A new study from Juniper Research has found that the number of digital identity verification checks will surpass 70 billion in 2024, growing 16% on the previous year’s number of 61 billion.
This growth is being driven by businesses adopting stronger biometric verification methods to combat account takeover and card-not-present fraud. Biometric verification methods are highly effective against these kinds of fraud, with liveness checks utilised to prevent spoofing.
Digital-only banks catalysing adoption
Juniper Research forecasts that digital banking will see the largest volume of checks, with 37 billion in 2024; equating to 53% of the global identity verification market. The report found that the continued popularity of digital-only banks is driving this growth, as these banks, by their nature, are reliant on digital identity verification checks, catalysing growth across the banking sector as traditional banks play catch-up.
Identity verification vendors must partner with core banking system providers to enable services to be accessed easily, or they will lose out to better connected competitors.
Facial recognition key for customer onboarding
Juniper Research highlighted the importance of passive checks, along with biometric verification, to strengthen security and improve user experience.
Report author Michael Greenwood added, “The real strength of facial recognition is the additional checks that can be added. Layering age estimation on top of facial recognition allows verification to be tailored to the client’s needs. Verification systems that can perform multiple checks in one step offer a significantly stronger user experience than legacy systems and will become commonplace over the next few years.”
View the Digital Identity Verification market research at https://www.juniperresearch.com/researchstore/fintech-payments/digital-identity-verification-research-report
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