Emerging Scam & Fraud Concerns In Retail - Why Businesses Should Stay Alert

Emerging Scam & Fraud Concerns In Retail Why Businesses Should Stay Alert

Introduction - Reviewing The Emergence Of Scams In Retail With people choosing to purchase things online, retailers have had to embrace the omnichannel method of doing business in recent years. This move has been accelerated because of the pandemic.

Not only has the spread of the virus influenced and enhanced spending behavior in the digital world, but it has also made businesses vulnerable to cybercriminals. Small businesses which don’t have the budget or the resources to ward off threat actors are particularly susceptible to attacks made to steal their financial assets and customer information. Through this presentation, we will quickly review the recent trends around scams and fraud in this industry.

Scammers Take Over Delivery Channels And BOPIS BOPIS (Buy online pick up in-store) became extremely popular because of the social distancing regulations which were enforced because of the pandemic. The same goes for curbside pick ups.

However, scammers have taken advantage of gaps in security of websites of such stores. From making duplicate websites to steal customer information, sending offers via spam emails and spam texts to faking ownership of curbside orders meant for other customers, such acts of fraudsters have really harmed businesses and consumers.

It is vital for retailers to adopt additional authentication methods in order to minimize the occurrences of such problems.

Account Takeovers Most people use one password to secure multiple accounts. While this makes it easier for them to remember account information, it also leaves them vulnerable to fake transactions on their name and cyberattacks. If one of their accounts is compromised, their other accounts may also be under threat.

This is a huge problem because it does not only cause financial losses but also taints the brand’s reputation. Customers immediately perceive that the brand has not taken appropriate measures to keep their information private.

Staying safe from such attacks can be possible if both customers and businesses practise cyber hygiene. In addition to this, the latter must also adopt scam, spam, and fraud prevention tools to add another layer of security to avoid account takeovers by scammers.

The Automation Of Credit Card Fraud Instances of credit card fraud have gone up tremendously after the COVID-19 pandemic. Now, as reviewed by cybersecurity analysts, scammers and spammers are turning to sophisticated modes to siphon off funds and steal credit card details. This includes automation of the entire process. Scammers are now able to test out user IDs and passwords by running scripts at staggering speeds. To spot such activities, businesses must deploy fraud analytics tools on their web assets.

Hijacking Of Alternative Payment Modes Because of the anonymity offered by gift cards, cybercriminals are easing up to it to exchange funds acquired from stolen credit cards. In addition to this, as per expert reviews, we are also witnessing rising cases of fraud and scams in the realm of cryptocurrencies. With these becoming legitimate and popular channels, cybersecurity experts believe that businesses will have to come up with new ways to keep scammers and spammers at bay and to stop fake transactions without causing hindrance to customers.

Thank You! Presented & Reviewed By: Sai Narula,

Manager, Marketing 2.0 Conference https://www.marketing2conf.com/