Social media influencers, online marketplace power sellers and other users across platforms expect secure, convenient experiences when they encounter identity verification requirements.
The requirements aren’t there for all platforms, but even those that aren’t regulated can build their credibility with strong security practices, such as identity verification. It’s a way to protect all users, including major contributors, and build an environment of trust and safety while fueling growth.
But marketplace and social media verification programs are complex and often require expertise to customize onboarding while meeting different cultural, legal and economic requirements.
Marketplace and Social Media Compliance Regulations
Lawmakers around the world are amping up regulations for marketplace and social media platforms.
In the U.S., the Integrity, Notification, and Fairness in Online Retail Marketplaces for Consumers Act (INFORM Consumers Act) goes into effect June 27, 2023. It requires online marketplaces collect and verify information from “high-volume” third-party sellers, which are those that conduct 200 or more transactions resulting in revenue of $5,000 or more during a continuous 12-month period.
In the EU, the Digital Services Act will require digital platforms fairly oversee their communities. One article in the act requires online platforms verify the identities of anyone selling or promoting goods or services. Another EU law, the Digital Markets Act, provides additional regulations for companies considered marketplace gatekeepers, such as Amazon, Apple, Google, Meta and Microsoft.
There’s a growing call for IDs to access social media platforms, often to fulfill minimum age requirements. In the U.K., the Online Safety Bill calls for age verification to help protect children from harmful content. Similarly, in Utah, a new bill mandates social media platforms verify the age of all users from that state.
It’s increasingly becoming a legal necessity to gather and verify individual and business information.
Verify Influencers to Build Trust
The rise of social media influencers has changed the nature of those platforms. Algorithms designed to maximize engagement are boosting content from professional creators.
Success as an influencer requires trust. People want to know the influencer is authentic and the account hasn’t been the subject of fraud.
The social media trend toward verified users helps influencers demonstrate their legitimacy. Accounts displaying a verified badge indicate there’s been some form of verification. Robust identity verification can underscore the validity of the badge, protecting consumers, influencers and the platform.
Whether it’s political information, promotional material, expert advice or just entertainment, influencers’ power and reach are growing. Ensuring their communications are real is crucial to a social platform’s trustworthiness.
One Identity Platform
Whether they’re meeting a legal requirement or establishing a best practice, online marketplaces and social media platforms will expect reliable identity verification. Trulioo enables global marketplaces and social media platforms to verify people and businesses with one contract and one API. With the ability to rapidly adapt and fine-tune workflows, organizations can adjust data collection and verification to meet specific compliance, risk, security and customer onboarding needs.
Social platforms and online marketplaces deploy identity verification to grow trust and comply with emerging regulations. That trust can fuel growth around the world.