Nigeria Content Online

Online business
operators say they are always working on improving technology to curb
fraud and protect their customers, which may be one of the reasons
e-payment is emerging as a thriving business in Nigeria.

From clothing and
accessories, to shoes, bags, and services like satellite television
payment fees, telephone and blackberry charges, utility bills payment,
flight tickets, and books, more Nigerians are making purchases online
thereby signing on to a worldwide trend. It is also erasing the unfair
stereotype of Nigerians as online fraudsters.

The number of
people purchasing goods and paying for services through the internet
has continued to rise over the years. Operators say there are certain
levels of guarantee given by the online stores for customers who wish
to purchase goods and pay for services.

Damien Azu, a banker, says if one is careful and follows instructions, e-payment for goods and services is relatively safe.

“I order for books,
games for my kids and some other stuff within and outside the country
and they get delivered. It is convenient,” Mr. Azu said.

Scepticism remains

However, despite
assurance by operators, some people are still sceptical of the thought
of letting their details out on the internet.

“Anything cards,
you can count me out,” Segun Adewale, an investment consultant said. “I
don’t believe in the use of cards, whether ATM or otherwise, not to
mention [posting] my details on the internet. I would rather do without
these cards. The frauds related to these things (cards) are more costly
when they happen than what it would cost me to do all I have to do
manually” Mr. Adewale said.

Despite efforts to
curb fraud, experts say e-payment system risks still abide both on the
part of the payer and the payee which include, on the part of the
customers; stolen identification or password, dealing with a dishonest
merchant, arising disputes over transactions, inappropriate use of
transaction details, among others, while on the merchant’s side, the
fear of forged or copied instruments, disputed charges, insufficient
funds in customers account and unauthorised redistribution of purchased
items still remain.

Business experts
urge operators to be ahead of cyber crime by thinking ahead and
innovating technology that would knock down any improved attacks by
fraudsters.

eTranzact, a
multi-channel electronic transaction switching and mobile payment
processing platform company says it is continually seeking to develop
new technology that would strengthen security and surmount fraud
threats to e-payment.

“We were recently
granted a patent in respect of an invention, the eSA – eTransact Strong
Authentication, described and claimed in complete specification
deposited at the patent office in the Republic of South Africa” Kumbi
Olorun-rinu, Business Development manager, eTranzact International said.

“It is a two factor
authentication for automated teller machines, point of sale terminals,
mobile and web transactions. This generates one time PIN for use on any
electronic payment channels. The utilisation of static PIN as the
singular parameter for electronic transactions is increasingly becoming
fraud prone” Mrs Olorun-rinu added.

She said card cloning and PIN disclosure have been, and are still, threats to card transactions.

“By leveraging on the dynamic PIN generation, which the company has acquired, this threat can now be surmounted” she added.

The technology
leverages on using customers everyday tool, the mobile phone. It is a
solution that allows the user’s mobile phone to generate a secure
token, a dynamic pin as opposed to the static pin issued to the issuer.

Mrs. Olorun-rinu
said even if a customer falls for a phishing scam or cloned website and
gives away both user name and password a third party can never defraud
the customer because they wouldn’t have the dynamic PIN which has to be
generated from the mobile phone.

More sites

A source at Kalahari, another online shopping site, says it has not had cases of fraud till date.

“Up till now, we
have not had any cases of fraud, since we started this and I hope we do
not, as days go by. It’s not like we have any hidden strategy for this,
it’s all about being careful” the source said.

Kalahari is one of
Nigeria’s online retailers which offer books, music, DVDs, games among
others. It has top-selling products, local payment options,
door-to-door delivery, wish list facilities, vouchers, and free
gift-wrapping among other convenient shopping packages.

Deliveries range
from seven to 24 days, according to the products purchased, while costs
range from N2500, for a five kg product to as much as N7500 for a 10 kg
product.

Information on the
website states that customers not satisfied with their products may
return it within 14 days of receipt and that faulty or wrong product
could be exchanged.

Also, the site says
that if you are not satisfied with your choice and the product is still
in mint condition, you may return it and we will refund you the
purchase price (excluding delivery costs).

Quick teller is another e payment website that deals mainly in
payment of services, utility bills, booking of flights, mobile recharge
among others. The site which is powered by Interswitch says payments
would be acknowledged by the respective organisation immediately.