Identity Theft Protection Services Market

Global Identity Theft Protection Services Market Snapshot

The global identity theft protection services market is estimated at USD 10 Billion in 2022 and is forecast to surpass USD 24 Billion by 2032, growing at a CAGR of 9.4% during 2022-2032.

Report Attributes	Details
Base Year Value (2021A)	USD 9 Billion
Estimated Year Value (2022E)	USD 10 Billion
Projected Year Value (2032F)	USD 24 Billion
Global Growth Rate (2022-2032)	9.4%
Asia-Pacific Market Share in 2021	~37%
Asia-Pacific Growth Rate in 2021	11.2%
Collective Value Share (US, China, India) 2022: Top 3 Countries	~ 31%
Top 5 Companies Market Share in 2021	~ 21%
Key Companies Profiled	Lifelock Inc. Experian Information Solutions, Inc. Equifax Inc. Affinion Group FICO LexisNexis Risk Solutions Inc. TransUnion LLC Intersections Inc. AllClear ID Inc. Fair Isaac Corporation IdentityForce, Inc. Identity Guard Privacy Guard Cyberscout, LLC Kroll

The global identity theft protection services market accounts for ~5% of the global cybersecurity market in 2022. The global identity theft protection services market is estimated to have an absolute $ opportunity of USD 14 Billion during the assessment period of 2022-2032.

Identity theft technology is escalating at a rapid pace for preventing financial losses to individuals and business enterprises. Multiple factors such as digitization of government records, the rising trend towards online payment, growing e-commerce sector have made security and privacy more vulnerable which further drives growth of this market.

Similarly, growing internet end-users along with the rapid acceptance of digital payments, the identity theft protection services market is expected to witness 2.1X growth during the assessment period of 2022-2032.

2017-2021 Global Identity theft protection services Market Outlook in Comparison to 2022-2032 Growth Forecast

Identity theft is one of the fastest-growing financial crimes and the risks of cyberattacks and other similar threats to organizations are rising due to the surge in communications and the digitalization of businesses. Theft of sensitive personal information such as an address, bank account numbers, social security numbers, passwords etc. being used by fraudsters uplifts the demand of theft protection tools. 

Therefore, consumers and enterprises increasingly spend on identity theft protection services to prevent hacking using monitoring and recovering services. They are using data protection software’s and are deploying Network Access Control (NAC) across their enterprises. These services are expected to protect employees and the company’s data from hackers and preserve sensitive business and personal information. 

Monitoring services that help in observing unauthorized use of personal information and recovery services which deals with the ripple effects of post-identity theft are anticipated to increase the identity theft protection services market growth of by ~23% in upcoming half-decade.  

Fact.MR projects the identity theft protection services market is expected to witness exhibiting growth at 9.4% CAGR during 2022-2032 in comparison to a CAGR of 4.9% with which it grew from 2017-2021.

Rise in Online Financial Transactions Necessitates Deployment

Online financial transactions have experienced sheer proliferation over the past few years due to factors such as speed and convenience. The trend has scaled up value-based service offerings by banks and has augmented customer experience. However, this rising vigor has become a weapon for fraudsters to commit crimes.

An escalating number of data breaches associated with online shifts is anticipated to necessitate the deployment of these services. These services masks important data, monitor personal data and tracks data of privacy invaders.

The year 2021 witnessed a steady rise in the number of cyberattacks. According to Datto, ransomware is the most prominent malware threat and according to ABC News, during the pandemic, malicious emails are up by up to 600%. Thus, rising concerns associated with data breaches and identity thefts are expected to trigger market growth by 1.7X of current levels.

Electronic IDs Generating Significant Demand

Electronic IDs are one of the most significant technology trends. Digital identity has revolutionized the way individuals interact with public stakeholders. With the intensifying emphasis on electronic IDs by global governments, the cases of data breaches and identity thefts have increased at an alarming rate, which in turn, is likely to multiply present market size by 1.3X of present market valuation in the forecast period (2022-2032).

Rising Risk of Unauthorized Invasion Spurring Adoption

Data privacy spectrums are placed in a highly-vulnerable state because of the emergence of electronic IDs and rapid digitization of government records. The deployment of identity theft protection services is gaining immense popularity due to the rising susceptibility of private data to potential thefts.

Moreover, with the rise in the number of consumers preferring online shopping, the risks of e-commerce frauds are also increasing, thus leading to increased deployment of identity theft protection services. This is expected to provide a gain of 420 BPS to the identity theft protection services market growth.

