The global fraud detection and prevention market reached a value of over USD 42 billion in 2023, and it is projected to continue growing at a CAGR of 23.3% from 2024 to 2032, reaching over USD 277 billion by the end of 2032. In 2023 alone, merchants lost more than USD 48 billion to online fraud, reflecting a 16% increase in ecommerce fraud from 2022. Moreover, a report from Sift reveals that 42% of Gen Z customers are most willing to commit first-party fraud by requesting refunds while keeping the items ordered online. Meanwhile, professional fraudsters are using increasingly sophisticated social engineering techniques to exploit merchants’ vulnerabilities.
With technological advancements making data access and online payments easier than ever, concerns about online fraud are driving demand for more tailored and complex fraud prevention solutions. Globally, cyberattacks, scams, identity theft, and fraudulent activities have increased in accuracy, aided by tools like GenAI and LLMs (Language Learning Models). This may prompt companies to add extra layers of friction to ensure they are interacting with real customers.
Additionally, the current global economic situation has led to an increase in certain types of ecommerce fraud, such as credit card fraud, chargebacks, gift card fraud, and account takeover. This depicts a challenging scenario for merchants and marketplaces, who must choose the right fraud detection and prevention technologies to minimise risks, without causing increased cart abandonment due to added friction.
Fortunately, there are several fraud solution providers specialising in all market sectors, working together closely to combat fraud globally and share knowledge.
fraud/risk management and decisioning platforms,
identity verification,
behavioural biometrics,
customer authentication,
chargebacks management,
data provision and intelligence,
KYC,
KYB/merchant onboarding,
bot risk management.
They specialise in one or multiple sectors and, by sharing their expertise, these players help merchants conduct their business safely, scale revenues, and provide end-users with a secure and seamless online shopping experience.
The following overview is the result of in-house desk research, combined with data available on the websites of the featured solution providers.
As we aim to keep the content of this infographic evergreen, we would like to hear feedback from you. The latest version of this infographic was revised in February 2025.
To access the full infographic focusing on various anti-fraud solutions offered by solution providers, we invite you to download your free copy of the Fraud Prevention in Ecommerce Report 2024-2025. We hope that the information encompassed will help you gain a strategic advantage in the competitive realm of fraud prevention in ecommerce.
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