The Total Economic Impact of Twilio Verify

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June 25, 2024
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The Total Economic Impact of Twilio Verify

In a 2024 study commissioned by Twilio, Forrester Consulting revealed the potential value of Twilio Verify, highlighting its positive impact on businesses' bottom lines. The Total Economic Impact™️ (TEI) methodology used by Forrester quantified the value of Twilio Verify, offering a compelling narrative on its strategic advantages over standard messaging APIs.

Forrester Consulting found a composite organization representative of interviewed customers achieved a 174% ROI from Twilio Verify with an NPV of $1.49M from $2.35M in total benefits over three years.

Read the full Forrester TEI study here, plus use our new calculator to estimate the ROI, savings, and benefits of your user authentication strategies specific to your business.

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What is the Forrester TEI of Twilio Verify?

The TEI is Forrester’s proven methodology for justifying, quantifying, and articulating the value of an investment. This Twilio-commissioned study provides a framework to evaluate the potential financial impact of Twilio Verify for end-user authentications on their organizations.

To better understand the benefits, costs, and risks associated with this investment, Forrester interviewed four organizations that have experience using Twilio Verify. Forrester aggregated the interviewees’ experiences and combined the results into a single composite organization with the following characteristics: 

  • Global, headquartered in the US, 4,000 employees
  • $1 billion in annual revenue
  • 8 million total SMS verifications per year
  • 23% of these verifications are associated with fraud
  • $0.05 per completed verification

“We went with Twilio Verify because we did not have to go and integrate in-house like every SMS provider carrier type. We are prepared for whatever else comes in the future, this becomes like a one-stop-shop for us.”

Director of Product Video streaming company

What are the key findings from the study?

For the composite organization, Forrester found Twilio Verify delivered three-year, risk-adjusted present value (PV) quantified benefits of:

  • Significant ROI. Forrester's analysis reveals a 174% ROI for a composite organization, with a net present value (NPV) of $1.49 million derived from $2.35 million in total benefits over three years. 

  • Streamlined fraud prevention. Twilio Verify offers proactive protection against SMS fraud, with a considerable 95% reduction in reaction time to fraud alerts and more than $900,000 in avoided fraud loss. 

  • Fueled market expansion. The study showcases Twilio Verify's role in accelerating market expansion. Organizations confidently and quickly expanded into new markets.

  • Purpose-built authentication. Interviews with customers underscore the ease and efficiency of adopting Twilio Verify due to its comprehensive features, including managed phone numbers, fraud prevention, and channel availability.

According to the Forrester TEI study, Twilio Verify benefited interviewed organizations as a way to:

  • Improve authentication in their digital platforms

  • Block SMS fraud attempts

  • Optimize SMS messaging for optimized conversion

  • Expand into new markets

“We started using Twilio Verify because it had a built-in feature called Fraud Guard and our own enterprise systems were not as advanced. With Twilio, we have guaranteed quality.”

Senior Project Specialist Ride-hailing company


Twilio Verify delivers significant and quantifiable ROI for user authentication use cases. It can help organizations scale globally on day one, reduce the in-house resources required to maintain authentication flows, and reduce fraud-related costs.