Service providers’ requirements for eID solutions Empirical evidence from the leisure sector

1. Service providers’ requirements for eID solutionsEmpirical evidence from the leisure sector Michael Kubach, Heiko Roßnagel, Rachelle Sellung Open Identity Summit 2013 Kloster Banz 10./11. September 2013

2. Introduction actualusagelacksbehind original expectations Observation: • lack of real-worldusecasesandapplicationsperceivedasbeneficialbyusers • Research oftenfocused on technicalaspects eIDs infrastructureshavebeenimplemented in many EU memberstates ?

3. Economicperspective on eID technology • To be successfully adopted on a wide scale, eID solutions have to be designed under consideration of the underlying market structure • Multi-sided market: different types of customers (End-users, Service Providers/Relying Parties, Identity Providers), depending on each other • Joint participation makes the platform more valuable to each customer • Indirect network externalities between customers • Postive feedback creating exponential growth once critical mass has been achieved • Low adoption: low value for all sides creating negative feedback Whataretherequirementsofthe different stakeholders in ordertoadopt eID solutions?

4. eID stakeholders Roßnagel et al. (2014): Users’ Willingness to Pay for Web Identity Management Systems in European Journal of Information Systems (forthcoming) Service providers’ requirements for eID solutions - Empirical evidence from the leisure sector Previouswork: Focus ofthisstudy:

5. Survey design and sample characteristics Survey Design • Considered Stakeholders: Relying Parties in the B2C Market • Two sectors of the leisure industry: tourism and adult entertainment • Fully standardized questionnaire offered online and on paper • Participants were contacted at trade shows and by E-Mail • 65 respondents • Analysis: Descriptive, Comparison of Means Sample Characteristics Markets addressed: 30% National, 25% Europe, 45% Global

6. Frequency and types of errors in user authentication Frequency of (user generated) errors in user authentication management  The survey sample showed that problems concerned with user authenticationare not viewed as prominent by relying parties Types of problems encountered due to user errors  The most typical errors found are typos and forgotten passwords

7. Authentication methods and expected transition costs Authentication methods for services provided Username and Password is the most common method of authentication Expected transition coststo eIDs

8. Importance of eID features Importance of eID features for service providers’ services  Results show that different Industries have different priorities concerning the importance of how data is obtained

9. Implementation hurdles Hurdles to the implementation of eID technology  Results show significant industry differences concerning the knowledge of eID technology

10. Summary • Relying parties in our sample don’t see a pressing need to change their currently used authentication method. • But certain eID features could be valuable for their services • i.e. Age verification for adult entertainment • Certified user address • Further development and marketing of the eIDtechnology should focus on these features • There is no ultimate reason that keeps service providers from implementing the eID technology. • If perceived benefits are high enough it will be adopted

11. Thankyouforyourattention! Questions? Remarks? Dr. Heiko Roßnagel Tel. +49 711 970-2145 Rachelle Sellung, B.B.A. Tel. +49 711 970-2145 Dr. Michael Kubach Tel. +49 711 970-2428 firstname.lastname@iao.fraunhofer.de Competence Team Identity Management Fraunhofer-Institut für Arbeitswirtschaft und Organisation IAO Nobelstraße 12 | 70569 Stuttgart www.swm.iao.fraunhofer.de www.ikt.iao.fraunhofer.de