Highlights from the True Cost of Fraud Study for Philippines

The number of cybercrime cases in the Philippines reportedly increased by nearly 80% in a year-over-year comparison and an improving telecommunications infrastructure is driving the growth of mobile and digital transactions. As businesses work to catch up to changing market expectations, they are challenged by the increase of identity fraud and the lack of a strong fraud prevention infrastructure. Fraud costs are on the rise and for every fraudulent transaction, the cost to Philippine businesses is actually 3.46 times the amount of the lost transaction value. This translates to fraud costs amounting to 2.03% of annual revenues overall.  How are Philippine businesses balancing growing market opportunities with greater identity fraud risks?



Our detailed overview of the 2019 LexisNexis® Risk Solutions True Cost of Fraud^SM Study for the Philippines provides a comprehensive summary of the current state and cost of identity fraud. Built with research gathered from executives representing a wide range of industries, the study provides a snapshot of how identity fraud has proliferated across the Philippines and explores the direct cost and operational impacts. The study provides an in-depth view of the transaction channels and payment methods that pose the greatest identity fraud risks and details the challenges many businesses face when combatting identity fraud. The study also highlights how a multi-layered technology strategy strengthens identity fraud prevention efforts and lowers costs.

Our study walks through the market factors contributing to the increase of fraud in the Philippines, such as:

• The rapid rise of e-commerce and m-commerce
• Sizeable underbanked population and the prevalence of alternative payment methods
• Expansion and frequency of cyberattacks

It also illustrates common challenges facing Philippine businesses, including:

• Verification of customer identity
• Differentiating between legitimate transactions and bot activity
• Inability to determine source/origination of transaction
• Address verification

An important highlight from our 2019 True Cost of Fraud Study centers around the imperative for businesses to authenticate both digital and physical criteria as well as identity and transaction risk. To successfully accomplish this objective, businesses must incorporate a multi-layered fraud defense strategy that integrates a variety of technology tools to support:

• Velocity checks
• Transaction scoring
• Identity verification
• Active ID Authentication
• Digital Identity Risk Assessment
• Behavioral Biometrics
• Device Assessment

The study delivers in-depth details into the types of multi-layered fraud prevention solutions businesses in Philippines are taking advantage of to reduce false positives and lower cost impacts.

Explore our study to understand how your industry peers are effectively balancing expanding market opportunities with an optimal Identity fraud prevention program. Find industry-driven insights with a comprehensive overview of the LexisNexis® Risk Solutions True Cost of Fraud^SM Study for the Philippines. Review the full study now.