Experian’s Global Identity & Fraud Report 2024 shows tremendous growth in highly personalized, GenAI-driven fraud attacks
The report’s key findings include three factors driving a rapid evolution of the fraud landscape: the tremendous growth in generative artificial intelligence (GenAI) technologies, changing government regulations, and pressure from businesses to provide consumers with safe and convenient digital experiences. In response to these factors, the report’s findings show that businesses intend to increase their anti-fraud budgets by investing in AI and machine learning technologies.
“Unlike other problems facing financial services firms, fraud transcends geographic boundaries and regulatory frameworks, and fraudsters often attack at multiple points in the customer journey,” said Greg Wright, executive vice president of identity and fraud at Experian.” This unfortunate reality is forcing organizations to combat the world’s evolving fraud threats using advanced analytics, alternative data insights, data sharing and a layered approach.”
On the consumer side, the report data suggests that striking the right balance between fraud protection and a positive customer experience is critical, with a high percentage of consumers globally saying they have taken their business elsewhere due to poor account opening experiences or slow transactions.
These findings highlight that companies around the world face the same challenge: authenticating customers requires a balance between security and a seamless customer experience to prevent them from abandoning an application or purchase. The solution is to leverage analytics and orchestrate fraud prevention routines to gain a 360-degree view of customers, mitigate fraud, and deliver a seamless customer experience.
