Passwordless authentication eliminates the need for using passwords by replacing them with advanced authentication methods, most commonly biometrics. This change singlehandedly addresses multiple issues, including password reuse, brute force attacks, and phishing scams, as well as does wonders for the end user experience.
In this article, we're going to discuss the top business benefits of passwordless authentication and how it improves an enterprise's cybersecurity posture.
Before we jump to passwordless authentication, we need to explain why passwords are no longer a sufficient form of authentication. To start off, we need to define what separates bad authentication practices from good authentication practices.
Most would agree that the following three factors determine whether authentication within an enterprise is efficient:
Having in mind these three factors, password-based authentication lacks in all of the mentioned areas for efficient authentication. The end-user side demands periodic password changes, with multiple rules for creating them. This makes it close to impossible to remember all of the active passwords connected to the user's accounts. The result is frequent password reset requests, prolonging the login process and impacting the end-user experience.
The security of password-based authentication is questionable due to a variety of reasons. Cyberattackers usually see passwords (and the users), as the weakest link of the authentication system. This is why there are multiple hacking methods directed toward revealing user passwords and using them for further malicious purposes. Some of those methods include phishing scams, brute-force attacks, keyloggers, and credential stuffing.
Furthermore, the cost of implementing and managing password-based authentication might seem negligible. However, if you scratch the surface, there are costs related to helpdesk inquiries for password resets and of course, the cost of a potential data breach. The average total cost per data breach worldwide amounts to 4.45 million USD in 2023.
In a nutshell, passwordless authentication offers a range of benefits that enhance security and user experience. By eliminating passwords, the risk of breaches is reduced, safeguarding sensitive information from hackers. Additionally, users can enjoy faster and more convenient logins, improving their overall experience. Various methods, such as biometric authentication and one-time passcodes, provide alternative ways to gain access without relying on traditional passwords. This not only decreases vulnerability to phishing attacks and credential stuffing but also mitigates the risks associated with stolen credentials. The need for these protections is underscored by the fact that 80% of basic web application attacks in 2021 were attributed to stolen credentials.
To help you with your consideration of implementing passwordless authentication, we'll go through the top business benefits passwordless authentication brings to your organization and employees.
On Tuesday, October 10th, 2023, from 10:00 AM to 11:00 AM (UTC+02:00), join us for a compelling webinar. We'll take a deep dive into the world of passwordless authentication, discussing how it can revolutionize the security landscape of enterprises.
In today's digital landscape, businesses need robust security measures to protect against cyberattacks. One of the key benefits of passwordless authentication is the elimination of passwords, which enhances security and minimizes the risk of breaches. This approach also reduces long-term costs associated with password-related support and compliance with password storage laws. Furthermore, passwordless authentication improves the user experience by providing a seamless and clunky-free authentication process. By preventing password-based attacks like phishing and credential stuffing, businesses can safeguard their sensitive data and gain the trust of their customers. Lastly, this approach lowers the total cost of ownership (TCO) by eliminating password-related expenses.
The following paragraphs bring you the top business benefits of passwordless authentication and help you understand how they can impact your business. Let's elaborate on each of the benefits.
In the realm of cybersecurity, one of the key benefits of passwordless authentication is its ability to enhance security by eliminating the vulnerabilities associated with traditional passwords. This is achieved through advanced authentication methods such as biometrics and multi-factor authentication (MFA), which offer robust protection against cyberattacks. By reducing the risk of unauthorized access to sensitive data and trade secrets, passwordless authentication mitigates prevalent cyber threats like phishing emails and malware. Additionally, the incorporation of factors such as fingerprints and facial recognition strengthens authentication, further fortifying the security measures.
By implementing passwordless authentication, businesses can significantly reduce long-term costs. With passwordless authentication, there is no need for password management and the associated support costs. This eliminates the resources and time spent on password resets and account lockouts. Moreover, businesses can avoid potential fines or legal issues by complying with password storage laws. By reducing the risk of financial fraud and the potential damage to client data or confidential IP, passwordless authentication helps businesses save costs in the long run.
Providing a convenient and seamless login experience, passwordless authentication eliminates the frustration associated with remembering and managing passwords. Users can quickly and securely authenticate across devices and platforms, boosting productivity by reducing time spent on password-related tasks. This improved user experience leads to increased satisfaction and loyalty, ultimately resulting in higher conversions and customer retention. Moreover, passwordless authentication involves fewer setup steps compared to traditional password-based methods, making it more user-friendly and efficient. By enhancing both user experience and productivity, passwordless authentication proves to be a valuable asset for businesses.
Passwordless authentication offers several key advantages when it comes to preventing password-based attacks. By eliminating the vulnerabilities associated with traditional passwords, it effectively safeguards against brute force attacks and credential stuffing attempts. Additionally, it significantly reduces the risk of stolen passwords through phishing and social engineering techniques. This enhanced security is achieved by replacing passwords with more secure authentication factors such as biometric authentication or passkeys. With passwordless authentication, businesses can protect sensitive information and systems from unauthorized access, ensuring the integrity and privacy of their data.
Reducing the Total Cost of Ownership (TCO) is one of the key business benefits of passwordless authentication. It helps organizations save money by minimizing the overall cost associated with managing and securing user credentials. With passwordless authentication, businesses can eliminate the need for password-related infrastructure, such as password storage and recovery systems. This not only reduces IT support costs but also helps avoid potential financial losses due to data breaches or password-related incidents. Moreover, passwordless authentication streamlines the authentication process, saving valuable time and resources for both IT teams and end-users.
Implementing passwordless authentication offers numerous benefits for businesses, including increased conversions. Studies conducted by the Baymard Institute reveal that over 18% of users on popular e-commerce platforms abandon their carts due to forgotten passwords or clunky reset processes. By providing a seamless login process that removes barriers and friction points, passwordless authentication simplifies the registration process and reduces user abandonment rates. Moreover, it builds trust and confidence in users by offering secure and hassle-free authentication methods. This enhanced user journey leads to increased engagement, conversions, and, ultimately, revenue.
Eliminating the frustrations of password management, such as forgotten passwords and reset processes, passwordless authentication provides a seamless and user-friendly experience. By incorporating advanced authentication factors, it enhances the security of user accounts, ensuring easy and secure access across multiple devices and platforms. Additionally, it eliminates the need to share or store passwords, thereby enhancing user privacy. With passwordless authentication, end users can bid farewell to password-related woes, enjoy a frictionless authentication process, and benefit from increased account security and privacy.
The future of authentication lies in passwordless solutions. With the increasing prevalence of cyberattacks, traditional passwords are no longer secure enough. Biometric factors like fingerprints and facial recognition offer a more reliable and secure authentication method. Passwordless logins using one-time passcodes or magic links are gaining popularity, adding an extra layer of security. The shift towards a passwordless world can reduce password-related support costs and improve overall security.
By eliminating the reliance on passwords, organizations can significantly enhance their cybersecurity measures. This not only protects sensitive data but also reduces the long-term costs associated with managing and recovering from security breaches.
On Tuesday, October 10th, 2023, from 10:00 AM to 11:00 AM (UTC+02:00), join us for a compelling webinar. We'll take a deep dive into the world of passwordless authentication, discussing how it can revolutionize the security landscape of enterprises.
For more information, feel free to contact us and book a zero-obligation meeting with our experts. Our team will be happy to hear you out.
