LONDON, UNITED KINGDOM--(Marketwired - Feb. 17, 2014) - Mobile interaction expert tyntec announced the launch of a new product which accurately delivers One-Time Passwords (OTPs) to end-users mobile devices. Named OTP SMS, this product enhances the SMS-based two-factor authentication (2FA) process by validating mobile numbers in advance and reporting potential errors in real-time. This allows for an upfront notification to the end-user and gives them opportunity to correct faulty numbers-but most importantly-to receive the accurate SMS delivery of the OTP necessary to finalize the transaction.
OTP SMS: accurate and efficient verification
Targeted towards app developers, internet service providers, financial institutions or other companies engaged in or anticipating using OTPs to verify user identity, OTP SMS includes the added enrichment of real-time subscriber information to verify status and create visibility. The use of OTPs via SMS-based two-factor authentication to verify user identity is an effective anti-fraud tool because of its cost-efficient, secure and user-friendly nature.
"Two-factor authentication is gaining massive acceptance as the verification method of choice for businesses involved in confirming app activations, monetary transactions, ID verification or providing confidential services to end-users. OTP SMS is easy-to-integrate, has a low-cost component for the service provider, and can be used to increase the end-user experience," said Co-Founder and CTO of tyntec Thorsten Trapp, "The Achilles heel is that SMS enabled 2FA has been limited by invalid mobile numbers - every failed message sent means an end-user who hasn't received the OTP to authenticate their ID and complete the transaction. By pre-verifying mobile numbers before transmitting the OTP it becomes possible for businesses to increase conversion and success rates of their transactions while ensuring 100% satisfaction for end-users."
Invalid mobile numbers are the Achilles heel of SMS validation
When downloading a mobile app, performing a financial transaction, registering or logging into a web service, end-users are sent an SMS to the number they provided. The SMS contains an OTP that must be entered and authenticated to successfully complete the transaction. Companies using SMS authentication methods report an average of 13% send failure rates due to invalid mobile numbers stemming from user-error, which could be as simple as a mistyped or inaccurate entry by the end-user, but could also include other technical difficulties-ultimately, these actions result in an unauthenticated OTP, un-activated accounts and un-met expectations on behalf of both the sender and end-user. This results in lost revenue, since these potential customers won't be able to use the service.
With OTP SMS from tyntec, businesses can identify invalid mobile numbers in real-time before sending the message and consequentially increase the conversion rates or the success rate of their transactions. The responsive reporting, via tyntec's carrier-grade infrastructure, includes error codes of a recipient as: invalid or "wrong" number or phone turned "off", which informs recipients that their verification request has failed and asks for a resubmission of their mobile number or to select an alternative verification channel. Once the error has been corrected the OTP can be finally sent to the end-user for ID verification or to conclude the transaction.
tyntec (www.tyntec.com) is a mobile interaction specialist, enabling businesses to integrate mobile telecom services for a wide range of uses - from enterprise mission-critical applications to internet services. The company reduces the complexity involved in accessing the closed and complex telecoms world by providing a high quality, easy-to-integrate and global offering using universal services such as SMS, voice and numbers.
Founded in 2002, and with more than 150 staff in six offices around the globe, tyntec works with 500+ businesses including mobile service providers, enterprises and internet companies.