During peak seasons of discounts and holiday shopping, e-commerce experiences a sharp increase in transactions and, along with it, a worrying rise in fraud attempts. According to various industry studies, One in ten online purchases may show signs of fraud. around this time of year. Furthermore, according to a study by ACI WorldwideLast year, e-commerce fraud increased by 30% compared to previous year-end purchasesand it was estimated that approximately 1 out of 97 purchases It was fraudulent. The fraud It's not on any e-commerce seller's wish list, but it's a reality that must be faced with strategy, technology, and constant training to protect both the business and the customers.
How to do it? Here are some solutions to prevent this from happening in your business:
Plan and document year-end sales
Year-end sales typically register double-digit increases in transaction volumeTherefore, the operations that need to be reviewed and the overall site traffic require closer attention. Devising a Detailed plan to handle this increase in traffic and orders It helps maintain order on the site and prevent unexpected situations from occurring. For example, some estimates place the increase at around 12% in certain campaigns, which requires planning for additional resources and processes.
It is recommended that the plan include, at a minimum:
- Forecast of traffic and sales peaks by days and time slots, based on historical analysis of previous seasons.
- Documented procedures for the review of suspicious orders, returns, and chargebacks.
- Clear assignment of responsibilities on the team: who reviews alerts, who blocks accounts, who contacts customers, etc.
- Business continuity protocols in the event of site outages, DDoS attacks, or critical security incidents.
In addition, it is useful to create specific checklists for the customer service team and the technical team, so that everyone knows what steps to take if they detect a possible fraud attempt.
Keep an eye on the metrics at all times
During the end-of-year campaigns you will find a general increase in transactionsTherefore, it's advisable to continuously monitor key metrics, observing any abnormalities that might indicate potential fraud. Some indicators to watch are:
- Abnormal increases on a specific productespecially digital products, gift cards, or high-value items that are easy to resell.
- Sudden increase in the number of failed payment attempts, which may indicate automated card testing.
- Increased orders from unusual countries or IPs for your regular business.
- Concentration of purchases in a very short time from the same card, device, IP or newly created account.
Some companies offer automated fraud monitoring and prevention solutions They analyze hundreds of variables for each transaction in real time (location, device, account history, purchase pattern, etc.). This way, companies don't have to manually review all orders and can focus on those that present the greatest risk.
Regarding buying patterns, always expect the unexpected.
Customers have different shopping habits during the end-of-year campaignsTherefore, it's normal for certain unusual behaviors to appear at this time of year. For example, it might be common for a customer to buy an expensive watch and request that it be shipped across the country as a gift.
To avoid confusing legitimate behavior with fraud, it is helpful to:
- Maintain a detailed record of sales from previous seasons to identify expected patterns of average ticket increase, best-selling products, and most frequent shipping zones.
- Compare current behavior with those historical patterns and detect spikes that deviate from the norm, such as many orders for the same digital product in a very short time or unusual shipping addresses.
- Combine automated rules with human review In borderline cases, avoiding rejecting legitimate orders (false positives) that could harm the customer experience.
This approach allows you predict what might happen and review any unusual activity in more detail, without hindering legitimate sales.
Most frequent fraud threats in end-of-year campaigns
During this time, company websites become the perfect target for cyberattacksAmong the most common are:
- Phishing: attempts to trick users or employees into revealing passwords, card details, or login information.
- MalwareMalicious software that is installed on systems or devices with the aim of stealing data or taking control of accounts.
- Denial of service (DDoS) attacksThey seek to collapse sales platforms, leaving them out of service at the time of greatest demand.
- Account misappropriation (ATO): use of stolen credentials to access customer accounts and make unauthorized purchases or empty balances and loyalty points.
- Gift card and digital product fraud: very attractive to criminals because they are delivered instantly, have a high resale value and are difficult to trace.
- Friendly fraud and chargebacks: when a legitimate customer is unaware of or pretends to be unaware of a purchase and requests a refund from the bank, generating chargebacks.
In these campaigns, the volume of transactions grows strongly, but Fraud attempts are growing even fasterTherefore, prevention becomes a strategic priority.
Best practices for fraud prevention for businesses and buyers
Fraud prevention is a shared responsibility between businesses and consumers. Here are some key recommendations to reinforce during each year-end campaign.
1. Avoid using public Wi-Fi for sensitive operations
There is no simpler method for an attacker than intercepting information on unencrypted public Wi-Fi networksAlthough it may be convenient to connect to an open network in a shopping center or cafe, it's best to avoid introducing personal or bank details from these types of connections, especially on days with big sales.
If there is no other option, the use of a trusted vpn It adds an extra layer of encryption that makes data interception more difficult.
2. Safe internet browsing and site verification
Everyday navigation also requires caution. It is important:
- Do not open suspicious emails nor click on links or attachments from unknown senders.
- Carefully review the URL from the page before entering data: you must start with https:// and display the padlock icon in the browser.
- Be wary of poorly designed websiteswith spelling errors, without clear contact information, or with offers that are too good to be true.
3. Protect your payments and credit/debit cards
Credit card data theft remains a preferred method for criminals. To reduce the risk, it is recommended to:
- Activate real-time alerts via SMS or notifications for each purchase made with a card.
- Check frequently the movement history to detect small, unknown charges that may be card verification tests.
- Whenever possible, use secure payment gatewaysvirtual cards or reliable intermediary payment methods.
4. Strengthen the security of accounts and passwords
For both businesses and buyers, the use of strong and unique passwords For each service, it drastically reduces the likelihood of account takeover. It is recommended:
- Use password managers to generate, store, and autocomplete complex keys.
- Activate the two-factor authentication (2FA) whenever available, thus adding a second layer of verification.
- pay attention to login prompts from unknown locations or devices and act quickly in the event of any anomaly.
Advanced anti-fraud solutions for e-commerce
Companies that aspire to maintain a high sales volume without taking excessive risks They need to go beyond manual checks. The adoption of the following is becoming increasingly common:
- Fraud management platforms with artificial intelligencecapable of detecting anomalous patterns in real time and adapting to new tactics used by scammers.
- Identity verification systems (document, face, address, card) that allow the buyer to be validated when the risk level exceeds a certain threshold.
- Chargeback management toolswhich facilitate recording evidence, responding to claims, and reducing the impact of friendly fraud.
- Collaboration with fraud prevention specialists and external providers who continuously update their rules and risk models.
This layered approach, which combines technology, processes, and training, offers the best results for protect sales during periods of high demand without hindering the shopping experience of legitimate customers.
The holiday season can be one of the most profitable times for an e-commerce business, but also one of the most critical from a security standpoint. Having a well-documented plan, monitoring the right metrics, understanding fraudsters' tactics, and relying on modern anti-fraud solutions allows you to maximize sales opportunities, reduce the impact of fraud, and strengthen customer trust in your brand.