NORTH AMERICA IDENTITY VERIFICATION MARKET FORECAST 2023-2032

The North America identity verification market growth assessment includes the evaluation of Canada and the United States. There has been a notable rise in the occurrences of identity thefts and fraudulent activities throughout the United States. As per data provided by the Federal Trade Commission, customers reported a loss of nearly $8.8 billion to fraud in 2022, an increase of over 30% compared to 2021. Also, investment scams accounted for the highest reported monetary losses in 2022, exceeding $3.8 billion.

The FTC’s Consumer Sentinel Network database serves as a platform where the Better Business Bureau, industry participants, non-profit organizations, federal, state, and local law enforcement authorities, along with consumers themselves, submit their reports. The data received by Sentinel is sourced from 23 states. In 2022, more than 5.1 million reports were registered on Sentinel, encompassing the aforementioned fraud reports, as well as cases of identity theft and consumer grievances related to various issues, such as banking and lending troubles, credit bureaus, and other financial institutions. Moreover, the FTC’s IdentityTheft.gov website received over 1.1 million reports of identity theft in 2022. These instances of fraud and theft are anticipated to drive the demand for identity verification solutions and services.

The North America identity verification market segmentation includes organization size, deployment type, vertical, component, and type. The type segment includes biometrics and non-biometrics.

Non-biometric solutions primarily serve the purposes of identifying fraudulent IDs, facilitating remote customer onboarding, automating business processes, and ensuring compliance with KYC/AML regulations. Common non-biometric identity verification solutions and services encompass knowledge-based authentication, credit bureau-based solutions, SMS-based two-factor authentication, database solutions, online verification, as well as ML/AI-based authentication, among others. 

Organizations’ identification verification requirements vary depending on their specific line of business, necessitating distinct types of verification. These identification verification methods possess unique attributes that cater to the objectives of different end-users.

Market players across the globe are developing and launching a range of new and advanced non-biometric tools for identity verification, which is expected to contribute towards market growth during the forecast period. For instance, in 2022, Uptrends launched a new solution for SMS-based two-factor authentication transaction monitoring. Users visit the application’s login page and enter their credentials in a text box to use regular two-factor authentication. The initial identification phase of standard 2FA is now underway. This action causes an SMS message to be sent to the user’s mobile phone by the underlying system.

Companies worldwide are actively engaged in the development and introduction of cutting-edge non-biometric identity verification tools. For instance, Uptrends unveiled a novel solution for monitoring SMS-based two-factor authentication transactions in 2022. To utilize the conventional two-factor authentication, users navigate to the application’s login page and input their credentials in a designated field. 

Some of the key players in the North America identity verification market are Mitek Systems Inc, Nuance Communications Inc, TransUnion LLC, Trulioo Information Services Inc, etc.

Trulioo Information Services Inc is engaged in the deployment of digital network security & privacy standards globally. The company’s solutions include AML watchlist screening, identity verification, business verification, and ID document verification. It also provides identity services across industries like online marketplaces, payments, finance, banking, gaming, and retail over a single API integration. The company has technical teams in the United States, the United Kingdom, New Zealand, and Australia, with headquarters in Vancouver, British Columbia, Canada.

Its identity verification solution helps confirm personal information like national identification number, cellphone number, date of birth, address, and name.