Fraudsters have taken advantage of consumers who have increased their e-commerce use
According to Juniper Research, the value of losses due to e-commerce fraud in 2021 will rise to over $20 billion up from $17.5 billion in 2020 meaning an 18% growth over a single year.
The report has found that while merchants will be keen to reduce fraud rates from their current levels, they will be hesitant to introduce extra friction into the checkout process. In fact, clear messaging around security checks and automated behavioral analytics leveraging AI are key capabilities in preserving the user experience.
The research also found that China will be the largest single e-commerce fraud market in the world. It’s expected to account t0 over 40% of e-commerce fraud losses globally in 2025, at over $12 billion. The research identified a massive e-commerce market and a relative lack of fraud detection and prevention platform deployment as the key drivers behind this.
We’ve reported that nearly half of retailers faced fraud rise amid pandemic.