RSS feed Get our RSS feed

News by Topic

BizReport : Internet : December 01, 2015

Telesign: Fake users costing businesses millions of dollars

As if businesses did not already have enough on their plates with bots, viruses and trolls, new research from mobile identity solutions provider Telesign reveals how many are knowingly allowing in fake users.

by Helen Leggatt

Of the 584 U.S. and U.K. respondents to a survey by Ponemon Institute and sponsored by Telesign, a whopping 82% of businesses struggle to deal with the problem of fake users. In fact, nearly half (47%) allow them into their company ecosystem simply to avoid friction in the user registration process.

The result? "Their user base is declining in value by as much as 47 percent," writes Telesign in a blog post. "With the average user base valued at $117 million, that can mean a loss of as much as $55 million!"

User convenience was, among the majority (58%) of businesses, the most important factor in an organization's authentication strategy, found the survey, followed by cost efficiency (52%) and ease of use (42%).

What about security, I hear you ask? Security came after ease of use (21%).

telesign 1.pngYet, making sure a user is not a fake is as easy as requesting a mobile number, says Telesign, and 75% of businesses agree.

Check out Telesign's interactive infographic and full report (.pdf)..

Tags: fake users, research, security

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.