According to Ravelin, most e-commerceplan to hire new fraud professionals this year, due to the number of such incidents recorded in the past 12 months.
Ravelin surveyed 1,900 global fraud professionals working for businesses with annual revenues of more than $50 million to compile the “Global Fraud Trends 2023” study.
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According to the study, 59% recorded an increase in online payment fraud, while 51% reported fraud involving account takeover .
52% reported promotion fraud and 53% fraud related to refunds. 40% claimed to have noticed an increase in friendly frauds.
As a result of these trends, most online merchants in the UK (58%), Germany (80%), the US (72%) and Australia (86%) plan to hire professionals this year to help them detect and respond to fraud early.
Technology helps
Many businesses are also relying on technology to combat fraud. For example, they are using tools powered by machine learning and two-factor authentication (2FA). Almost half (48%) of UK companies said machine learning was one of the most effective tools they had, while three-quarters of marketers said the same about 2FA.
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Machine learning algorithms can be trained to observe “normal” transaction patterns, to detect small changes that indicate suspicious activity that may not be easily detected by humans. They also have the advantage of working 24/7/365, taking the pressure off human teams. Teams can then examine the suspicious activity flagged by the machines.
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The combination of technology and professionals in security and fraud management can make a difference and help companies involved in e-commerce strengthen their security.
Source: www.infosecurity-magazine.com
