New, Signifyd

As the holiday shopping season hits full stride, ecommerce retailers across Europe face a new era of malicious attacks spurred by a COVID-inspired transformation in ecommerce and a 350% increase in fraudulent online orders, according to data published today by Signifyd, the market leader in guaranteed commerce protection.

24.11.2021 - 10:02:18

New Signifyd Report Spells out Ominous Warning for European Retailers Facing a 350% Increase in Fraud Pressure

has been rolled out across much of Europe and will be enforced in the UK beginning in March.

SCA was instituted to protect retailers and consumers from online fraud. The beginning of SCA enforcement across Europe has resulted in an average transaction failure rate of 26% post-SCA enforcement, according to payment services consultancy CMSPI.

The Signifyd report explores the conversion issue and reviews some of the strategies retailers are embracing to enjoy the benefit of added protection without introducing added friction to their customers’ buying experiences.

“Overall, the solutions which have been put in place have the potential to work well. A key factor for success is that all aspects of the payment ecosystem are ready and that there is effective communication and interoperability amongst the players,” Andrew Cregan, head of finance policy for the British Retail Consortium (BRC), said in the report. “The experience for the customer must be straightforward, but also it must be communicated well beforehand, so that it's fully understood.”

Beyond offering a primer on best practices in the SCA era, "The State of Ecommerce Fraud in Europe” explores how several types of fraud attacks — including account takeover, automated card testing, synthetic identities, return fraud, mule fraud and unauthorized reselling — have morphed and are likely to remain prevalent.

“In our recent Global Payment and Risk Mitigation Survey, the majority of merchants surveyed reported increases in synthetic and account takeover fraud over the previous year,” John Winstel, global head of fraud product at FIS, said in the report. “As these and other new fraud trends emerge, the safeguarding of a merchant’s revenue requires smart, dynamic protection against fraud throughout the payment lifecycle.”

About Signifyd
Signifyd provides an end-to-end Commerce Protection Platform that leverages its Commerce Network to maximize conversion, automate customer experience and eliminate fraud and consumer abuse for retailers. Signifyd counts among its customers a number of companies on the Fortune 1000 and Digital Commerce 360 Top 1000 lists. Signifyd is headquartered in San Jose, CA., with locations in London, Belfast, New York, Mexico City and Denver.