Our website uses cookies

Cookies enable us to provide the best experience possible and help us understand how visitors use our website. By browsing Essential Retail Magazine, you agree to our use of cookies.

Okay, I understand Learn more

Survey: 60% of European retailers experienced fraud hike in last year

Nearly two-thirds of European retailers experienced a hike in fraud during the last year, according to new research.

The report from payments platform provider Adyen found that retailers are increasing their efforts to prevent fraudulent transactions, with more than 75% of them saying they are prepared for fraud or have active fraud prevention systems in place.

Adyen’s research also indicated that retailers are turning to biometrics to help authenticate payments securely. Some 57% of retailers are looking to implement fingerprint biometrics, and 56% are looking to use voice authentication to bolster their cybercrime defences.

In addition, 31% of retailers said that they understand the role that machine learning can play in fighting fraud.

As part of the report, Adyen sought the view of consumers, and 69% of those surveyed said they would avoid merchants that fall victim to a data breach.

Myles Dawson, UK managing director of Adyen, commented: “As technology makes the shopping experience more engaging and convenient, it also powers the sophisticated fraudsters.

“Retailers need to walk a very fine line of doing everything in their power to help prevent fraudulent transactions and protect their customers, but they also don’t want to be overly cautious and decline legitimate transactions. Payments technology is key in this regard.”

He added: “Machine learning and advanced data analysis plays a vital role in accurately identifying the shopper behind each transaction to reduce chargebacks and false positives.”

Just over half (55%) of consumers surveyed by Adyen said they’d pay with cards more frequently if it helped to reduce the risk of fraud, while 44% said they’d pay through an app if it has the same effect. 

The statistics came from a commissioned retail report by Adyen and 451 Research’s Global Unified Commerce Forecast, which surveyed 5,000 shoppers and 500 retailers in the UK, Spain, France, Germany and the Nordics.

What’s Hot on Essential Retail?