Online shoppers aware of Black Friday scams

The report found that 90 per cent of consumers are confident at recognising a fraud or phishing attempt via email, and 89 per cent of people think they could recognise fraud or phishing in text message.

Just 12 months ago less than 70 per cent of respondents said they would be able to identify an SMS or website-based scam.

This can be partly attributed to consumers being more familiar with online shopping today, having been forced to use the internet for most purchases during the pandemic.

The data also revealed 30 per cent of respondents said they would find proactive communication about how retailers are protecting them from fraud annoying.

The most prolific (42 per cent) online shoppers – 18-24-year-olds – are more likely to use an online retailer if they knew it had previously been hacked and/or suffered a data breach.

And two-thirds (62 per cent) of respondents said the amount of shopping they do online over the last 18 months has increased, and a third (33 per cent) browse and purchase most of their goods online.

“In the corporate world, we see up to a quarter of employees clicking on simulated phishing attacks – while there is perhaps less personal accountability when it comes to cyber security in people’s corporate life versus their home life, these figures still raise concern that consumers are vastly overestimating their ability to spot fraud when doing their Black Friday shopping online,” Martin Tyley, head of cyber security at KPMG UK, said.

“Conversely, throughout COVID-19 we have seen the relentless rise of text message scams – it may be that current education initiatives to drive awareness of this crime have had the desired effect.”

The data also revealed that consumers are split on how they want to be made aware of scams and fraud, with some finding proactive warnings and advice irritating.

When asked if an online retailer were to contact them to explain how they are protecting them from fraud, 30 per cent of respondents said that they would find it annoying and would be less likely to use the retailer.

Only 36 per cent thought it would be helpful and they would be more likely to engage with the brand. This presents companies with a challenge of how to accommodate consumer preferences whilst also keeping them safe online.

In the survey, 42 per cent of 18-24-year-olds stated that that they were more likely to use an online retailer if they knew it had previously been hacked and/or suffered a data breach, compared to 2 per cent of 55-64-year-olds and 6 per cent of those aged 65 and over.

This implies that younger people assume that the organisation in question would have boosted their security measures following an attack. It may also be that some younger, digitally native people have a limited understanding of the risks associated with a data breach, given how much personal information they willingly share on social media and other online platforms.

“This presents an interesting position for any organisation with a large younger audience that has been hacked. With this demographic more willing to forgive and forget, there is an opportunity for brands to quickly rebuild trust with these customers by communicating what has been done post incident to improve online security,” Mr Tyley said.