High Services Cost to Obstruct Market Growth

Identity theft protection services are expensive and depends upon on the services being chosen. It also depends on how expansively users want their assets to be protected. These services may range from USD 10 to USD 30 per month, and might cover services related to insurance, and may not cover legal expenses and time spent away. Incorporating additional services may increase the price of the plan. This thus obstructs market growth by 0.7X.

COVID-19 Impact

The pandemic resulted in a shift of onsite employees to work from home, thereby increasing the risks of cyberattacks. It became easier for hackers to compromise the security framework of businesses as a hefty amount of personal and business information was shared via home networks. Fraudsters thus took this as an opportunity to steal sensitive information.

Ransomware attacks, phishing attacks, and mail spams witnessed rapid increase during COVID-19, as cybercriminals targeted employees and customers, according to Deloitte. These cases had a positive impact on the identity theft protection services market by 1.2X.

Region-wise Insights

Which region accounts for more concentrated demand for Identity theft protection services Market?

North American identity theft protection services market dominates global market by contributing nearly 24.5% of overall revenue generation. This is attributed to the flourishing e-commerce sector leading to the opening of new online accounts. Furthermore, the United States has introduced the Buy-Secure initiative, which is a dedicated task force for identity theft identification in the country. Therefore, all the above-listed factors are expected to raise market demand by 1/4th of current demand levels.

What is the market scenario in Asia-Pacific?

Asia-Pacific identity theft protection services market is expected to register higher CAGR during the forecast period of 2022-2032, which currently holds a 37.3% market share. This is owing to the escalating number of consumers preferring digital payments, possessing credit cards etc. Due to the growing number of fraudulent and malicious activities, phishing attacks to trick people is poised to trigger market growth by 2.1X.

Category-wise Insights

What Sub-Segment under Type Segment is expected to show more Demand in Identity Theft Protection Services Market in Upcoming Years?

The credit card fraud sub-segment accounts for more than 1/3rd or nearly 34.7% of the overall market revenue generation. This segment is expected to register growth owing to escalating demand for credit-card related protection services in tandem with the rising number of credit cardholders.

However, the bank fraud segment which currently holds 26.1% of the market share is projected to grow at a CAGR of 5.3% in the forecast years of 2022-2032. The growth is attributed to the enhanced preference of consumers towards online banking transactions, paying online electricity bills, phone bills etc.

How Enterprise Segment in Identity Theft Protection Services Market promises more Growth?

Based on end-user, the identity theft protection services market is segmented into consumers and enterprises. The enterprise's segment accounted for 56.1% of global market share by 2021 end attributed to growing cases of data breaches, compromising sensitive business information, committing thefts and frauds etc.

However, due to escalating consumer preference for online mode, doing online shopping, the consumer segment is anticipated to grow at a faster rate than the enterprise segment at a CAGR of 5.7% during the assessment period of 2022-2032.

Competitive Landscape: Top Companies in Identity Theft Protection Services Market

The global identity theft protection services market is highly fragmented and competitive owing to the existence of many domestic and regional players. Various marketing strategies are adopted by key players such as mergers and acquisitions, expansions, collaborations and partnerships.

Also, new product development as a strategic approach is adopted by the leading companies to upscale their market presence among consumers. These strategies have resulted in the incorporation of advanced identity theft protection services.

Fact.MR has provided detailed information about price points of top manufacturers of identity theft protection services market positioned across regions, sales growth, production capacity, and speculative technological expansion in the recently published report.

For instance:

1. Sontiq, an identity security service provider in 2020 partnered with Breach Clarity, a Fintech provider to provide services against data breaches and identity vulnerabilities with unprecedented personalized breach risk intelligence.
2. An insurance and financial services company, Nationwide, partnered with Generali Global Assistance in 2020 to offer personal cyber protection services under Theft Protection Program. It will help protect nationwide users from cybersecurity attacks and threats.
3. Connecticut’s largest business organization, CBIA partnered with defend-id, Inc. in 2020, to deliver identity theft and recovery protection solutions to small businesses.

Global Identity Theft Protection Services Market by Category

• By Type :

  • Credit Card Fraud
  • Employment & Tax Related Fraud
  • Phone or Utility Fraud
  • Band Fraud

• By End-Use :

  • Consumers
  • Enterprises

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia
  • Oceania
  • MEA