In 2022, nearly six in ten e-commerce merchants worldwide reported a surge in online payment fraud. In addition, 56 percent noted an increase in refund abuse, while more than 50 percent indicated experiencing more account takeover attacks and promotion abuse. Despite being the second most prevalent type of fraud globally that year, less than half (40 percent) of the online merchants surveyed reported an increase in friendly fraud.

The Account Takeover (ATO) Fraud Detection Software market is experiencing robust growth, driven by the escalating prevalence of online fraud and the increasing reliance on digital platforms for financial transactions and sensitive data access. The market, estimated at $5 billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of 15% between 2025 and 2033, reaching approximately $15 billion by 2033. This expansion is fueled by several key factors, including the rising sophistication of cyberattacks, the increasing adoption of cloud-based solutions offering scalability and flexibility, and the growing awareness among businesses, particularly large enterprises and SMEs, about the critical need for robust ATO prevention strategies. Furthermore, evolving regulatory landscapes mandating stronger security measures and the increasing adoption of advanced analytics and machine learning techniques within fraud detection systems are further propelling market growth. The cloud-based segment holds a significant market share due to its cost-effectiveness and ease of deployment. However, the market's growth is not without challenges. One significant restraint is the continuous evolution of fraud tactics, requiring constant updates and improvements in detection software. The high cost of implementation and maintenance, particularly for small and medium-sized enterprises, can also limit adoption. Despite these challenges, the market is expected to continue its strong upward trajectory, driven by the aforementioned drivers and the increasing adoption of multi-layered security approaches combining various technologies and techniques to effectively combat ATO fraud. Geographic segmentation reveals strong growth in North America and Europe, reflecting the higher levels of digitalization and robust regulatory frameworks in these regions. The Asia-Pacific region also presents a substantial growth opportunity, driven by rising internet penetration and increasing e-commerce activity.

Among the countries included in a 2021 study, Australia had the highest percentage of e-merchants experiencing account takeover attacks in 2021, with 86 percent of respondents reporting this type of attack. Mexico was next, with 78 percent of online merchants reporting ATO attacks, followed by Canada, with 74 percent.

The Account Takeover (ATO) Fraud Detection Software market is a rapidly evolving sector that addresses the increasing threat of unauthorized account access, which poses significant risks to both businesses and consumers. As the digital landscape expands and online transactions become increasingly prevalent, the dema

Point of sale represented more than half of identity-related fraud activities in 2021, according to e-commerce executives in the United States and Canada. Account takeover was the next most common type of activity reported by survey respondents, with around 25 percent of identity fraud measures in the United States and Canada.

The Bot Manager market is experiencing robust growth, driven by the escalating sophistication of bot attacks and the increasing reliance on digital channels for businesses globally. The market size in 2025 is estimated at $2.5 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 15% from 2025 to 2033. This significant expansion reflects the urgent need for businesses of all sizes – from small enterprises to large corporations – to protect their online assets and customer data from malicious bots. Key drivers include the rise of e-commerce, the increasing frequency and severity of bot-driven fraud (account takeovers, scraping, denial-of-service attacks), and the growing adoption of cloud-based solutions offering scalability and ease of deployment. Trends such as AI-powered bot detection, behavioral biometrics, and the integration of bot management with other security solutions are further accelerating market growth. While the market faces some restraints, including the complexity of implementing bot management solutions and the potential for false positives, the overall market outlook remains exceptionally positive. The cloud-based segment holds a significant market share due to its flexibility and cost-effectiveness, while the large enterprise segment is the primary revenue generator owing to their higher security budgets and greater vulnerability to sophisticated bot attacks. Geographically, North America currently dominates the market, but regions like Asia-Pacific are showing rapid growth driven by increasing internet penetration and e-commerce adoption. The competitive landscape is highly dynamic, with a mix of established players and innovative startups. Leading companies like Alibaba Cloud, Imperva, DataDome, Cloudflare, and Akamai are continuously investing in research and development to stay ahead of evolving bot tactics. The market's future growth will be shaped by the continued advancement of bot detection technologies, the increasing integration of bot management with other cybersecurity solutions, and the ongoing expansion of e-commerce and digital services worldwide. The ability of vendors to offer comprehensive solutions addressing a wide range of bot threats, including account takeover prevention, scraping protection, and denial-of-service mitigation, will be crucial for success in this competitive landscape. Furthermore, partnerships and collaborations within the ecosystem will play a significant role in driving market penetration and growth.

