Study: Retailers set to lose $71B in CNP fraud in next 5 years
New Juniper Research data reveals retailers stand to lose $71 billion globally from fraudulent card-not-present transactions over the next five years, according to a press release.
The research found that a number of factors, such as the U.S. shift to EMV cards, delays in 3DS 2.0 (3D-Secure) and click-and-collect fraud were key drivers behind the rise, according to the release.
Juniper's latest research, Online Payment Fraud: Emerging Threats, Key Vertical Strategies & Market Forecasts 2017-2022, found that many merchants still perceive combating fraud as too expensive. Consequently, they have been ill-prepared to deal with the shift to online fraud following the introduction of EMV payment cards in the U.S.
Nevertheless, Juniper's cost analysis of FDP (fraud detection and prevention) products found that in most instances, merchants would receive value from their investment. The analyst house therefore urged players across the value chain to increase their efforts in educating merchants on the benefits of FDP.
Companies: Juniper Research