Better Online Authentication Needed: Jupiter

Some 80% of online shoppers are looking for better procedures to verify their identity and secure online purchases, according to Jupiter Media Metrix.

Even though 47% of U.S. consumers are likely to register personal information online, the study found that such a system would work best in the form of a recognizable card as opposed to multiple passwords.

“Current password-based online authentication is cumbersome, insecure and unsafe, ” said Jupiter analyst Rob Leathern, in a statement. “Without cost-effective ways to securely authenticate users and increase confidence in the online medium, online commerce not reach its full potential.”

Jupiter also found that 42% of consumers are annoyed that they must use different log-in names and passwords to access different Web sites and that a simplified log-in process will become a much more important factor for merchants and financial institutions over the next five years.

Jupiter sampled about 2,058 consumers for this survey.