European Open Banking platform TrueLayer has launched a product that automates new customer account sign-up through Open Banking APIs, in light of research showing nearly half of those who begin creating an online account for a service, never finish signing up.
TrueLayer’s new product, called Signup+, uses bank-sourced data to verify a customer’s name, address and date of birth “in seconds” and allowing customers to make a secure deposit from their online bank.
Money transfer service Remitise, China-based trading platform Tiger Brokers and PayItMonthly are among the businesses that have already agreed to use Signup+.
Adebayo Familusi, CEO of Remitise, said that, traditionally, the onboarding process involves “manual, time-consuming task”, such as gathering and verifying personal information, conducting identity checks and establishing proof of address.
“This will improve the overall customer experience and increase new customer conversion by eliminating the need for them to manually input their personal data,” he added.
New research commissioned by TrueLayer and conducted by YouGov, found that four in 10 people start the process of creating an online account for a service, only to never complete sign-up.
When asked to submit information in response to a verification request, 46% of individuals drop off, and three-quarters of customers are only willing to spend 10 minutes, or less, on sign-up before giving up.
Francesco Simoneschi, CEO and co-founder of TrueLayer, said: “In financial services and beyond, clunky and inefficient sign-up processes lead to as much as 40% of potential revenues being lost.”
He added: “Using Open Banking technology in conjunction with real-time identity data, Signup+ automates the onboarding process in a way which hasn’t been possible before in the UK.
“Signup+ represents a new generation of use cases for Open Banking and brings onboarding to the forefront of the conversation about where Open Banking is headed in the future.”