An identity verification service is used to ensure the authenticity of identity concerning an individual. The service carried out using various methods and systems depending on the channel and the way of verification. Traditionally it is carried out by face-to-face process and by verifying identity documents of a person such as a passport, driver’s license, or a nationally issued identity document through documentary verification. In recent years with technological development, the identity verification process has shifted from the traditional method to electronic identification using online methods such as VideoID, SmileID, and SignatureID. The process of identity verification is playing a fundamental role in many sectors, and it is necessary to provide complete security. They are widely applicable in the crucial areas such as banking and finance, telecommunication and insurance industries, government and administration, and others. According to a study published by Insure Insights, the global identity verification market is anticipated to grow at a CAGR of 15.8% during the forecast period.

Top Driver: Rising Fraud Activities and Government Initiatives

The global identity market is anticipated to grow at a healthy rate during the forecast period due to rising fraud activities that have compelled financial regulators to intensify their focus on monitoring such activities. The identity verification process is also expected to prove the firm’s efficiency and potential to function appropriately. Legislation such as Transaction Monitoring Certification (504) provides an online portal for regulated entities to securely file certifications required under New York’s risk-based anti-terrorism and anti-money laundering regulation bolstering the identity verification market.

However, the high cost associated with identity verification solutions is expected to hinder the market growth.

SME’s to Make Crucial Contribution to Growth of Global Identity Verification Market

Among organization sites the market is segmented into SME’s and large enterprises. The SME’s segment is expected to grow widely owing to their ability to identify large number of customers globally. However, security solutions are lower in SME’s due to which they are not accepted in larger organizations. Large enterprise segment accounted for the largest market share in the forecast period. On the basis of component, the market is segmented into Services, Consulting, Support and maintenance, Training and education, Solutions. The Services segment was found to be the fastest growing segment. On the basis of vertical the market us segmented into Healthcare, IT and telecom, Banking, financial services, and insurance, Government and defense, Retail, Energy and utilities, Others.

Surge in adoption of Newer Trends to Benefit North America Market

North America is estimated to become the largest revenue-generating region for identity verification solution and service vendors. The surging Internet of Things (IoT), cloud adoption, and Bring Your Own Device (BYOD) trend would help the industry propel in the coming years. The increasing internal and external threats are anticipated to fuel the growth of the market in North America. Furthermore, APAC identity verification market is gaining traction, as the number of smart devices and BYOD trend are surging in both developed and developing nations in APAC.

Players to Focus on Identify Verification Market

The global market is expected to stay fragmented with the increase in the number of new entrants in the coming years. Experian, LexisNexis, Equifax, Mitek Systems, Gemalto, Onfido, Trulioo, Acuant, IDEMIA, Jumio, Authenteq, Shufti Pro, IDMERIT, iDenfy, and TransUnion among others could be at the forefront of the competition in the global market.

Experian: In July 2020, Experian and identity verification provider Global Data Consortium (GDC) have today announced a new partnership which will transform customer onboarding journeys for both international and new-to-country customers. The agreement enables Experian clients to onboard customers rapidly, as well as strengthening anti-fraud measures and meeting Know Your Customer (KYC) and Anti Money Laundering (AML) compliance requirements.

LexisNexis: In January 2020, LexisNexis Risk Solutions, a global data and advanced analytics leader and part of RELX, announced that it had closed the acquisition of ID Analytics, the San Diego-based provider of fraud and credit risk solutions. ID Analytics utilizes advanced technology, data and analytics to deliver actionable insights for enterprises. Previously ID Analytics was a NortonLifeLock company.

Scope of the Report

By Component

• Services
• Consulting
• Support and maintenance
• Training and education
• Solutions

By Organization Size

• SMEs
• Large enterprises

By Vertical

• Healthcare
• IT and telecom
• Banking, financial services, and insurance
• Government and defense
• Retail
• Energy and utilities
• Others

By Region

• North America
• Europe
• Asia Pacific
• SAMEA

Key Reasons to Purchase this Report

1. It provides a technological development map over time to understand the growth rate of the industry.
2. The report offers a dynamic method to various factors that drive or restrain the growth of the market.
3. It renders definite analysis for changing competitive dynamics.
4. It builds a seven-year estimate based on how the market is predicted to grow.