Report: Nearly 70% of companies using anti-bot solutions lost revenue due to bot-driven account fraud
Image Credit: Just_Super/Getty
Check out all the on-demand sessions from the Intelligent Security Summit here.
Nearly 70% of companies lost 6% of revenue or more due to bot-driven account fraud, according to a new 2022 State of Bot Mitigation report released by Less than. And, 40% of companies lost 10% of revenue or more in the past 12 months.
The majority of companies using anti-bot solutions continue to struggle to stay ahead of threat actors despite spending typically millions of dollars fighting malicious bot attacks. This is largely due to the manual effort required to maintain and manage expensive solutions. Companies are forced to spend an increasing amount of time, money, and resources to keep pace with the innovation and speed of motivated attackers.
What is bot-driven account fraud?
Account takeover (ATO) attacks, fake account creation, and any kind of fraud on user accounts that are conducted through automation or bots are considered bot-driven account fraud.
Why are companies losing so much in revenue?
Companies are losing money due to bot-driven account fraud due to the downstream effects on the end-customer websites, mobile apps, and APIs. As a result of bot attackscompanies report website crashes, data leaks, and an increase in infrastructure costs, resulting in poor customer experience, lower online conversions, and reputational damage. Together, these negative impacts either directly or indirectly contribute to a loss in revenue.
Intelligent Security Summit On-Demand
Learn the critical role of AI & ML in cybersecurity and industry specific case studies. Watch on-demand sessions today.
Increasingly sophisticated bots
Among the report findings:
- 83% of respondents say bots are becoming more sophisticated and difficult for security teams to detect;
- 62% have spent more than $500,000 fighting bot attacks in the past year;
- The most difficult type of bots to stop include credential stuffing; web scraping; denial of inventory; CAPTCHA defeat; fake account creation; application DDoS; and carding/cracking.
Kasada commissioned Atomik Research to conduct a survey of 202 U.S. security and IT professionals responsible for mitigating bots. Fieldwork took place between August 18th and August 29th of 2022.
Read the full report from Kasada.
VentureBeat’s mission is to be a digital town square for technical decision-makers to gain knowledge about transformative enterprise technology and transact. Discover our Briefings.