Exquisite lanterns illuminate the path as scary witches and goblins head out to trick and treat. Celebrated on 31st October every year, Halloween shopping season is considered to be a magical time, being the precursor to the crazy consumerism. People splurge on gifts, costumes, candies, pumpkins, and decorations. According to a report, the total amount spent around the mysterious season is forecasted to reach $9.1 Billion in 2017.
Fraudster’s Eyeing on Halloween Shopping Season
Fraudsters keep a canny eye on this highly anticipated time of the year. Cybercriminals act as real-life monsters, walking round in the broad daylight and haunting organizations. Constantly evolving cyber-risk is a challenge, especially when the spotlight is on sales volume. The question is how to survive this horror?
Data Breach Fallouts Augmenting Fraud Rate
The recent data breaches have resulted in a compromise of personal data of millions of consumers, raising the bar of security concerns. The quantum escalation in fraud incidents indicate that the financial sector is under constant pressure to keep consumers’ information secure. Such data vulnerability is expected to affect the sales during Halloween, leading to an avalanche of disputes and chargeback.
Unnerving Fraud Surge during Halloween
The Halloween shopping season is considered to be a hot-zone for card fraud, with several online transactions happening. Card-not-present fraud and identity theft continue to rise in the financial landscape, being the biggest cybersecurity worries. Scammers rely on malicious software to steal customers’ personal credentials. Such stealthy activities cause numerous data breaches leading to millions of cards being stolen.
With Halloween being just around the corner, the escalating fraud rate poses a significant risk for e-commerce merchants, as the retail industry continues to shift from brick and mortar to digital. According to a report, retail fraud has increased by 31% during the 2016 holiday season. The growth rate in fraud seems to have surpassed the growth rate in e-commerce transactions.
Avoid Getting Tricked This Halloween
Fraud threats combined with the prevalence of data scams have emerged as a daunting challenge for merchants as well as Financial Institutions. With Halloween shopping crush approaching fast, it is imperative for the businesses to roll out advanced cybersecurity measures to address these escalating threats. Organizations are required to adhere to comprehensive fraud detection and prevention solutions in order to efficiently address the seasonal spike in cyber threats.