Visa’s ninth annual Stay Secure study indicates that 97% of consumers in Saudi Arabia are taking measures to secure digital payments, with a growing trust in the process. Although 43% have experienced scams, there has been a marked change in consumer behavior and increased awareness. Retailers and financial institutions play a vital role in maintaining consumer trust as the landscape of digital payments continues to expand.
A recent study by Visa, the ninth annual Stay Secure study, highlights a notable escalation in consumer awareness and proactive measures regarding digital payment security in Saudi Arabia (KSA). Surveying 5,800 adults across 17 CEMEA markets, it revealed that 97% of KSA consumers now actively engage in securing their online transactions, demonstrating a significant shift in consumer behavior as digital payments become increasingly prevalent.
The study indicates that while 43% of KSA respondents recognize their susceptibility to scams, there is a commendable uptick in the adoption of security measures and a preference for robust authentication. This trend underscores an evolution in consumer awareness, with individuals increasingly vigilant about identifying potential red flags in their online activities and verifying the authenticity of digital interactions.
Furthermore, the research portrays a promising outlook for digital payments in KSA. Notably, nearly three-quarters (73%) of respondents report substantial trust in digital payment platforms, while 77% expect to enhance their utilization of such services in the coming year. This reflects an evolving landscape where consumers are embracing the convenience of digital payments whilst prioritizing security.
Neil Fernandes, Head of Risk for Middle East and North Africa at Visa, stated, “Consumer education is our best defense against fraud, and industry collaboration makes this possible. As scams grow more sophisticated, the battle for security never stops.”
Ali Bailoun, Regional General Manager for Visa in KSA, emphasized the critical role that retailers and financial institutions play in fostering consumer trust through their ongoing efforts to promote security in digital transactions. The study’s insights provide actionable intelligence that can enhance strategies for trust-building within the industry and further support the Saudi government’s Vision 2030 cashless agenda.
The study divulges alarming details regarding scams, revealing that 43% of consumers in KSA have fallen victim, with 10% experiencing multiple incidents. Notably, 59% of respondents reported being solicited to make money transfers on behalf of others, highlighting the need for increased caution and awareness.
Additionally, while 62% of participants have confidence in their own fraud detection capabilities, 96% are concerned about their loved ones falling prey to scams, particularly emphasizing that Gen X users are perceived as most susceptible. The study also highlights consumer awareness of suspicious communications, with 71% identifying requests for password resets as significant red flags.
As digital payments continue to gain traction in KSA, consumers are predominantly favoring mobile payments (66%) and card payments (63%). Despite increased usage, there remains an opportunity to enhance the user experience, particularly concerning Peer-to-Peer (P2P) payment mechanisms, of which only 2% of users find straightforward to execute.
To cultivate trust in digital payment systems, Visa encourages retailers, banks, and payment processors to implement additional security protocols, such as confirming identities via text message codes and displaying security badges. A majority (88%) of consumers express a heightened sense of security when such measures are in place.
Visa has been actively engaged in combatting cyber threats and enhancing payment security through substantial investments in advanced AI and data infrastructure. In the preceding year, Visa blocked $40 billion in fraudulent payment attempts and implemented innovative solutions aimed at fraud prevention and risk management, thereby playing a pivotal role in securing the digital payment ecosystem.
The Visa Stay Secure study reveals an encouraging trend toward heightened awareness and precautionary measures among Saudi consumers regarding digital payments. As digital payments become more integral to commerce in KSA, the substantial trust demonstrated by consumers signifies a positive trajectory. Continuous industry collaboration and education are essential to combatting fraud and ensuring a secure digital payment environment as the industry evolves.
Original Source: techafricanews.com
