New Aite Group survey shows 30% of FI participants are in the process of implementing analytically driven authentication orchestration.
Boston, October 3, 2017 — Aite Group’s latest report, Machine Learning: Fraud Is Now a Competitive Issue, looks at how financial institutions can better leverage customer data and advanced machine learning techniques to achieve the dual goals of better fraud mitigation and an improved customer experience. Organized crime rings are systematically and methodically targeting the financial services value chain with sophisticated card fraud, application fraud, and account takeover attacks. And Aite Group research shows that as these threats continue to escalate, financial institutions are under intense competitive pressure to make the banking experience easier and frictionless.
“Effective fraud prevention is now a competitive issue for FIs,” says Aite Group research director Julie Conroy. “Early adopters of advanced analytics are able to increase their fraud detection, and the associated improvements to the customer experience give them a decided edge over their competitors that lag in these investments,” she says.
This report is designed to help FI executives benchmark their progress in moving toward machine learning analytics against their peers and better understand the considerations and lessons learned along the way. In this research study, which is sponsored by iovation, Aite Group interviewed 28 senior fraud and data analytics executives at 20 North American FIs in August and September 2017.