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Study: Thailand has digital trust issues

Thailand ranks eighth out of 10 countries in the Digital Trust Index in Asia-Pacific, according to the Fraud Management Insights 2017 study.

The survey, commissioned by Experian, an LSE-listed information service, and conducted by research firm IDC, studied 3,200 customers of 80 organisations in the financial, telecom and retail sectors, each with revenue of US$10 million (330.7 million baht) or more.

The study conducted surveys in New Zealand, Japan, Australia, India, China, Hong Kong, Singapore, Indonesia, Thailand and Vietnam.

“The rapid increase of digital technology adoption makes trust one of the most important aspects for business organisations,” said Nick Wilde, head of fraud and identity at Experian Asia-Pacific.

In the latest Digital Trust Index, consumers in Thailand gave service providers a score that was good for eight place after New Zealand, Japan, Australia, India, China, Vietnam and Hong Kong, topping only Singapore and Indonesia.

Thailand scored a mere 2.3 out of 10 because of a high rate of fraud, while customers said they did not receive good help after experiencing fraud.

Of the three sectors in Thailand, telecom was rated the most poorly by customers, with 0.81 out of 10, compared with 2.14 in all of Asia-Pacific, followed by retail (2.36 versus 2.4 in the region) and financial (3.8 versus 4.95).

Most fraud is perpetrated by creative criminals who steal customers’ identities and take over their accounts.

In telecom, criminals might order a mobile phone online and then disappear, or steal a customer’s account and use services without paying for them.

Mr Wilde said Experian is shifting its focus in online fraud detection from Europe and the US to Southeast Asia and in particular Thailand, due to its strong economy and mobile-first mindset.

Creative criminal gangs are targeting victims in the region as more people sign up for digital services.

“Thailand and Indonesia are the top two markets for us in this area,” Mr Wilde said.

Experian will soon introduce its cloud-based fraud prevention platform to provide subscription-based service to startups, fintech firms and SMEs. The company has invested US$5 million in the system and a local data centre.

Thailand has made strides to tackle fraud: biometric SIM card verification in telecom, national digital identification and electronic verification of customers, among other measures.

But the country still lacks a data protection law.

Mr Wilde said artificial intelligence and biometrics are two trends that will help lessen fraud.

“Sharing of fraud data across key industries is also helpful for mitigating risks,” he said.

Source: https://www.bangkokpost.com/business/news/1360175/study-thailand-has-digital-trust-issues