81% of Businesses Report Reduced Customer Churn After Adopting CIAM Solutions, According to New Research
New York, September 19, 2024– Liminal, a leading technology company specializing in market and competitive intelligence, is proud to announce the release of its 2024 Link Index for Customer Identity and Access Management (CIAM), providing a comprehensive overview of the top 15 vendors shaping the market. As businesses face increasing regulatory demands, customer expectations, and evolving cybersecurity threats, the report highlights key industry trends and solution capabilities that are driving the market forward.
From an initial evaluation of 50 companies, the report narrowed the field to 34 vendors based on rigorous product execution criteria. Of these, the top 15 stood out for their exceptional product performance and strategic vision. These vendors span several key categories, including cloud service providers, CRM providers, traditional CIAM vendors, IAM/SSO providers, and web security providers.
For a full list of top solution providers, access the report by signing into Link.
The Customer Identity and Access Management (CIAM) Solutions market is currently experiencing a substantial transformation, primarily influenced by the introduction of data privacy regulations such as the General Data Protection Regulation (GDPR) and the increasing demand for seamless, secure identity solutions. These CIAM Solutions are aimed at improving the customer experience while also ensuring compliance with relevant regulations. In today’s business landscape, organizations encounter various significant challenges, including fragmented identity management systems, the prevalence of account takeovers, and the high volume of manual account recoveries. Addressing these challenges is crucial for businesses to effectively manage and secure customer identities while providing a smooth and secure user experience.
Key insights from the Link Index for Cusotmer Identity and Access Management:
- 74% of businesses struggle with siloed identity data, complicating compliance with data privacy laws and negatively impacting personalized customer experiences.
- 90% of businesses have experienced account takeover (ATO) attacks, with 30% of incidents resulting in transaction fraud, underscoring the need for robust security measures.
- 75% of account recoveries are still manual, creating operational inefficiencies and higher costs for businesses.
To address these challenges, companies are increasingly adopting advanced CIAM solutions that provide integrated identity management, reduce security risks, and enhance operational efficiency. Key solutions to explore in Link include:
- Integrated CIAM Platforms: These solutions unify identity management, master data management, and security, streamlining processes and reducing risks associated with fragmented systems.
- Advanced Security Features: The implementation of passwordless authentication, multi-factor authentication (MFA), and user behavior analytics helps mitigate ATO attacks and other security threats.
- Automated Recovery Processes: By automating account recovery, businesses reduce operational strain and improve efficiency.
- Compliance Tools: Vendors are offering automated compliance solutions, such as consent management and regulatory reporting, ensuring businesses meet the stringent data privacy requirements of today’s market.
“CIAM is becoming more than just an access management solution; it’s a strategic enabler for businesses to securely manage customer identities while optimizing customer experiences and ensuring regulatory compliance,” said Travis Jarae, CEO of Liminal. “Our 2024 Link Index for Customer Identity and Access Management provides insights that help businesses make informed decisions on the solutions that will drive growth and mitigate security risks.”
Leading vendors in the report have demonstrated significant reductions in customer churn (81%), registration drop-off (63%), and fraud losses related to ATO attacks (53%), emphasizing the measurable business outcomes of adopting advanced CIAM solutions.
The report also projects the total addressable market (TAM) for customer identity and access management solutions to grow from $6.2 billion in 2024 to $10.8 billion by 2028, driven by increased demand for integrated identity management solutions that balance security, compliance, and customer experience.
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