When asked what the top fraud risk was for them in 2021, half of the surveyed e-commerce businesses in the retail industry cited online payment fraud. Among online merchants in the digital goods and travel and hospitality industries, 46 percent cited this type of fraud as the top risk. Account takeover was the next riskiest fraud attack for e-merchants, followed by friendly fraud.

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Behavioral Biometric Market Size 2024-2028

The behavioral biometric market size is forecast to increase by USD 14.33 billion at a CAGR of 26.65% between 2023 and 2028.

Behavioral biometrics is an emerging technology that utilizes user behavior patterns to ensure security and enhance user experience. The market for behavioral biometrics is experiencing significant growth due to several key trends. Firstly, the increasing concern for cybersecurity is driving the adoption of behavioral biometrics as an additional layer of security. Secondly, the combination of multiple biometric modalities is becoming increasingly popular, as it provides a more comprehensive and accurate identification solution. However, the market also faces challenges, such as the increasing misuse of personal information and privacy concerns. Despite these challenges, the future of behavioral biometrics looks promising, with continued innovation and advancements in technology expected to drive growth In the market.Overall, the behavioral biometrics market is poised for significant growth, as it offers a more secure and convenient identification solution for businesses and consumers alike.

What will be the Size of the Behavioral Biometric Market During the Forecast Period?

Request Free SampleThe market encompasses the use of unique human attributes, such as keystroke dynamics, swipe analysis, touch analysis, mouse interactions, cognitive biometrics, and physical biometrics, for user verification and fraud prevention in various digital contexts. Behavioral biometrics offer a more frictionless and continuous authentication experience compared to traditional methods, such as fingerprints, facial patterns, iris characteristics, and voiceprints. These advanced verification methods analyze user proclivities and interactions with devices to detect anomalous behavior indicative of higher-risk events, including account opening fraud, account takeover, scams, and other forms of cybercrime. By recognizing and adapting to individual user behaviors, behavioral biometrics enable personalized experiences, increased trust, and reduced friction during online transactions and website interaction.The market is experiencing significant growth due to the increasing prevalence of digital devices and the rising need for robust security solutions to protect against evolving fraud threats.

How is this Behavioral Biometric Industry segmented and which is the largest segment?

The behavioral biometric industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2024-2028, as well as historical data from 2018-2022 for the following segments. End-userGovernmentBFSIAutomotiveHealthcareOthersTechnologyVoice recognitionSignature recognitionKeystroke recognitionGait analysisGeographyNorth AmericaUSAPACChinaJapanEuropeGermanyUKSouth AmericaMiddle East and Africa

By End-user Insights

The government segment is estimated to witness significant growth during the forecast period.

Behavioral biometrics is a critical technology in modern security solutions, with significant growth in various sectors, particularly the government. The need for enhanced security measures, border control, and public safety drives the adoption of behavioral biometrics by government entities. Applications include access control to critical areas, identity verification for law enforcement, and securing digital government platforms. Behavioral biometrics, such as keystroke dynamics, swipe analysis, touch analysis, mouse interactions, cognitive biometrics, and physical biometrics like fingerprints, facial patterns, iris characteristics, and voiceprints, offer unique human attributes for user verification. These technologies improve the accuracy and reliability of identity verification processes, ensuring secure access to sensitive databases and infrastructure.In border control and immigration, behavioral biometrics are used to authenticate travelers' identities through facial and voice recognition. The integration of behavioral biometrics enhances security, prevents fraudulent activities, and provides personalized experiences with minimal friction. Emerging technologies, such as continuous authentication and monitoring, offer increased security and adaptability in preventing higher-risk events, including account opening fraud, account takeover, scams, and cybercriminal attacks.

Get a glance at the Behavioral Biometric Industry report of share of various segments Request Free Sample

The Government segment was valued at USD 1.36 billion in 2018 and showed a gradual increase during the forecast period.

Regional Analysis

North America is estimated to contribute 33% to the growth of the global market during the forecast period.

Technavio’s analysts have elaborately explained the regional trends and drivers that sh