Digital Nomads are Boosting Economic Growth and Fraud Concerns

The future of work is looking more and more location-independent, and these subtle changes are having a major impact on businesses worldwide. One influential factor driving this kind of economic growth is the rise of digital nomads around the world.  

In a recent global survey published by Regula, 62% of companies in the U.S. report that more than 21% of their new revenue comes from these traveling spenders.  

This impact on new business revenue reportedly stretches across industries as well.  

The data reveals that 68% of the Retail industry attributes 21% or more of their new revenue from these traveling customers. The same result is true for 66% of businesses in telecom and insurance, 64% of financial and banking institutions and 52% of companies in digital services. Additionally, 48% of healthcare providers are seeing a boost from customers who can buy and work from anywhere. 

Regula reports that the rise in the nomadic work culture is also coinciding with a rise in identity fraud concerns. With an increase in remote transactions in addition to unfamiliar customers, nearly a third of businesses anticipate needing to increase their spending on identity verification by 11-20%, according to the report.  

This trend is leading more companies to combat fraud by turning to new technology to ensure they can reap the benefits of digital nomads without falling victim to fraud. Biometric authentication, electronic document verification, digital identity wallets, and device fingerprinting are all being adopted at a rapid pace. These kinds of tools are being designed to help businesses confirm the identity of their customers, regardless of their location, adding a layer of security to the virtual transactions.