The global fraud detection and prevention market is expected to grow from $26,511.84 million in 2021 to $75,139.66 million by 2028; it is estimated to register a CAGR of 16.0% from 2021 to 2028, according to The Insight Partners.
Fraud detection and prevention market: Competitive landscape and key developments
Fraud detection and prevention systems are software applications used to provide analytical solutions for fraud incidents and help identify or prevent future occurrences. North America was the dominant region for fraud detection solutions in 2016 owing to industrial expansion and the rise in fraudulent activities.
Currently, enterprises are more susceptible to incidents of fraud that may result in financial losses due to the generation of massive amounts of enterprise data and an increase in technological advancements.
What is boosting demand for fraud detection and prevention technologies?
The increased use of online applications and mobile banking services has resulted in an increase in the number of bogus websites and mobile apps. Fake websites and online apps are on the rise in other industries, including retail and eCommerce, manufacturing, and healthcare. These websites and apps imitate real retail stores and home delivery services, luring clients into making fraudulent online transactions.
Customers in the banking industry are increasingly using mobile applications for a variety of purposes, including online payment, statement review, complaint registration, and feedback. According to the Boston Consulting Group (BCG), almost 70% of urbanites worldwide are digitally persuaded to buy financial products and services through online banking apps or mobile banking websites.
In the current economic climate, many firms are integrating solutions across their business units to progress their business road maps. During the forecast period, the growing number of internet users, increasing acceptance of digital payment methods, and rising number of start-ups are likely to boost the global Fraud Detection and Prevention Market.
Based on component, the fraud detection and prevention market is bifurcated into solution and services. The solution segment contributed a larger revenue share in 2020.
Based on deployment, the fraud detection and prevention market is bifurcated into on premise and cloud-based. The cloud-based segment contributed a larger revenue share in 2020.