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HomeeCommerce NewsE-commerce losses due to online payment fraud estimated to exceed $25bn by 2024

E-commerce losses due to online payment fraud estimated to exceed $25bn by 2024

Online fraud

We have seen that people are starting to shop online rather than from retail stores. And this is becoming even more frequent since the coronavirus pandemic has come into existence since people are told not to go out of their houses for shopping. However, we know that there is a problem with shopping online which related to scams and frauds. Now, it is not possible that everyone can be made aware of how to shop online while some don’t need to be taught as they think they know everything.

But the fact is that a majority of the people are not aware of how to shop online safely and they fall for some traps which could wipe out money from their bank accounts. A new report now reveals that according to an estimate, $25 billion losses could be had by e-commerce in the next four years. This is because more and more people are estimated to come online and shop for items that they traditionally do offline. The problem, however, is that they are not used to shopping online and that could lead to them being scammed which could also mean that they never return to buying online ever again.

According to this research, “eCommerce merchants outside Europe must adopt similar measures to SCA, including two-factor authentication, or they will suffer from increasing levels of sophisticated fraud. Payment gateways will be vital to ensure that these security requirements are implemented at scale”.

The research also adds that “eCommerce merchants must take on a more educational role for their users. This role will primarily be education about cybersecurity practices, common fraud methods and changes to the checkout process to improve fraud mitigation. This will be essential in China, which will account for 42% of all eCommerce payment fraud in 2024”. Also, it is said that “The explosion of eCommerce means that fraudsters have evolved their tactics, and so merchants must also evolve”.

Sonali Minocha
Author: Sonali Minocha

Passionate about Innovation and Technology. I love to contribute to high impact projects/ products. I have co-created/contributed to technology solutions touching 100 million ++ humans. I am also fond of e-commerce & PIM solutions. As editor of eCommerceNext, I am bringing news, events, opinions, experts, reviews from the world of e-commerce and PIM Besides technology and innovation, I am usually involved in setting up and running complex operations and human capital systems. I have been grateful to be acknowledged by getting “Great Places to Work – Top 100”, “Great Places to Work – Top 50”, “Great Place to Work – Top 5” awards for my company. I am a people and relationship person and bring in a balance of empathy and realistic solutions. I thrive on building processes and building control systems. I led the team that achieved CMMI Level 3. I have managed large teams and in-turn managed projects worth 15-20 Million (Annually) Want me to cover an interesting story around eCommerce or PIM? Reach me on [email protected]

Author

Passionate about Innovation and Technology. I love to contribute to high impact projects/ products. I have co-created/contributed to technology solutions touching 100 million ++ humans. I am also fond of e-commerce & PIM solutions. As editor of eCommerceNext, I am bringing news, events, opinions, experts, reviews from the world of e-commerce and PIMBesides technology and innovation, I am usually involved in setting up and running complex operations and human capital systems. I have been grateful to be acknowledged by getting “Great Places to Work – Top 100”, “Great Places to Work – Top 50”, “Great Place to Work – Top 5” awards for my company.I am a people and relationship person and bring in a balance of empathy and realistic solutions. I thrive on building processes and building control systems. I led the team that achieved CMMI Level 3. I have managed large teams and in-turn managed projects worth 15-20 Million (Annually)Want me to cover an interesting story around eCommerce or PIM? Reach me on [email protected]