Half of merchants not tracking mobile app orders for fraud despite surge in mobile use, Ravelin reveals

Friday 18 December 2020 13:52 CET | News

Ravelin has revealed that 48% or merchants are not tracking consumer purchases on mobile apps for fraud, despite COVID-19 driving a huge increase in mobile app purchases.

According to the press release, COVID-19 drove a 36% increase in mobile app downloads and a 54% increase in purchases in apps during the second quarter of 2020 alone from consumers, and yet the proportion of merchants tracking mobile orders (48%) lags far behind those tracking website orders (68%) and call centre orders (60%). 

Besides, organisations that rely on mobile for their primary revenue drivers, like taxi firms and online product or service delivery firms tend to fare better – but only slightly. The rate of mobile fraud tracking stands at 61% for taxi firms and 62% for product or service delivery organisations. 

Furthermore,  Ravelin’s Online Merchant Perspectives, Fraud & Payments Survey 2020 report revealed that account takeover fraud is also on the rise. In Ravelin’s research, half of merchants report a rise in account takeover, with nearly a third of retail merchants saying it’s now the top fraud threat facing their business.

Overall, in terms of current levels of fraud tracking across channels, a varying proportion of merchants are measuring a varying number of payment data points. Therefore,  67% are tracking the payment method type and 56% are tracking the issuer country, while 42% are tracking the use of loyalty scheme points and 31% are tracking BIN ranges.

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: Ravelin, research, study, merchants, fraud, COVID-19, in-app purchases, account takeover, BIN, mobile fraud
Categories: Fraud & Financial Crime
Countries: World
This article is part of category

Fraud & Financial Crime