NEW YORK, NY – August 10, 2021 – Socure, the leading provider of digital identity verification and fraud solutions, today announced that it has achieved record financial results reflecting the continued momentum of its industry-leading digital identity verification and fraud solutions. Socure achieved 126% year-over-year recurring revenue growth in the second quarter, marking the third consecutive quarter of record growth. Bookings are also up 285% as compared to Q2 of 2020, making this the third consecutive quarter of accelerating growth. The company continues to achieve record results as Socure ID+ has emerged as the preferred identity verification platform for the largest enterprises and is trusted by 4 of the 5 largest banks, 7 of the 10 largest credit card issuers, top Buy Now, Pay Later (BNPL) providers, top crypto exchanges and the largest online gaming operators.
Socure surpassed the milestone of 500 enterprise customers as it experienced massive inbound interest from companies in financial services, fintech, crypto, telco, healthcare, online gaming operators and state and federal governments looking to reduce fraud and gain the ability to fully automate more customer approvals, while reducing false positives and consumer friction.
Socure achieved a net retention rate of 177% driven by near-zero attrition and its enterprise customers increasingly deploying multiple Socure products across various divisions making Socure their complete KYC, document authentication, AML and fraud prevention platform.
Socure’s success is being fueled by three major market drivers. First, the global pandemic has accelerated an already white hot digital commerce market with estimates predicting that U.S. consumers will spend more than $933B on e-commerce in 2021. In parallel, fraud attack patterns have evolved and identity theft is a growing problem in the United States. According to AiteNovarica research, in 2019, losses from identity theft cases were $502.5B and rapidly increased to $712.4B in 2020, a 42% increase year-over-year. Identity theft losses will continue due to the very high rate of unemployment identity theft during the pandemic. According to some estimates, unemployment fraud could easily reach $400B, with the bulk of the money likely ending up in the hands of foreign crime syndicates — making this not just theft, but a matter of national security. Finally, online businesses have their sights set on capturing members of the millennial generation and younger, the largest demographic of the nation’s population, with competition and complexity to acquire these consumers surging.
“We’re on the fastest growth trajectory Socure has ever seen and attribute that to our differentiation in the market by being able to more accurately and instantly verify the hardest-to-identify segments of the population, specifically Gen Z, millennials, thin-file, credit invisible, and new-to-country at incredible scale,” said Johnny Ayers, founder and CEO of Socure. “Everyday, hundreds of the largest and most influential companies online are using Socure's technology to achieve the goal of creating equitable access for all individuals buying goods and services on the Internet, while protecting themselves and consumers against fraud. I’m extremely grateful to get to partner with such a world-class team that’s working to execute on such a critical societal need.”
Additional 2021 Highlights:
New Product Offerings, Technology Innovations:
Socure increased its technology leadership in the identity verification industry by introducing the following enhancements and capabilities:
- Instant identity verification of up to 98% for all ages and demographics
- Synthetic ID fraud capture of up to 90% in the riskiest 3%, including for companies without reliable synthetic ID fraud labels
- Enhanced DocV biometric verification with certified NIST-PAD level-2 liveness, recognizing up to 99.5% of all common spoofing and presentation attacks
- A new device risk module providing intelligence based dozens of signals to gauge risk associated with a physical device within the context of a broader digital identity
- Introduction of the first identity verification and fraud solution purpose-built for the BNPL industry
The Socure team grew to 296 employees adding top talent in every functional area; Some new strategic executive hires included:
- Debra Geister, Vice President of Product Commercialization, Compliance & Regulatory
- Geister has been a financial crimes strategist and compliance industry contributor for over 20 years. She has held various leadership positions with AML and RegTech providers as well as many large global and domestic financial institutions.
- Mike Cook, Vice President of Commercialization, Fraud Solutions
- Cook has more than 30 years of experience in the fraud industry, including senior management roles with Experian, Early Warning Services, and American Express. With three patents awarded and four patents pending, Cook is a proven innovator in the field of data breach, fraud, credit risk, compliance, and account management solutions.
Industry Award Recognition:
- Socure was named in two categories in the Forbes Fintech 50 List 2021
- Socure was recognized for the second year in a row by Forbes as one of America’s Best Startup Employers for 2021