Singapore – A significant 18% surge in remote fraud targeting physical goods in e-commerce is expected to occur between 2024 and 2025. This goes along with fraudulent e-commerce transactions for physical goods anticipated to total US$10b in 2025, according to the latest study from Juniper Research.
Findings of the study include the impact of advanced fraud techniques such as deepfakes and synthetic identities as growing threats to the landscape. It also involves placing emphasis on liveness detection as a critical anti-spoofing solution for verifying identities.
Furthermore, a diverse range of fraud prevention tools was found crucial in mitigating the financial losses. Said finding highlights behavioural-based verification solutions, a highly effective solution in countering fraudulent activities.
Meanwhile, the report highlighted fraud prevention vendors to prioritise continuous monitoring as well as incorporating behavioural analytics and step-up verification through biometrics. This approach is crucial for detecting and addressing fraudulent activities in real time, particularly at key moments such as payment transactions.
“E-commerce merchants must couple automated AI defence systems with human-piloted checks,” said Thomas Wilson, report author at Juniper Research.
“This will combat sophisticated fraud tactics, such as synthetic returns labels and accurately weighted packages, that have enabled fraudsters to receive e-commerce goods for free,” he added.
