North America Identity Verification Market Forecast to 2030 - Regional Analysis - Component, Deployment, Organization Size, Type, and Industry Vertical

The North America identity verification market was valued at US$3.43 billion in 2022 and is expected to reach US$11.11 billion by 2030; it is estimated to grow at a CAGR of 15.8% from 2022 to 2030.

Increase in Cases of Identity Fraud Boost North America Identity Verification Market

The digitalization has gained traction in the pandemic period across all industry verticals. People has shifted towards the e-commerce over the brick-and-mortar model. Majority of the transactions and exchange of critical information is taking place via digital platforms which has opened gates for the fraudsters to carry out identity fraud. The growing sophistication of security information platforms and IT security-based tools and solutions is anticipated to have a profound impact on the overall management of the security ecosystem of an enterprise. The unprecedented growth in the number of cyberattacks has further led to an increased need for robust security solutions across enterprises. According to Regula, ~95% of enterprises and approximately 90 percent of small businesses experienced identity fraud in 2022. On average, a company experienced ~30 cases in 2022. Such frauds result in business disruption, legal expenditures, and loss of existing and potential clients. Hence, companies are increasingly adopting several security solutions to help businesses confirm the identity of individuals to access sensitive transactions and interactions successfully. The prominent benefits of identity verification include real-time ID verification, extracting data directly from IDs without any friction, effective document authentication and verification, and mitigation of the risk of spoofing. The capabilities of identity verification solutions, such as identity verification, data identification, and fraud detection help the several market players to prevent identity frauds. All these benefits and capabilities offered by identity verification provide long-term benefits to enterprises and helps them to enhance their security. These benefits drive the identity verification market.

North America Identity Verification Market Overview

North America is one of the fastest-growing regions in terms of both technological innovations and the adoption of advanced technologies. The region also has a well-established IT & cloud infrastructure. In the past three years, the region has witnessed significant adoption of emerging technologies such as artificial intelligence and blockchain across all the major industry verticals. With the increasing penetration of digitization in various industries, identity verification has become a vital component of business transaction ecosystems, especially in financial institutions and online retail. The demand for identity verification solutions in companies is increasing rapidly as these solutions allow companies to comply with various rules and regulations. A few of these regulations include anti-money laundering (AML), know your customer (KYC), and digital fraud prevention. The North America identity verification market growth is primarily driven by rising demand from industrial sectors such as BFSI, government, defense, and healthcare, where correct identification of users and customers is a crucial business requirement for successful operations. In 2018, North America contributed the largest market share in terms of overall revenue of the global identity verification market, and it is estimated to continue its dominance during the forecast period.

North America Identity Verification Market Segmentation

The North America identity verification market is segmented based on component, deployment, organization size, type, industry vertical, and country. Based on component, the North America identity verification market is bifurcated into solution and services. The solution segment held a larger market share in 2022.

Based on deployment, the North America identity verification market is bifurcated into cloud and on-premise. The cloud segment held a larger market share in 2022.

In terms of organization size, the North America identity verification market is bifurcated into large enterprises and SMEs. The large enterprises segment held a larger market share in 2022.

By type, the North America identity verification market is segmented into biometric verification, online verification, knowledge based authentication, and others. The biometric verification segment held the largest market share in 2022.

Based on industry vertical, the North America identity verification market is segmented into BFSI, government & defense, healthcare, IT & telecom, retail, and others. The BFSI segment held the largest market share in 2022.

Based on country, the North America identity verification market is segmented into the US, Canada, and Mexico. The US dominated the North America identity verification market share in 2022.

Trulioo, Onfido, Mitek Systems, Inc, IDology, Authenteq, Experian Plc, Thales SA, IDEMIA, Jumio Corporation, and LexisNexis Risk Solutions Group are some of the leading companies operating in the North America identity verification market.