Some of the top challenges local e-commerce firms face when it comes to fraud detection include lack of identity information about payment service providers’ customers (69%), high volume of transactions (61%), and difficulty in determining transaction location (52%).
As digital wallets gain popularity especially for e-commerce activities in Singapore, they are increasingly becoming a target for cybercriminals.
According to The True Cost of Fraud APAC study by LexisNexis Risk Solutions, mobile apps are the largest source of fraud costs, with some e-commerce businesses reporting a 10% increase in fraudulent mobile transactions. Third-party synthetic identity and friendly first-party fraud made up a sizeable proportion of fraud losses.
