Forrester Study Highlights a Company’s 90 Percent Reduction in Fraud Costs Using IBM Trusteer Solutions

October 20, 2016
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3 min read

The threat of cyberattacks is a constant problem for financial institutions. Financial companies battle malicious malware, an array of fraud schemes and numerous other criminal activities daily. These attacks can result in data breaches, financial loss and reputational risk. Cybercriminals and fraudsters constantly look for system and process vulnerabilities to exploit.

IBM Trusteer can help security teams safeguard customers’ accounts, which is why we are thrilled to release a new commissioned study conducted by Forrester Consulting, “The Total Economic Impact™ of IBM Trusteer Solutions.”

About the Study

Forrester took a multistep approach to holistically evaluate the impact IBM Trusteer can have on an organization. The firm interviewed IBM marketing, sales and consulting personnel to gather IBM Trusteer solution data. It also conducted an interview with an IBM Trusteer customer without participation from IBM. Finally, Forrester created financial models based on its Total Economic Impact (TEI) methodology, making adjustments based on cost and risk factors.

For the study, Forrester conducted an interview with an IBM Trusteer customer based in South America. The organization is a subsidiary of a global financial services organization that serves millions of customers and has 130,000 employees. Forrester interviewed the leader in the security and fraud department of the subsidiary, which services over 12 million clients and employs 5,000 locally.

Financial Summary

The organization experienced the following risk-adjusted benefits using IBM Trusteer solutions:

Through the interview and subsequent financial analysis, Forrester identified a risk-adjusted return on investment (ROI) of 204 percent. This analysis highlighted benefits of $8.7 million over a three-year period verses a total cost of $2.9 million, adding up to a net present value (NPV) of $5.8 million.

Read the complete Forrester Total Economic Impact Study on the benefits of adopting IBM Security Trusteer Solutions

Key Financial Benefits

The organization Forrester interviewed experienced a number of quantified benefits in this case study, including:

  • Reduction in cost of fraud by 90 percent: With the deployment of IBM Trusteer solutions, the organization is now able to detect, prevent and remediate fraud issues. Prior to the installation of IBM Trusteer, the organization’s fraud costs were estimated to be $7.5 million. So far in 2016, it has only experienced $750,000 in fraud-related losses.
  • Reduction of phishing incidents and malware attacks by 80 percent: Using prior solutions, the organization faced 100 incidents of phishing per week. After it installed Trusteer’s Rapport and Trusteer Pinpoint Detect, this number decreased to 20 incidents per week.
  • Reduction in likelihood of regulatory fines, amounting to an annual savings of $540,000: Financial services is a highly regulated industry. Organizations that fail to meet standards face hefty fines. Through the investment in IBM Security Trusteer, the organization is better prepared to meet the demanding regulatory requirements and reduce the risk of fines. Forrester estimated that in a three-year period, the organization could potentially reduce its risk of regulatory fines by 90 percent.
  • Reduction of time spent on auditing and compliance by 50 percent: Many functions must work in concert to meet a company’s auditing and compliance needs. Through the implementation of IBM Security Trusteer, the organization is able to stay current with its regulatory and compliance requirements. The platform offers a streamlined approach to the organization’s functions and easier access to information it needs to prove compliance in the event of an audit.

Download the Full Forrester TEI Study

Download the full report to find out how your organization can boost productivity by spending less time on auditing and compliance, all while reducing fraud-related costs, malware incidents and the likelihood of regulatory fines.

You can also join our webinar on Wednesday, Oct. 26, to learn more about the potential ROI of IBM Trusteer.

Watch the on-demand webinar: 204 percent – Your Potential ROI With IBM Trusteer

Brooke Satti Charles
Financial Crime Prevention Strategist, IBM Security

Brooke Satti Charles is a Financial Crime Prevention Strategist within IBM Security. Her career has been focused on research and reporting of fraud, money la...
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