The Briefing: Customer Wallets, Customer Futures #24
Aug 31, 2023
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Jamie Smith, founder of Customer Futures, discusses the future of digital wallets and identity, including personalized AI, customer engagement, and data control. The podcast explores the relationship between trust frameworks, governance frameworks, and digital wallets, as well as the potential of using behavioral information for census questions. It also delves into the concept of good friction, customer wallets, and the idea of businesses subscribing to individuals.
Digital wallets offer personalized and seamless interactions between individuals and businesses, prioritizing customer value and innovation.
Interoperability and standards are crucial for enhancing the utility and portability of digital wallets, maximizing value for the customer in a mixed economy.
Digital wallets revolutionize data sharing and identity verification, empowering individuals to selectively share verifiable attributes while respecting privacy.
Deep dives
The Emerging Importance of Digital Identity
The podcast episode discusses the increasing significance of digital identity in today's world. Think tanks and trends analysts are now recognizing the importance of identity, leading to a mainstream understanding of its value. The host plans to continue in-depth conversations with experts about identity while moving topical news briefings to a members-only website. The episode also highlights the release of a 100-page deck called 'Identity Century,' which explores the transformation of identity in the digital age and its implications for businesses and brands. The host encourages readers to access and discuss the deck, emphasizing the existential threat to identity in the 21st century.
Understanding Digital Wallets and Their Value Proposition
In a conversation with Jamie Smith on customer futures, the podcast explores the concept of digital wallets. A wallet is seen as a place to store and carry personal items, just like its physical counterpart. Digital wallets offer the ability to store and manage various digital credentials and information. The value proposition lies in the convenience and control it provides to individuals. Digital wallets can be tailored to each person's preferences, allowing for personalized and seamless interactions with businesses and brands. The podcast emphasizes the need for wallets to be portable, verifiable, and focused on customer value.
The Potential of Digital Wallets in a Mixed Economy
The episode discusses the future of digital wallets in a mixed economy, where various organizations and platforms provide wallet services. While organizations might want to maintain control and offer a closed wallet system, the focus should be on maximizing value for the customer. Interoperability and standards will play a crucial role in enhancing the utility and portability of digital wallets. Apple's wallet is highlighted as an example of a company offering a seamless and customer-centric experience. The conversation delves into the distinction between personal and personalized wallets, emphasizing the need for wallets that prioritize customer value and provide an open environment for innovation.
Reimagining Data Sharing and Verifiable Credentials
The podcast explores how digital wallets can revolutionize data sharing and identity verification. Rather than sharing extensive personal information, wallets allow individuals to selectively share verifiable attributes as needed for specific transactions or interactions. This approach focuses on sharing only what is necessary to get things done, respecting privacy and mitigating risks associated with data breaches. The discussion highlights the potential for wallets to empower individuals in managing their data and making informed choices. It also envisions a future where personal AI agents can assist individuals in controlling and navigating their wallets, further enhancing privacy and offering personalized experiences.
Building Trust and Overcoming Challenges
The episode addresses the challenges and concerns related to digital wallets and identity management. It emphasizes the need for trust frameworks, governance frameworks, and regulatory measures to protect privacy, security, and ensure inclusivity. The conversation explores the importance of engaging social sciences, psychology, and ethics in shaping the future of digital identity. The potential of wallets in transforming customer engagement and creating valuable customer experiences is highlighted. The episode concludes with a call for brands and businesses to embrace the digital wallet as a new customer touchpoint and engage in thoughtful implementation that respects user control and delivers value.
Will brands have their own wallets for customers? Will customers have their own wallets that they give brands access to? How will digital wallets reshape the data we store? And what’s the difference between personal and personalised wallets?
In this episode of The Briefing I discuss all of this and more with Jamie Smith, founder of Customer Futures.
This episode also features an announcement about the future of this podcast. The Briefing will only be available to members in future. To find out more about the membership and how to join visit www.traceyfollows.com
The Discussion episodes continue to be available wherever you listen to podcasts.
