Identity Theft Protection Services Market

Identity Theft Protection Services Market (2024 to 2034)

Expanding at a CAGR of 9%, the global identity theft protection services market is expected to increase from US$ 11.9 billion in 2024 and more than double in value over the next ten years to end up at US$ 28.1 billion by 2034.

Identity theft protection services protect individuals and enterprises from any kind of fraudulent activities or identity theft. Identity theft protection solutions have specialized features that effectively monitor and protect from identity theft threats.

Identity theft technology is gaining popularity among individuals and business enterprises to prevent financial losses. Multiple factors such as the digitization of government records, the rising trend towards online payment, growing e-commerce sector are making security and privacy more vulnerable, which is creating profitable opportunities for identity theft protection service providers.

Similarly, the growing number of internet users along with the rapid acceptance of digital payments is driving the growth of the identity theft protection services market.

• Identity theft protection services are estimated to account for 6.5% of the global cybersecurity market share in 2024.

Some of the components of identity theft protection services are credit monitoring, identity monitoring, identity theft insurance, phishing protection services, and security data management.

• North America is forecast to hold 31.5% of the global identity theft protection services market share by 2034.

North America is witnessing high cybercrime rates, which is set to increase the demand for identity theft protection services during the coming decade.

• The East Asian identity theft protection services market size is calculated at US$ 2.8 billion for 2024.

Fact.MR, a market research and competitive intelligence provider, estimates that the growing digitalization trend and escalating IT infrastructure hubs in the East Asia will drive the sales of identity theft protection solutions in the region.

Report Attributes	Details
Identity Theft Protection Services Market Size (2024E)	US$ 11.9 Billion
Forecasted Market Value (2034F)	US$ 28.1 Billion
Global Market Growth Rate (2024 to 2034)	9% CAGR
South Korea Market Value (2034F)	US$ 1.7 Billion
Bank Fraud-Related Service Demand Growth (2024 to 2034)	10% CAGR
Key Companies Profiled	LexisNexis Risk Solutions Inc.; TransUnion LLC; FICO; Intersections Inc.; Affinion Group; Lifelock Inc.; Experian Information Solutions, Inc.; Equifax Inc.; Cyberscout, LLC; Kroll; Fair Isaac Corporation; Identity Guard; IdentityForce, Inc.; AllClear ID Inc.; Privacy Guards

Why is Need for Identity Theft Protection Services Higher Than Ever?

“Rapid Digitalization Necessitating Need for Smart and Reliable Digital Identity Fraud Protection Solutions”

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

This is leading consumers and enterprises to increasingly spend on identity theft protection services to prevent hacking using monitoring and recovery services. They are using data protection software solutions 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 that deal with the ripple effects of post-identity theft are anticipated to boost the sales of identity theft protection services during the forecast period.

“Rising Cyber Crimes and Fraudulent Activities”

Online financial transactions are experiencing sheer proliferation due to factors such as speed and convenience. This trend is scaling up value-based service offerings by banks and augmenting the customer experience. However, this rising vigor is becoming 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 mask important data, monitor personal data, and track the data of privacy invaders.

• In the year 2021, a high number of cybercrime-related cases were registered across the globe.
• According to Datto, ransomware is the most prominent malware threat.
• ABC News revealed that during the pandemic period, malicious emails were up by 600%.
• According to Surfshark analysis, in 2022, the United States witnessed the highest email breaches in North America and Sri Lanka in Asia Pacific. Across the globe, Russia witnessed more leaked email accounts.

The risk of cyberattacks is on the rise, and every industry across the globe is estimated to witness any kind of cyber-related threat. Thus, rising concerns associated with data breaches and identity thefts are expected to trigger sales of identity theft protection services during the coming decade.

“Increasing Risk of Unauthorized Invasion”

Electronic IDs are one of the most significant technology trends. Digital identity is revolutionizing 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 are increasing at an alarming rate, which in turn, is likely to boost the identity theft protection services market size by 2034.

The data privacy spectrum is placed in a highly vulnerable state because of the emergence of electronic IDs and the 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, consumers preferring online shopping are at high risk of e-commerce fraud contributing to the increasing adoption of identity theft protection services.

Which Drawbacks Should Identity Theft Protection Service Providers Work More?

“High Costs and Trust Issues Major Setbacks”

The initial cost of identity theft protection technologies and services is high, which may act as a deterrent for some users. To safeguard their personal information, some consumers may prefer cost-effective solutions or rely on basic feature-based security solutions.

Some data breaches and trust-related issues are also expected to hamper the adoption of identity theft protection solutions.

