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Online Age Verification: How E-commerce Sector Protects their Business from Potential Risks

The online age verification industry is growing as e-commerce companies must protect themselves from potential risks. Independent identity and facial verification products exist on the market, but only a few can provide age verification, identity verification, and facial recognition.

Providers of top age verification systems offer all three of these services. It helps protect your business from losses and risks.

Age verification is a service that allows companies to verify the age of their customers. It helps businesses stay compliant with laws and regulations. By complying with the law, business owners can avoid fines and lawsuits.

Most online retailers use a form that customers must fill out before they can complete a buy. Some customers may feel concerned about disclosing their information for identification purposes. People are also asked to upload photos of themselves holding their credit cards.

As an alternative to conventional and manual age verification practices, we now have sophisticated identity verification solutions that are a more efficient and faster way to protect e-commerce sites from fraud. Users are verified and blocked using sophisticated algorithms designed and deployed by these identity verification companies.

E-Commerce and the Need for Age Verification

E-commerce is a term used to refer to the buying and selling of goods or services using computer networks. It includes a variety of activities, including:

  • Online Ordering
  • Online Payment
  • Online Shopping
  • Internet Marketing

With the advent of the internet, e-commerce has become a significant part of businesses in many countries. E-commerce allows companies to reach customers around the world.

However, there are some risks associated with doing business online. With this growth comes the need to protect businesses from potential hazards. One of these risks is identity theft. Identity theft can wreak havoc on a business’s reputation and result in legal action.

Online businesses need to take steps to protect themselves from such potential problems. Many websites now use age verification systems to avoid that situation. These systems help ensure that only those over the legally required age can buy products and services via online transactions.

The e-commerce industry has gained a lot of perks by integrating with identity validation solutions over the last decade. With cybercrime on the rise, businesses now compulsorily need solutions for customer verification. Online age verification determines whether the consumer is old enough to transact.

Here is a look at age verification software, how it works, and why we need it.

How does Age Verification Help?

Age verification is checking a person’s age to ensure they are of legal age. Online businesses closely integrate with age verification systems to protect themselves from risks.

Age verification is a crucial part of any business. It ensures that minors do not use your products or services if you do not intend to sell to them. It helps protect all users from underaged persons accessing age-restricted websites or apps.

The main challenges faced by the E-commerce sector dealing with age-restricted goods and services include the following:

  • The lack of an effective system that can verify ages.
  • High costs associated with implementing in-house age verification systems.
  • Lack of awareness among users about the need for age verification systems.

There are many identity verification solutions you can use for age verification. Evaluate different solutions and choose the best technology for your business needs.

With the e-commerce sector growing at a staggering rate, businesses must protect themselves from fraud to sustain themselves in the market. To protect your business, the first step is ensuring that your customers are who they say they are. Tools for such include:

  • Biometrics (fingerprints or facial recognition)
  • SMS verification (texting a code to confirm identity)
  • Phone call verification (calling a phone number with the correct area code)
  • Social media login (logging in using Facebook or Google)

As technology and the presence of online fraudsters grow at an accelerated rate, businesses make it mandatory to pass through various checkpoints to avoid mishappenings and financial risks.

Under the Hood of the Age Verification Process

The most common method used for age verification is age-verification software. It can be installed on your website and will confirm whether or not someone has provided them with valid proof of their age.

There are many reasons why e-commerce sellers should consider using age verification tools, including:

  • Protection from liability for selling to minors (depending on where you live).
  • Protection from fraudulent purchases by minors or scammers who claim to be above the required age.
  • Increased trust from customers who don’t want their personal information sold or shared with third parties

Doing business online requires you to protect yourself from legal issues and liability by ensuring that only adults can access your age-restricted products and services.

Incorporating Age Verification into Your System

The following steps will guide you through incorporating age verification into your system:

  • Choose a method of age verification that suits your needs and customer base.
  • Educate your employees about the system, how it works, and what they need to do if they encounter a minor who is trying to purchase an age-restricted item.
  • Ensure all your e-commerce channels have been configured correctly so that they accept only valid birth dates and exclude non-date characters (such as letters).
  • Ensure your visitors know what to expect from your services and warn them well in advance if you are about to offer age-restricted services.

But how do you do all these? You can’t just ask for it; that’s against the law. Instead, it would be best if you had a reliable way to verify ages. This means keeping track of all transactions and ensuring they match up with the age of your buyers.

The best way to use age verification software is by getting in touch with a provider. They will be able to tell you what kind of setup works best for your business model. Also, how much will it cost, and when will it be ready for implementation?

Finding someone who understands what you need from this service would be best. Hire someone who has experience with e-commerce.

Final Thoughts

Age verification technology is helping e-commerce sites protect themselves from potential risks, providing their customers with a secure shopping experience.

Online age verification is a relatively simple system that helps businesses better manage their intellectual property and information. This system’s implementation has also helped minimize the risk of fraud and theft by third parties due to its verified information on the customers. Age verification systems are a win-win for both businesses and customers.


Written By

Dan has hands-on experience in digital marketing since 2007. He has been building teams and coaching others to foster innovation and solve real-time problems. Dan also enjoys photography and traveling.

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