Ecommerce fraud is a growing problem for online retailers, and it’s important for business owners to stay up to date on the latest fraud statistics.
In this blog post, we’ll take a look at the current state of ecommerce fraud and discuss the best ways to protect your business from fraudulent activity.
Ecommerce Fraud: The Most Important Statistics
In 2021, over 150 American credit card holders were victims of credit card fraud, resulting in charges of over a billion US dollars.
Global e-commerce fraud loss is estimated to reach $48 billion by the end of 2023, a 16% YoY increase.
Ecommerce Fraud: Statistics Overview
In 2017 and 2018, 24 billion US dollars was lost due to credit card fraud, with 92% of fraudulent activity attributed to online fraudulent activity.
This statistic matters because it shows that online fraud is a major issue that needs to be addressed. This statistic highlights the importance of having strong security measures in place to protect against online fraud, as it can have a significant financial impact on businesses.
35% of payment fraud is caused by customers, highlighting the importance of customer accountability in ecommerce fraud prevention.
This statistic highlight the importance of customer accountability in preventing payment fraud. By understanding the percentage of payment fraud caused by customers, businesses can better understand how to prevent fraudulent activity and protect their customers.
Credit card fraud decreased by 1% in 2020, with 28% of victims aged between 30–39 years old.
This statistic shows the prevalence of credit card fraud and the age group that is most affected. This information can be used to inform strategies to reduce credit card fraud and identity fraud, such as better fraud prevention measures and awareness campaigns targeting the age group most affected.
In 2021, over 150 American credit card holders were victims of credit card fraud, resulting in charges of over a billion US dollars.
This statistic highlight the prevalence of credit card fraud in the United States, as well as the amount of money that is lost due to this type of fraud. This information can help ecommerce businesses better understand the risks associated with credit card fraud and take steps to protect their customers and their businesses.
2 in 5 South Africans are aware that they can be victims of fraud during the festive period, which is when the rate of fraudulent activity is highest.
This awareness is essential in order to reduce the amount of fraud that occurs and to protect consumers from becoming victims.
Global e-commerce fraud loss is estimated to reach $48 billion by the end of 2023, a 16% YoY increase.
This statistic shows the growing trend of fraudulent attempts and the need for online retailers to stay up to date with the evolving scam tactics. This increase in fraud loss can have a significant impact on the bottom line of online retailers, and the need to invest in better fraud prevention measures is more important than ever.
The most common types of e-commerce fraud are identity theft (71%), phishing (66%) and account theft (63%), with credit cards being the most popular target.
This matters because it highlights the need for system integration to provide a unified view of all transactions across all markets to prevent fraud.
80% of US and UK consumers have made an online purchase in the past 3 months, yet 21% are concerned about entering their card information and 54% are less likely to try out newer technology due to the risk of fraud.
This shows that consumers are aware of the risk of fraud and are willing to change their shopping habits in order to avoid it. This highlights the need for businesses to prioritize data protection and fraud prevention measures in order to ensure customer trust and loyalty.
Conclusion
In conclusion, ecommerce fraud is a growing problem that affects businesses of all sizes. The statistics show that the number of fraud attempts is increasing, and the losses are becoming more significant.
Businesses must take steps to protect themselves from ecommerce fraud, such as implementing fraud prevention measures, monitoring transactions, and training staff to recognize suspicious activity. By taking these steps, businesses can reduce their risk of becoming victims of ecommerce fraud.
References
1 – https://review42.com/resources/ecommerce-fraud-statistics/
2 – https://www.globenewswire.com/news-release/2021/12/02/2345011/0/en/Suspected-E-Commerce-Fraud-Attempt-Rates-Between-Thanksgiving-and-Cyber-Monday-Increase-25-Compared-to-the-Rest-of-the-Year.html
3 – https://timesofindia.indiatimes.com/blogs/voices/facts-and-figures-about-marketplace-fraud-and-how-to-prevent-it/
4 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=Credit%20card%20fraud%20was%20the,losses%20(Columbus%2C%202020).
5 – https://get.eftsure.com.au/statistics/payment-fraud-statistics/
6 – https://webtribunal.net/blog/ecommerce-fraud-statistics/
7 – https://www.fool.com/the-ascent/research/identity-theft-credit-card-fraud-statistics/
8 – https://www.security.org/digital-safety/credit-card-fraud-report/#:~:text=According%20to%20our%20research%2C%2065,had%20been%20victims%20of%20fraud.
9 – https://www.iol.co.za/business-report/economy/digital-festive-fraud-spikes-nearly-8-in-the-country-transunion-304c986d-1812-4cd8-892f-f1db768d56ba
10 – https://www.transunion.co.za/archives-article/sa-ecommerce-holiday-fraud-trends-2021#:~:text=Suspected%20ecommerce%20fraud%20attempt%20rate,Cyber%20Monday)%20were%20potentially%20fraudulent.
11 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=US%20retailers%20faced%20a%207.3,(Signal%20Sciences%2C%202019).
12 – https://dazeinfo.com/2022/10/14/ecommerce-fraud-losses-in-2022-2023-cybercriminals-may-steal-48-billion-in-2023/#:~:text=According%20to%20a%20recent%20study,end%20of%20the%20next%20year.
13 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=US%20retailers%20faced%20a%207.3,(Signal%20Sciences%2C%202019).
14 – https://www.information-age.com/seven-types-e-commerce-fraud-explained-1396/
15 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=US%20retailers%20faced%20a%207.3,(Signal%20Sciences%2C%202019).
16 – https://www.virid.com/blog/general/what-does-ecommerce-fraud-really-cost-your-business
17 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=US%20retailers%20faced%20a%207.3,(Signal%20Sciences%2C%202019).
18 – https://spd.group/machine-learning/e-commerce-fraud-detection/
19 – https://financesonline.com/ecommerce-fraud-statistics/#:~:text=US%20retailers%20faced%20a%207.3,(Signal%20Sciences%2C%202019).
20 – https://business-reporter.co.uk/finance/global-e-commerce-increases-during-covid-19–and-with-it-fraud
ZipDo, cited June 2023: Ecommerce Fraud Statistics
