New Benchmark Report Finds 52% Reduction in Fraud Losses Achieved with Leading Solutions
NEW YORK, Aug. 1, 2024 -- Liminal, a leading technology company specializing in market and competitive intelligence, is excited to announce the release of its 2024 Link Index for Account Takeover (ATO) Prevention in Banking. This analysis and benchmark report identifies the top 24 vendors at the forefront of the rapidly evolving ATO prevention market, providing banks with critical insights to enhance security, improve operational efficiency, and reduce financial losses.
The Link Index enables companies to benchmark vendors, optimize strategies, and combat account takeover fraud.
The ATO prevention market is transforming as banks strive to protect their customers and assets against increasing cyber threats. Traditional security measures are insufficient, leading institutions to adopt advanced technologies such as passwordless authentication, AI-based fraud detection, and biometric verification. Liminal's in-depth analysis reveals that these cutting-edge solutions are essential for banks to stay ahead of cyber threats and ensure robust customer protection.
The report evaluates the top 24 vendors, grouped into authentication-focused, fraud-focused, and identity-focused solutions. These vendors provide scalable, flexible, and secure solutions to mitigate ATO risks. 64% of evaluated vendors offer integrated platforms combining identity verification, fraud detection, and multi-factor authentication.
Key Findings from the Link Index for ATO Prevention in Banking:
- Insights into the ATO threat landscape reveal common attack vectors and the financial impact on banks, emphasizing the need for advanced technologies. Notably, 26.7% of ATO incidents are caused by large-scale phishing attacks.
- Liminal's survey identifies customer demand for social engineering detection, behavioral signals, and passwordless authentication, focusing on accuracy and user experience. 84% of banks surveyed demand social engineering detection, 90% prioritize accuracy, and 86% prioritize user experience.
- Coverage of AI/ML tools, FIDO2 standards, and biometric authentication shows how these technologies deliver seamless authentication and robust fraud detection. Data Proof Point: 88% of banks are shifting towards AI/ML tools and FIDO2 standards.
- A detailed comparison of top ATO prevention solutions highlights core capabilities and market influence. Leading solutions demonstrate a 52% reduction in average fraud losses and a 24% reduction in customer abandonment.
"Our latest findings reveal that adopting passwordless authentication and the widespread availability of generative AI is fundamentally reshaping the ATO threat landscape. By integrating advanced technologies like FIDO2 passkeys and AI-driven fraud detection, banks can significantly enhance their security posture and effectively combat sophisticated cyber threats," said Travis Jarae, CEO of Liminal.
Significant Benefits for Banks:
- Implementing top-tier ATO prevention solutions can reduce successful ATO attacks by 64% and average fraud losses by 52%.
- Banks can save significantly by reducing fraud losses and lowering operational costs.
- Improved user experience through seamless authentication methods reduced customer abandonment by 24%.
Liminal estimates that the total addressable market for ATO prevention in banking is expected to grow from $954.8 million in 2024 to $1.5 billion by 2028 at a compound annual growth rate (CAGR) of 9.3%. This growth underscores the increasing importance of advanced ATO prevention solutions in safeguarding banks and their customers against evolving cyber threats.
The 2024 Link Index for ATO Prevention in Banking is essential for banks looking to make informed decisions quickly and confidently. By leveraging the insights from this report, financial institutions can benchmark leading vendors, optimize their security strategies, and ensure they have the best tools to combat account takeover fraud. Get your copy of the Link Index for ATO Prevention in Banking.
About Liminal:
Liminal is a technology company that empowers businesses with actionable market and competitive intelligence for go-to-market and sales enablement. Our state-of-the-art platform combines the precision of AI with human expertise to deliver unparalleled access to proprietary data, in-depth analysis, and curated insights, enabling executives to make informed decisions, enhance productivity, and drive growth. We tackle critical focus areas with targeted solutions for fraud and identity, cybersecurity, trust and safety, financial crimes compliance, and privacy and consent management. Trusted by industry leaders and innovators at top public and private companies and investment firms to navigate market complexities and thrive with confidence and clarity.
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Contacts:
Stacy Schulman
Liminal Media Relations
media@liminal.co
1 (602) 616-9818
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