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Why do 73% of breaches involve compromised credentials?

Why do 73% of breaches involve compromised credentials?

Year after year, the most recognized cybersecurity reports in the industry converge on an alarming finding: the majority of security breaches do not begin with a sophisticated exploit or a zero-day attack. They begin with a username and password that fell into the wrong hands.

According to multiple studies, including Verizon's Data Breach Investigations Report, approximately 73% of breaches involve compromised credentials as the initial attack vector. This figure should serve as a wake-up call for any CISO or IT director who has not yet prioritized a comprehensive identity and access management (IAM) strategy.

The underlying problem: ungoverned identities

The root of the problem is not simply that users choose weak passwords. The real challenge is structural. In most organizations, digital identities are created, modified, and deleted without a clear governance process. Orphaned accounts remain active months after an employee leaves the company. Service accounts share credentials across teams without rotation. Permissions accumulate with every role change and no one reviews them.

This scenario creates an enormous attack surface where an adversary does not need to breach a technological fortress. They only need to find a valid, forgotten credential.

Multi-factor authentication: necessary but not sufficient

Implementing multi-factor authentication (MFA) is a fundamental step. It drastically reduces the effectiveness of phishing attacks and credential reuse. However, MFA alone does not solve the problem if it is not accompanied by a broader strategy.

What good is requiring MFA if a service account with elevated privileges still uses a static password that has not been rotated in two years? Or if a user accumulates access from three different roles because a recertification was never performed?

Least privilege as an active defense

An effective IAM strategy must incorporate the principle of least privilege operationally, not just as a documented policy. This means implementing automated provisioning and deprovisioning processes, establishing periodic access recertification campaigns, and defining role models that reflect actual business needs.

When a user only has access to what is strictly necessary for their role, the impact of a compromised credential is significantly reduced. The attacker no longer obtains the keys to the kingdom; they gain access to a limited room.

Visibility and detection: closing the loop

The final component of a mature IAM strategy is the ability to detect anomalous behavior associated with identities. Access from unusual locations, atypical hours, unauthorized privilege escalations: all of these signals can be identified when the IAM platform is properly instrumented and connected with the broader security ecosystem.

Toward a proactive posture

Organizations that invest in robust IAM programs do not completely eliminate the risk of breaches through compromised credentials, but they reduce it dramatically. They transform identity management from an administrative function into a strategic security control.

If your organization still manages identities reactively, with manual processes and no clear visibility into who has access to what, the time to act is now. Every day without a solid IAM strategy is another day of unnecessary exposure.

The question is not whether an attacker will attempt to use compromised credentials against your organization. The question is whether your IAM program will be prepared to minimize the impact when it happens.


Related services

  • IAM Health Check — Identify orphaned accounts, excessive privileges, and governance gaps before an attacker does.
  • Platform Optimization — Implement automated least-privilege controls, recertification, and anomaly detection.