The current growth of e-commerce in India is marred by many challenges – security of online transactions being the biggest challenge. The problem for many of the e-commerce businesses are due to 2 reasons – lack of proper infrastructure and poor customer awareness of the online frauds.
Most of the small business owners in India forget about the value of the traditional software, mainly due to budget constraint. According to a survey (2011 Business Virtualisation Poll) by Symantec, though many small businesses are showing interest in online business, most of them are not taking even the basic steps to secure and protect their online business. It states that around 75 percent of the respondents didn’t have anti-virus on their virtual machines and more than 60 per cent didn’t have a firewall. sbi net banking
Many businesses use pirated software and they don’t even revise their anti-virus. The key risk associated with the fake software and anti-virus is that there are no security upgrades readily available for them, which makes them weakened to spy and Trojan viruses attacks. This counterfeit software deployed by them has high chances of getting injected with malware, malware, bots, and loggers. This is risky to do online financial transactions on such computers as the bank and mastercard info could be stolen while doing the online orders.
When it comes to customers, very few know about the online scammers. A survey by Norton states that half of the Indian Internet users are not aware the online security solutions available.
How businesses are beating these challenges?
Significant ratio of the business groups in India are reduced by the aforementioned challenges. In spite of all these challenges, there are few sectors that contain overcome (and remain overcoming) these problems successfully and represent the solid and real progress of e-commerce in India. They are the consumer banking and financial sectors.
Banking companies beefing up their internet security
Banking and banks in India have singularly taken the charge to manage online banking frauds to never only protect their passions, but also the consumers’ interests. Any kind of phishing or malware episodes from either the client’s side and also the bank’s aspect will lead to the leakage of economic qualifications and so bring about bogus ventures. Hence, many of the reputed banks in India such as State Loan company of India (SBI), HDFC, ICICI, etc. are beefing up their cyber security by using best in the industry practices such as, implementation of 256-bit Protect Socket Layer (SSL) security, etc.
Banks spreading consciousness on online transactions
Banking institutions are also creating recognition among their customers about cyber security by mailing SMS messages such as ‘don’t give passwords’, avoid perform transactions in web cafes’, ‘install authenticated software for computing’, etc. A lot of banks are also advertising in newspapers and mags. Further, almost all banking institutions including State Bank of India (SBI), Punjab Domestic bank (PNB), Axis lender, have a prominent section on the home page made for cyber security tips and suggestions.
The very recent announcement of Reserve Lender of India (RBI) to behave against the banks that do not implement rules on electronic security of their transactions and functions by October 2012 is an abbreviation for as a testimony with their serious effort to ensure safe net savings.
Some online retailers use their employees to deliver the products and acquire the payments on delivery, thereby, reducing both, online transaction and delivery hazards. Sites such as Flipkart. com, Snapdeal. com, Jobang. com, etc. offer cash on delivery. This is encouraging people to make more transactions with online stores.
Visa – tested by Visa password
Added protection is ensured for online shopping numerous of the Indian banks offering the ‘Verified by Visa’ service. ‘Verified by Visa’ is a service which provides you an extra security password that re-confirms your identification while making online deals. A lot of lenders including Indian Bank, Point out Bank of India, ICICI bank are offering Visa for australia cards, which are automatically activated with this service. One can also stimulate his/her normal creditcards for this service and have the facility of making safe online transactions at the ‘verified by Visa’ online stores. This simple to use service permits authorized payments and safe online shopping.
Even in case if someone will be able to get hold of credit card details (typically when using the card at an actual store) they would not be able to know the dimensions of the ‘verified by Visa’ account information. This kind of protects the mastercard holder from unscrupulous people thieving their credit card quantity, expiry date and code to make online buys.
Overall, there has recently been significant innovation done by both e-commerce companies as well as banking institutions in India to encourage online purchases. Today, the individuals who are aware of online risks and still have built the competence to cope with it are safely doing online transactions. The increase in the size of this kind of folks is necessary to preserve e-commerce growth in India.