August 24, 2016
Report: E-Commerce Fraud Rises 20% in Q2
Aug. 24, 2015
During the second quarter of 2015, fraud attacks against e-commerce merchants grew by 20 percent compared to the first quarter, according to antifraud technology provider ThreatMetrix. The company looked at aggregated data from the more than three billion transactions that ran over its network between April and June—31 percent of which originated on mobile devices—and said it detected nearly 36 million attacks. Of the e-commerce transactions that crossed ThreatMetrix’s network, 80 percent were account logins, 19 percent were payments and 1 percent were account creations. Of the three, account creations were deemed the most risky. The company said three percent of account logins and payment transactions were high-risk, while it identified seven percent of account creations as high-risk.
“As commerce goes global and mobile, cybercrime follows suit, as is evidenced by the high volume of attacks targeting cross-border and mobile transactions,” said Vanita Pandey, senior director of strategy and product marketing at ThreatMetrix. “Cross-border transactions open the door to new revenue opportunities for businesses but are easy targets for cybercrime attacks, so they must make every effort to ensure they’re stopping fraudulent transactions without rejecting authentic customers.”
Pandey also noted that digital media—including social networks, content streaming channels and online and mobile dating sites—have become “the fraudsters’ weapon of choice to test the validity of stolen credentials.”