is immediate, direct and can be customised
Therefore, most businesses rely on a phone number to identify customers.
Given that so much can be done through and with phone calls, the thought that lingers in our mind is “Are our phone numbers really safe?”
Risk of giving out your phone number
Despite all the reasons that businesses list for using phone number as a digital identity, there’s a serious risk of breach of privacy when phone numbers are shared.
The perils of making your phone number public are many- with identity theft, spamming and hacking being the most common. Not sharing the phone number is also not an option because of the ease of doing business that comes with it. Phone banking, social media, online shopping- basically all apps that constitute a greater part of our existence will run dry.
Verticals such as e-commerce, logistics, cabs-on-demand, and marketplaces ask for the customer’s phone number to be shared with a delivery agent, a driver, a vendor, etc. There is an average of three calls that a customer gets everyday for every delivery. They are usually made to check the customer’s availability or ask for directions. A number in this case, becomes a very key and reliable point of coordination between the service providers with centralized cloud solutions and the customer.
Every day, there is an alarming number of reports about delivery agents threatening the customers with their phone number. Take this traumatic instance- a pizza delivery boy listed the name and number of his customer under escort services because she was unhappy with the order, cancelled it and refused to pay him. The woman began receiving calls from people, and finally the matter was dealt with when the police intervened by tracking down the pizza delivery boy.
Right to privacy
Ideally, the customers should not have to go through this ordeal. Right to Privacy is a fundamental right. Yet, many businesses think that employing security measures to shield sensitive information such as the customer’s phone number is optional. Thinking about the customer’s experience in today’s day and age, such solutions are not an option, but hold the key to running a functional business.
Simple way to protect customer privacy - number anonymization
Number anonymization or number masking as it is called colloquially, is a simple solution that should be implemented in order to protect a customer’s privacy. Cloud telephony can help you route calls between your employees or agents without revealing either party’s phone number.
Privacy and brand image
Most customers admit to swaying strongly towards brands that use services like number masking to protect their identity. A recent survey revealed that, 65% of the respondents said that it made them more confident about a brand that implements security solutions such as number masking. As a business, it is a way of telling the customer that you care. This boosts brand image, and brand value; while also cultivating customer loyalty.
Need for Data protection laws in India
Data protection in India is driven by the Information Technology Amendment Act, 2008 (ITAA). Rectification for failure to protect data was brought in with an amendment in 2008, which states the liability of a company to compensate in case of laxity in nurturing and securing the “sensitive data”. The problem however is, the Act fails to define “sensitive data”. In countries like the USA, data privacy is not highly legislated or regulated. The European Union, however, is very stringent in protecting personal data. Common rules have been laid out to ensure that your personal information enjoys the highest level of protection everywhere in the EU. It is about time we took a leaf from the EU’s book and let companies grow, without compromising on customer privacy.
More and more businesses should switch to platforms which protect the identity of the end user. Privacy and anonymity are critical aspects that a consumer of the services should be getting. Protecting sensitive data is the responsibility of the service provider. With emergence of cloud technologies, being compliant with necessary regulations and building in ‘Privacy by design’ into the product development pipeline goes a long way into solving customer issues.
