Advice for International Fraud Awareness Week.
Individuals today are spending about 8% more on necessary items and services like food, rent, and energy compared to 2021. As prices rise, so does the caution of consumers. When more money is spent on essentials, disposable income and spending patterns are re-examined. Ultimately, people are going to become more choosy about who they will do business with, which means retailers must make the most of every opportunity to gather new customers in a world of choices.
In honor of International Fraud Awareness Week, Doriel Abrahams, head of analytics at Forter, shares his thoughts on the intersection of the economy, e-commerce, and fraud, as well as what organizations can do to protect relationships with consumers as the holiday shopping season begins:
“Fraudsters don’t take holidays but they definitely will take advantage of the upcoming shopping season. This means the pressure is on for fraudsters and fraud fighters alike. For International Fraud Awareness Week, staying ahead of fraudsters starts with understanding their MO.
Right now, we’re following a few fascinating trends in fraudster behavior. We’ve seen a 35% increase YoY in fraud committed by “non-professional” fraudsters. These are not career fraudsters but ordinary consumers turning to fraud as supplementary income, almost like a new (lucrative) hobby.
Unfortunately, bots are another trend that fits well into the holiday season. When traffic is heavy, bots might find it easier to fly under the radar. Moreover, Forter’s data shows that apparel and footwear merchants that engage in limited stock drops or short time frame sales are good industries to focus on when looking at bot behaviors as they are particularly vulnerable – facing 5-6x more attacks than merchants who don’t engage in similar drops or sales.”