TransUnion (TRU, Financial) has released its H1 2025 Update to the State of Omnichannel Fraud Report, revealing a significant increase in the severity of data breaches in 2024, despite a decline in the overall number of breaches. The report, published on March 27, 2025, highlights that while primary and third-party data breaches decreased in volume, their severity rose by 34%, posing heightened risks for future fraud. The report also identifies key industries targeted by digital fraud, with communities and video gaming being the most affected globally.
Positive Aspects
- Overall volume of data breaches decreased in 2024 compared to the previous year.
- TransUnion's report provides valuable insights into fraud trends, helping organizations prepare and protect against future threats.
- Some industries, such as telecommunications and insurance, saw a decrease in suspected digital fraud volume.
Negative Aspects
- Severity of data breaches increased significantly, with the Breach Risk Score rising from 4.1 to 5.6 for primary breaches.
- High-quality credentials were increasingly targeted, facilitating identity-based attacks.
- Digital fraud attempts in communities and video gaming remain high, with logistics experiencing a 100% increase in fraud volume.
Financial Analyst Perspective
From a financial standpoint, the increase in data breach severity is concerning as it indicates potential future financial losses for both consumers and businesses. The rise in the Breach Risk Score suggests that organizations may face higher costs related to fraud prevention and mitigation. Additionally, the report's findings underscore the importance of investing in robust cybersecurity measures to protect sensitive data and maintain consumer trust.
Market Research Analyst Perspective
The report highlights critical trends in digital fraud, emphasizing the need for targeted strategies to combat fraud in specific industries. The high fraud rates in communities and video gaming suggest that these sectors require enhanced security protocols. Furthermore, the significant increase in logistics fraud volume indicates a growing threat in this area, necessitating industry-wide collaboration to address vulnerabilities. Understanding these trends can help businesses allocate resources effectively and develop comprehensive fraud prevention strategies.
Frequently Asked Questions
Q: What is the Breach Risk Score (BRS)?
A: The BRS is a measure of the quantity and severity of identity credentials exposed in a data breach, rated on a scale from 1 to 10.
Q: Which industries were most affected by digital fraud in 2024?
A: Communities, video gaming, and logistics were among the top industries targeted by digital fraud globally.
Q: How did the volume of data breaches change in 2024?
A: The volume of primary data breaches decreased from 2,842 in 2023 to 2,577 in 2024, while third-party breaches fell from 2,731 to 515.
Q: What is smishing?
A: Smishing is a type of phishing that uses text messages to deceive individuals into providing personal information.
Read the original press release here.
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