Mobile commerce is a rapidly growing channel for consumers to purchase and sell products. However, this increase in popularity has led to an increase in fraud attacks targeting mobile devices. By the year 2025, approximately 70% of all online transactions will take place from a mobile device. This means that it’s more important than ever before to prioritize minimizing mCommerce fraud. It all starts with understanding the most common types of mobile commerce fraud that you face as a business owner. Let’s explore them below. 1. Account Takeovers This type of fraud occurs when a criminal is able to procure a user’s…

False declines are one the most detrimental consequences of a poor fraud prevention solution. This article explains the unexpected cost of false declines for your business. False declines are a problem that just about every online retailer has to learn to deal with. They pose a serious dilemma for businesses because it’s important to prevent fraudulent orders from getting approved, but the cost of false declines is high in terms of both reputation and revenue. It’s estimated that businesses lose 3% of their revenue due to false declines every year. In 2020, the ecommerce industry generated $4.29 trillion. If this revenue level…

Recent fraud numbers can send a chill down any merchant’s spine. According to Experian, e-commerce fraud increased by 30% in 2017 while total online sales increased by 16%. This means that the number of fraudulent activities is growing twice as fast as e-commerce sales. What’s even more challenging is that not all of these fraudulent activities are true fraud. Friendly fraud and chargeback fraud have become a revenue leak among online merchants. According to Shopify, merchants will lose at least $25 billion to friendly fraud by 2020. At the same time, 80% of those who file chargebacks admittedly did so because of convenience. Friendly…

With e-Commerce fraud and payment scams on the rise, companies must invest in progressive tools to address the cost of rejecting  transactions from legitimate customers. Vesta’s General Manager of Asia Pacific, Shabab Muhaddes shares his thoughts with The Business Times on how to manage the risk of rejecting valid transactions from legitimate customers. Within Asia, especially Southeast Asia, the rate of attempted fraud is up to 12 times greater than the global average, and online merchants lose an average 1.6% of revenue to direct fraud each year. In recent months, news on e-Commerce fraud and payment scams have increasingly surfaced,…

Online merchants can no longer rely on simple rule-based engines to stop fraud. Utilizing artificial intelligence is essential in protecting your business from modern fraud attempts. The tactics used to commit card-not-present (CNP) fraud have changed dramatically in the last decade. The solutions used by merchants in the past to detect fraud attacks aren’t as effective because the patterns and methods of committing fraud are ever evolving.  Here’s the bottom line: Traditional approaches to stopping fraud that involve rule-based decisioning engines don’t offer the level of protection that’s necessary to effectively prevent fraud attacks. The tactics used to commit fraud today are more nuanced and require artificial intelligence…