Intellicheck Mobilisa, Inc. (NYSE MKT:IDN) Q2 2020 Earnings Conference Call - Final Transcript
Aug 11, 2020 • 04:30 pm ET
Thank you. Ladies and gentlemen, we will now be conducting a question-and-answer session. [Operator Instructions]
Hey, good afternoon, guys. And congratulations on the progress during the pandemic. First question, with facial recognition, do we think of that as kind of an add on product? Do you up charge for that or charge your fee? How does the pricing work there?
Yes, Mike, thanks -- first of all, thanks for the compliment. Second, it is an add-on and specifically for person not presence authentication. You might have seen from the press release, we put out, I think, a couple of weeks ago. We partnered with a company called Ipsidy to do it.
So, we upsell that product when people you know, want to make sure with absolute certainty that not only is the plastic real, but I'm still the one holding it. The way to do that is to make sure that my face matches with what's actually been imprinted on the license. So, definitely an upsell new product for existing clients.
Is that upsell about -- I don't know, I'm just guessing 10%, 20% of their base fee, or how do we think about the level?
I would say that that's one of the hard parts right now to figure out because I -- most of our clients at this point in time, aren't sure how often they're going to be incorporating the facial recognition to it. So I think it's certainly those things that everybody is going to be learning on.
I think they're going to want to look and find out with this added friction, what am I losing, because that's always the tradeoff. Is it costing me more business than I would lose to the little bit more fraud I get, because it's somebody with a real ID, they stole it from relative or whatever it is. How do we make sure? So, I think they're going to be playing a bit of a learning game throughout the rest of the year on that.
Got it. And then on financial services, customer number two, I think you've said -- but you might have broken up, four new retailers are all on track. One was in July with 1,400 stores. And then there was a beauty -- leading beauty supply with 3,700 locations and a women clothing store. They are all coming near-term, is that what you were implying?
Yes, so those are all piloting or completing rollouts that have been paused or those types of things. So, either brand new or a completion of something that that got paused while they are doing some other work.
Got it. Okay. And then just lastly, what activities sort of online would you call out is your pipeline is the mix kind of shifting to online support or how do we understand the robustness of that?
What I'm definitely going to say is when -- I don't think many of our clients were really thinking about fraud in the online channel