OUT-OF-BAND AUTHENTICATION MARKET ANALYSIS

Out-of-Band Authentication MarketSize and Trends

Rise in Volume of Online Transaction and Rise in Compliance Requirements are the Factors Driving Growth for the Global Out-of-Band Authentication Market

The exponential rise in the volume of online transactions as well as rise in compliance requirements are one of the major drivers contributing to growth of the global out-of-band (OOB) authentication market. A number of consumers depend on internet for the online transactions, which has increased the frequency of cyber-attacks majorly on websites where online transactions are significantly high. Moreover, hackers always target lucrative sectors, which have a huge online customer base. Thus, to counter these cyber-attacks, various organizations are adopting authentication methods such as phone-based authentication, software OTP tokens, hardware one-time passwords (OTP) tokens, and others to make secure online transactions. For instance, in April 2019, Worldpay, Inc., a global payment technology provider, announced the launch of ‘FraudSight’, which is a new solution designed to prevent the fraud and optimize approval rates, potentially boosting revenue across all channels. According to the Worldpay, Inc., FraudSight can make transaction validity decisions for merchants of all sizes.

Furthermore, data privacy concerns have increased in all industries, such as financial services, payment card, baking, insurance, and healthcare sectors. These industries are required to comply with privacy and security requirements set by regulatory authorities, as breach in a compliance can cause financial loss to the company. This has resulted in increased adoption of out-of-band (OOB) authentication methods. However, risks included in out-of-band (OOB) authentication with SMS and the high product association cost has restrained the global out-of-band (OOB) authentication market growth. Furthermore, increase in adoption of out-of-band (OOB) authentication by small and medium-sized businesses is expected to provide numerous opportunities for out-of-band (OOB) authentication market globally during forecast period.

Market Trends

Moreover, increase in adoption of out-of-band (OOB) authentication by small and medium-sized businesses is expected to provide numerous opportunities for out-of-band (OOB) authentication market globally during forecast period.