African startups raised over $4 billion from investors in 2021, and 5 of those startups became unicorns in the same year — more than all the unicorns from previous years combined. 24 African startups — 18 Nigerian — got into YC’s W22 batch, a record for African startups in a single YC cohort.
As startups break into several industries to disrupt these sectors, there is the need to implement a robust customer verification process into their products and customer acquisition process to stay compliant and mitigate fraudulent practices.
Financial Services
Financial institutions are one of the most heavily regulated institutions in the world because their services require handling large amounts of money and personal data to process financial transactions locally and globally.
On the other hand, financial services also have to implement these processes to prevent fraudulent practices and other financial crimes from being perpetrated on their platform.
This means that they are required to comply with Know Your Customer (KYC) regulations wherever they operate. Capturing KYC data implies that users of financial services are required to provide certain valid means of identification and complete certain actions to validate that they truly own the identity. This process interferes with the customer acquisition flow for most businesses since users have to attain a certain level of identity verification before using the product.
Ride-hailing & Logistics
Beyond mobility, two other vital factors people look out for when using a ride-hailing platform are trust and safety. Ride-hailing platforms that fail to put robust KYC processes in place to check their drivers’ licenses, plate numbers, and other submitted documentation will not win the confidence of their customers.
Users often express dissatisfying experiences they have had with logistics drivers and ride-hailing platforms with most of them stemming from security issues. Identity theft is one of the most insidious forms of crime businesses in this industry battle.
How do you protect your business, and automate driver and customer onboarding across your fleet of vehicles?
Retail & E-commerce
Countries worldwide saw a tremendous increase in e-commerce sales since the pandemic. While this development is great for businesses, it comes with the looming threat of e-commerce fraud.
To curb these threats, e-commerce businesses sometimes have to implement KYC procedures for customers. While this helps mitigate fraudulent purchases and fake sellers, it impedes the onboarding and checkout process for customers.
No matter what you sell online, protecting your users from fraud is key — but getting the users onboard in the first place is also as important.
With Dojah, businesses can balance compliance and customer acquisition with conversion-optimized identity verification APIs.
Dojah Use Cases
Data verification
Capturing a customer’s data, confirming that the data is valid, and verifying that the data belongs to the customer are all different things. With our ID Verification Widget, Government ID validation API and address verification API, you can look up and verify a customer’s data with high-grade accuracy.
AML Compliance
AML policies are necessary to prevent money laundering and financial crimes on your platform.
Dojah allows you to screen multiple anti-money laundering criteria across global databases. This is how you show regulators that your business takes financial crime and compliance seriously. Find out more from our AML Screening API documentation.
Onboarding
While protecting your business against fraud and remaining compliant to avoid fines, you must also provide a seamless onboarding process to prevent customer churn. 30%-40% of customers abandon the onboarding process because they feel frustrated while verifying their identity or creating an account.
Dojah’s KYC APIs and ID Verification Widget enable you to strike the right balance between strong fraud detection and a positive user experience.
How Dojah can help your Startup
Our customer identification solutions are relevant across several industries, whether e-commerce, ride-sharing, fintech, logistics, lending, or more.
From user onboarding to KYC/AML compliance, identity verification, address verification, and fraud detection, we help you stay compliant while you scale.
As a startup, you need an identity solution that is adaptable to your workflow. With Dojah, your developers can choose how to integrate with our services, whether through an API-based approach, SDKs, or our plug-in widget.
With access to over 17 government-issued ID databases across Africa’s largest economies, you can reach every market demography, including underserved communities.
Ready to build your startup the right way? Get started with Dojah today.
Reach out to us if you have any questions or schedule a demo session today.
