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by xyzzy123
146 days ago
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Making someone produce an identity document or turn on their camera for a selfie absolutely tanks your funnel. It's dire. The effect is strong enough that a service which doesn't require that will outcompete a service which does. Which leads to nobody doing it in competitive industries unless a regulator forces it for everybody. Companies that must verify will resort to every possible dark pattern to try to get you over this massive "hump" in their funnel; making you do all the other signup before demanding the docs, promising you free stuff or credit on successful completion of signup, etc. There is a lot of alpha in being able to figure out ways to defer it, reduce the impact or make the process simpler. There is usually a fair bit of ceremony and regulation of how verification data is used and audits around what happens to it are always a possibility. Sensible companies keep idv data segregated from product data. |
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Yes, but again, a good product manager wouldn't just eyeball the success percentage of a specific funnel and call it a day.
If your platform makes money by subtle including hints to what products to prefer, and forcing people to upload IDs as a part of the signup process, and you have the benefit of being the current market leader, then it might make sense for the company to actually make that sacrifice.