New Data Finds Brands are Losing Younger Customers Due to Password Pain, as Passkeys Gain Mainstream Momentum
Global FIDO Alliance study reveals latest consumer trends and attitudes towards authentication methods and their perceived online security
Key findings
- Passkey familiarity growing – In the two years since passkeys were announced and made available for consumer use, passkey awareness has risen by 50%, from 39% familiar in 2022 to 57% in 2024.
- Password usage stagnates as consumers favor alternatives – The majority of those familiar with passkeys are enabling the technology to sign in. Meanwhile, despite passwords remaining the most common way for account sign-in, usage overall has declined as alternatives rise in availability.
- Waning password patience is costing sales and loyalty, especially among younger consumers – 42% of people have abandoned a purchase at least once in the past month because they could not remember their password. This increases to 50% for those aged 25- 34 versus just 17% for over 65s.
- Online scams and AI alarming consumers – Over half of consumers reported an increase in the number of suspicious messages they notice and an increase in scam sophistication, driven by AI. Younger generations are even more likely to agree, while older generations remain unsure how AI impacts their online security.
