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Facial Recognition Technology is Transforming eCommerce

By Joey Ricard - September 8, 2020


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Do you know how Facebook tags your friends automatically in group pictures? Or, how just by smiling at CaliBurger’s kiosk monitor it’s possible to order food?

Well, it’s the facial recognition technology that is transforming people’s way of interaction with the outside world. Once limited to only the government, law enforcement, scientists, and security professionals, the application of face recognition technology in present-day businesses is prominent.

And the inclusion of facial recognition in eCommerce is undoubtedly one of the most futuristic sales-driving things that can happen to online businesses. After all, when used well, face recognition technology in eCommerce sites can be a powerful tool to drive sales. 

Take a look at this video on how facial recognition works with one of our eCommerce products SeedERP explained by our CEO, Joseph Ricard. This is a good example of how you can integrate some of this advanced technology to verify the identity of a person during an eCommerce transaction.



Why Facial Recognition in eCommerce Is Essential?




As a retailer if you don’t adapt to the changing customer demands, buyer behaviors, and consumer taste, ensuring the long-term success of your business is simply not possible.

The closure of retail chains like Toys”R”Us or Sport Chalet shows how important it is to have a strong online presence along with an offline one. Similarly, the popularity of online retailers like Amazon offering better user experience shows how crucial it is to adapt to the latest technologies to survive the online competition.

Yes, Amazon has already started experimenting with facial recognition and is planning to use it as an added security step. To ensure a pleasant and innovative shopping experience, just developing mobile apps are no longer enough.

To keep up with the present customer demands and preferences, implementing the latest technologies like artificial intelligence, augmented reality, customer relationship management is important too.

With Amazon already being on its quest for leading the online retail industry by incorporating image recognition in eCommerce, this multinational eCommerce company is sure to witness its sales skyrocketing.


Is Facial or Image Recognition Data Secure in eCommerce Sites?


The facial recognition technology has undeniable potentials in boosting user experience with online retailers. However, skeptics continue to worry about how safe it will be to replace passwords with face or image recognition in eCommerce.

According to Anthony Baker (Executive Technology Director of R/GA Tokyo), face recognition technology alone is not 100% secure. Instead of just facial recognition, according to him, combining the unique voice, face, and gestures of a person ensure complete reliability. 

But then, there is also the question of how secure will be the data of the consumers that paying with your face requires access to? Or is the quick convenience being enough to compromise one’s unique facial data? Well, these doubts among consumers have made even Forbes consider facial recognition being “prone to creepiness”.

To make facial recognition data secure, governments are yet to implement data security rules.


How Facial Recognition in eCommerce Are Helping Businesses?




If security threat, interruption or delay in online transactions, reluctance over re-entering payment details during checkout are the causes behind reduced sales on eCommerce sites, then the facial recognition technology is here to help the online retail industry to drive sales. Read on to find out how.


Reduce Abandoned Transactions


According to Statista, around 40% of eCommerce transactions are purchases made on impulse. Hence, any interruption during that makes a potential buyer rethink the purchase. In the US, one in every three online buyers ends up abandoning a transaction rather than re-entering payment details.

But thanks to facial payment technology, such delay or interruption related transaction drop-offs can be prevented now which automatically will improve sales.


Ensure Maximum Payment Security


The risks of online payment scams and fraud are pretty high for the online marketplace. Despite the different secure payment options in eCommerce sites, scammers end up finding loopholes to fraud the system in some way. Well, utilizing facial payment technology, eCommerce sites can secure payment.

Yes, as the users will proceed towards payments, facial recognition or real-time user identity verification will reduce the likelihood of a fraudulent transaction. Even when it comes to preventing the under-age community from purchasing age-restricted goods online, face pay can help online retailers from reputational damage or heavy fines.


Make Online Transactions Smoother


You might have paid through your debit/credit card, GooglePay, PayPal, ApplePay, even with cryptocurrency; but have you ever paid for your online transactions with your face?

Well, with the Chinese multinational eCommerce company Alibaba starting facial recognition payment option, ‘Smile to Pay’, it’s a cue for the eCommerce retailers to utilize facial recognition technology and offer to pay with your face option on their sites.

No need to enter card details or remember passwords; once eCommerce sites incorporate face recognition payment technology, approving online transactions will get easier and the payment process will get smoother.


Prevent Security Issues On Websites


Traditional online security measures and conventional verification methods require users to remember long passwords for accessing different accounts. However, with face recognition payment technology, users no longer need to remember any secret codes as their unique face-print will be enough to allow them access to their accounts.

Unlike the easily crack-able old authentication procedures, advanced face recognition technology helps to further tighten the security of online retail stores. 


Klizo Solutions - Contact Us


To know in detail about-face pay or how the different applications of face recognition technology can help your eCommerce store succeed in the future, reach out to us at Klizo Solutions, today.

Author Joey Ricard

Joey Ricard

Klizo Solutions was founded by Joseph Ricard, a serial entrepreneur from America who has spent over ten years working in India, developing innovative tech solutions, building good teams, and admirable processes. And today, he has a team of over 50 super-talented people with him and various high-level technologies developed in multiple frameworks to his credit.