- With e-commerce surging during the coronavirus pandemic, Prime Day and the 2020 holiday season may be the perfect hunting ground for online fraudsters.
- Business Insider spoke with Amazon’s former Director of Corporate Development Aaron Barfoot, who now serves as the chief financial officer of online security firm Forter.
- “Good online hygiene means paying attention and being alert,” Barfoot said.
- Visit Business Insider’s homepage for more stories.
It’s a potential nightmare for anyone who’s ever shopped online: checking your bank account or credit card statement to find that a cybercriminal has stolen your identity and run up a huge bill.
During Amazon’s two-day Prime Day sales event and the upcoming 2020 holiday season, that’s a scenario that could become reality for more shoppers than ever before. Former Amazon Director of Corporate Development Aaron Barfoot — who now serves as chief financial officer for online fraud prevention firm Forter — said that 2020 may prove to be an especially risky year for online shoppers, thanks to the surge in online purchases during the coronavirus pandemic.
Forter estimates that transactions by first-time online shoppers have spiked from between 4% to 5% last year to around 10% to 14% in 2020. The overall increase in online transactions makes it “easier for a fraudster to hide,” Barfoot said. In its annual fraud report tracking e-commerce transactions, Forter also found that fraud pertaining to “buy-online-and-pickup-in-store” orders has already increased 55% year-over-year.
“More new customers are going online for the first time,” Barfoot told Business Insider. “Once those new customers are online, they are more susceptible to fraud.”
Those looking to prey upon the influx of inexperienced e-commerce shoppers — especially elderly customers and those without the digital savvy to create strong passwords — come armed with a playbook of fraudulent moves. Hussein Ahmad, CEO of digital