A recent report published by Infinium Global Research on Fraud Detection and Prevention Market provides an in-depth analysis of segments and sub-segments in the global as well as regional Fraud Detection and Prevention Market. The study also highlights the impact of drivers, restraints, and macro indicators on the global and regional Fraud Detection and Prevention Market over the short term as well as long term. The report is a comprehensive presentation of trends, forecast, and dollar values of the global Fraud Detection and Prevention Market. According to the report, the global market for Fraud Detection and Prevention was estimated to be over USD 20 billion in 2020 and is expected to reach over USD 40 by 2026, growing with a CAGR of 12.3% over 2020-2026.
Only legitimate transactions should be accepted by the organizations and instant user authentication to make provided. This makes the anti-fraud strategy of an organization effective. Smooth customer experience would be achieved when these operations are organized and resulting in minimizing losses related to fraudulent risks. The core of fraud management strategy is a fraud detection and prevention system. Transactions are monitored and risk scores are assigned to each one of them by fraud detection and prevention system. An alert is sent to the user and the transaction is denied or halted automatically by the system when the suspicious activity is indicated by the transaction detail. The fraud detection and prevention system provides deep insights on a user’s behavior, false-positive reductions, real time checking tracking, and checking of operations. The fraud detection and prevention system finds it use in various industries. The industries include BFSI, E-commerce, Retail, Government, Healthcare, and others.
The drivers of the market include rising internet penetration, growing digital and electronic payments and transactions, and others. According to Interpol 21,549 arrests were made in 2020. These arrests were related to phone and internet scams. The arrested people were mostly operators, fraudsters, and money launderers. This indicates a rise in online fraudulent activities. This rise is leading to a surge in the increasing adoption of fraud detection and prevention systems and solutions. Growth in the number of digital payments and electronic transactions is also fuelling the growth of the market. The growth in digital payments and electronic transactions is caused due to convenience offered to the user. This results in saving time for the consumer. The internet banking solutions offered by the banks and online payment methods offered by retail and e-commerce platforms are also mainly responsible for digital payments growth. The launch of Unique Payment Interface (UPI) in countries such as India is further fuelling the growth of digital payments. The rise in internet penetration is primarily responsible for all the above growth factors of the market. According to International Telecommunications Union, there were 4 billion internet users in the world in 2019. The growing accessibility to the internet due to falling internet usage rates. The number of smartphone users is also growing rapidly. The high cost of fraud detection and prevention systems is restraining the market. This high cost affects the adoption of these systems. The opportunities are expected to arise with the use of emerging technologies such as Artificial Intelligence, Machine Learning, Big Data Analytics, and others. These technologies make fraud detection and prevention systems more precise and efficient. There are a large number of companies offering systems based on these technologies and others are adopting at a faster rate.
North America is expected to be the highest revenue-generating region. Europe is expected to be the second-largest revenue-generating. On the other hand, Asia-Pacific is projected to be the fastest-growing region. There is a rise in online fraudulent activities in North America as well as the European region. Online transactions are also high in North America. Advanced BFSI infrastructure and easy accessibility to the internet are also responsible for high revenue generation. The presence of E-commerce giants such as Amazon is also responsible for the same. Europe also possesses an advanced BFSI structure and easy internet accessibility. The high growth of the BFSI sector coupled with rising internet penetration in the Asia-Pacific is expected to responsible for its high growth. The presence of advanced IT infrastructure in countries such as India and China providing fraud detection and prevention solutions is also high. There is an increase in cyber attacks on banking institutions in the Asia-Pacific region
The report on the global Fraud Detection and Prevention Market covers segments such as deployment, solution, and end user. On the basis of deployment, the sub-markets include cloud and on-premise. On the basis of solution, the sub-markets include fraud analytics, authentication, and GRC. On the basis of end user, the sub-markets include BFSI, e-commerce, retail, tourism and travel, and others.
The report provides profiles of the companies in the market such as ACI Worldwide Inc., IBM Corporation, BAE Systems, Dell, Inc, Microsoft Corporation, Oracle Corporation, SAP SE, DXC Technology Company, LexisNexis Risk Solutions, and SAS Institute Inc.
The report provides deep insights into the demand forecasts, market trends, and micro and macro indicators. In addition, this report provides insights into the factors that are driving and restraining the growth in this market. Moreover, The IGR-Growth Matrix analysis given in the report brings an insight into the investment areas that existing or new market players can consider. The report provides insights into the market using analytical tools such as Porter's five forces analysis and DRO analysis of the Fraud Detection and Prevention Market. Moreover, the study highlights current market trends and provides forecast from 2020-2026. We also have highlighted future trends in the market that will affect the demand during the forecast period. Moreover, the competitive analysis given in each regional market brings an insight into the market share of the leading players.