Which Strategic Approaches are StartUps Taking in This Business?

“Innovative Identity Theft Protection Solutions to Appeal to Large Consumer Base”

The most strategic way to earn high profits and achieve a strong market position is investment in research and development activities. New companies should invest in R&D to develop identity theft protection solutions with effective features. Advanced identity theft protection technologies that monitor emerging threats and provide effective solutions are expected to witness escalating demand in the long run. Furthermore, new companies should also focus on developing cost-effective identity theft protection solutions to cater to the budget-constraint consumer base.

Country-wise Analysis

What Makes the United States a Key Market for Identity Theft Protection Services?

“Digital Transformation Driving Sales of Identity Theft Protection Services”

Attribute	United States
Market Value (2024E)	US$ 1.7 Billion
Growth Rate (2024 to 2034)	8.8% CAGR
Projected Value (2034F)	US$ 4 Billion

Rising cases of cybercrime in the United States are driving the demand for identity theft protection solutions. The rising cyber threats are necessitating individuals to use reliable solutions Widespread adoption of digital technologies is a significant identity theft protection services market trend. The increasing engagement in e-commerce activities is increasing the need for identity theft protection services.

Why is Demand for Identity Theft Protection Services Increasing in Germany?

“Strict Data Protection Laws Increasing Adoption of Identity Theft Protection Technologies”

Germany has strict laws related to data protection, including the German Bundesdatenschutzgesetz (BDSG), which are creating profitable opportunities for identity theft protection service providers. The strict legal environment in Germany necessitates businesses and individuals investing in identity theft protection solutions to mitigate cyber threats.

How is the Market for Identity Theft Protection Services Faring in Japan?

“Rising e-Commerce Activities Boosting Need for Identity Theft Protection Services”

Attribute	Japan
Market Value (2024E)	US$ 800 Million
Growth Rate (2024 to 2034)	10.3% CAGR
Projected Value (2034F)	US$ 2.2 Billion

The presence of tech-savvy consumers and rapid digitalization are increasing the risk of cyber threats, which is further contributing to the increasing demand for identity theft protection services. The rising popularity of online shopping and cashless transactions is further boosting the risks of online fraud. To mitigate such fraudulent activities identity theft protection solutions are gaining traction in Japan.

Category-wise Analysis

Which Type of Identity Theft Protection Service is Gaining Traction?

“Digital Payment Trends Driving Demand for Credit-Card Fraud-Related Protection Services”

Attribute	Credit-Card Fraud-Related Protection Services
Segment Value (2024E)	US$ 4.8 Billion
Growth Rate (2024 to 2034)	8.2% CAGR
Projected Value (2034F)	US$ 10.4 Billion

Growing popularity of digital transactions and cashless transactions is exposing individuals to online theft and unauthorized access. The rise in online shopping is increasing the importance of credit card details in virtual transactions. To get protected from any kind of fraudulent activity, the need for effective credit-card fraud-related protection services is increasing.

Who are Prime Users of Identity Theft Protection Services?

“Identity Theft Protection Services Popular for Preventing Online Financial Loss”

Attribute	Consumers
Segment Value (2024E)	US$ 6.5 Billion
Growth Rate (2024 to 2034)	8.8% CAGR
Projected Value (2034F)	US$ 15.2 Billion

Identity theft protection services play a vital role in the prevention of financial loss by not allowing unauthorized access to individual’s bank accounts or any financial assets. Individuals often encounter cyber threats while performing online transactions through dangerous sites or mediums. So to get protected from cyber threats, sales of identity theft protection services are gaining traction.

Competitive Landscape

The global identity theft protection services industry is competitive owing to the existence of leading companies. Some of the main tactics employed by key players in the identity theft protection services market include expansions, mergers and acquisitions, collaborations, and partnerships.

Also, new product launches, as a strategic approach adopted by the leading companies, are set to boost their market position. All such strategies are aiding key market players in earning more.

• 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.
• An insurance and financial services company, Nationwide, partnered with Generali Global Assistance in 2020 to offer personal cyber protection services under the Theft Protection Program. It will help protect nationwide users from cybersecurity attacks and threats.
• Connecticut’s largest business organization, CBIA partnered with defend-id, Inc. in 2020, to deliver identity theft and recovery protection solutions to small businesses

Key Segments of Identity Theft Protection Services Market Research

• By Type :

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

• By End Use :

  • Consumers
  • Enterprises

• By Region :

  • North America
  • Latin America
  • Europe
  • East Asia
  • South Asia & Oceania
  • Middle East & Africa