Today, Forter releases its Eighth Edition: Fraud Attack Index. This bi-annual report traces fraud trends and methods of attack seen across a global network of merchant data and over $150 billion in transactions that Forter processes annually.
Forter’s Fraud Attack Index aims to help merchants understand how to better prepare their businesses and protect their customer ecosystem from all forms of fraud and abuse, while delivering an exemplary consumer experience. Industry trends as well as methods of fraud and abuse are examined, revealing insights into the current state of commerce and specific vulnerabilities merchants should prepare for in the coming weeks and months.
The Fraud Attack Index reveals fraud attack rates across the following industries:
- Apparel & Accessories: 9% Increase
- Auto Parts: 57% Decrease
- Beauty: 13% Decrease
- Digital Goods: 5% Decrease
- Electronic Goods: 5% Decrease
- Food & Beverage: 32% Increase
- Home & Garden: 51% Decrease
- Jewelry: 25% Decrease
- Marketplace: 33% Decrease
- Money Services: 90% Increase
- Air: 72% Increase
- Land: 86% Increase
- Hotel: 109% Increase
- Tickets and Events: 7% Decrease
- Variety: 42% Increase
This edition of the Fraud Attack Index also examines how merchants are striving to meet new consumer demands while ensuring they protect their business against fraud and abuse. Topics covered include:
- Returns Abuse
- Item Not Received Abuse (INR)
- Shipping Fraud
- Buy Online Return in Store (BORIS) and Buy Online Pickup in Store (BOPIS) Fraud
- Loyalty Fraud
This report also traces emerging methods of fraud attacks including:
- Account Takeover (ATO)
- Coupon Abuse
- Instrument Manipulation
- Identity Manipulation
- Repeat Offenders
As a companion to our bi-annual industry report, Forter has prepared a Special Report covering the Impact of Coronavirus on Consumer and Fraudster Behaviors. The global pandemic and outbreak of Coronavirus (COVID-19) has dramatically influenced how, when, where, and why consumers shop, and how merchants conduct their business operations.
As such, this report reveals insights into the latest trends in shifting consumer buying behaviors while tracing emerging vectors of fraud and abuse during these unprecedented times. With the shuttering of stores for “non-essential” purchases, merchants have been forced to consider how consumers are adapting: whether they are putting purchases on hold or moving essential purchases online, and how long lasting these new behaviors will be. For those industries seeing a surge in activity, merchants who manually review transactions may struggle to scale and meet the needs during this time.
The cessation of in-store interactions has meant that merchants will need to accelerate plans to digitally transform their businesses. A core part of Forter’s mission is to empower merchants to confidently grow their businesses based on an ecosystem of trust. Forter has therefore created this Special COVID-19 Report to share insights on consumer behavior and fraud and abuse trends during this unprecedented time.