Fraud and Security in the Global Online Payments Industry: Card-not-present (CNP) Fraud Loss in the U.S. is Expected to Increase in 2024

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Feb 15, 2024, 18:00 ET

DUBLIN, Feb. 15, 2024 /PRNewswire/ -- The "Fraud and Security in Global Online Payments 2024" report has been added to ResearchAndMarkets.com's offering.

Global B2C E-Commerce fraud losses to grow by +40% CAGR from 2023 to 2028

As B2C E-Commerce expands, both businesses and consumers globally face increased vulnerability to fraud. Projections indicate that global B2C E-Commerce losses from online payment fraud are set to rise significantly, potentially reaching billions, with a projected +40% CAGR between 2023 and 2028.

By 2025, Asia-Pacific is expected to lead in online payment fraud losses, followed by North America and Europe. Currently, North America holds the highest share of total fraudulent B2C E-Commerce transaction value, with Europe ranking second. In response to this growing threat of financial crime, global expenditure on financial crime prevention is anticipated to increase by 2027. Moreover, a substantial number of global respondents agree that "biometric authentication makes online payment safer," as observed in April 2023.

Card-not-present (CNP) fraud loss in the U.S. is expected to increase in 2024

In the UK, data highlighted in the report indicate a decline in unauthorized payment card fraud and card-not-present (CNP) payment fraud from the first half of 2022 to the first half of 2023. Meanwhile, CNP fraud is expected to rise in the USA by 2024, comprising approximately three-quarters of the total payment fraud loss.

Around a quarter of US adults reported being victims of account takeover (ATO) attacks in 2023. Moreover, while roughly one in ten banking customers reported P2P payment scams as of May 2023, more than half of them expressed satisfaction with their bank's handling of P2P fraud claims.

Key Questions Covered:

How much online payment fraud loss is expected globally by 2028?
Which global region is projected to witness the highest online payment fraud loss in 2025?
How many global respondents believed biometric authentication enhances online security in April 2023?
What share of global B2C E-Commerce revenue was lost to fraud in 2023?
What is the projected expenditure for global financial crime prevention by 2027?

Key Topics Covered:

1. Key Takeaways

2. Management Summary

3. Global Developments

Overview of Security in Virtual Cards Market, February 2024
Overview of Enhanced Security Measures at POS, February 2024 (1 of 2)
Overview of Enhanced Security Measures at POS, February 2024 (2 of 2)
Overview of Concerns in Online And Mobile Payment Market, February 2024
Overview of AI Use in Embedded Finance Ecosystem, February 2024
Merchant Online Payment Fraud Loss, in USD billion, 2023e & 2028f
Online Payment Fraud Loss Value, by Region, in USD billion, 2025f
B2C E-Commerce Loss Due to Online Payment Fraud, in USD billion, 2020 & 2023e
Share of B2C E-Commerce Revenue Loss to Fraud, in %, 2023
Breakdown of Fraudulent B2C E-Commerce Transaction Value, by Region, in %, 2023e
Financial Crime Prevention Spend, in USD billion, 2023e & 2027f
Biometric In-Store Payments Market Size, in USD trillion, 2024e & 2028f
Number of Digital Identity Verification Checks, in billions, 2023e & 2024f
Share of Banking Making Up the Total Digital Identity Verification Market, in %, 2024f
Share of Consumers Agreeing With the Following Statements Related to Security of Online Payments, in %, April 2023
Noted Annual Increase in Payment Fraud Growth Over Real-Time Payment Rails, by Fraud Type, in % of Financial Institutions, 2022
Share of Financial Institutions That Plan to Make Major Changes to Enhance Their RTP Fraud Controls Over the Next 1-2 Years, March 2023

4. Europe

4.1. Regional
. Share of Card Fraud That Involves Cross-Border Transactions, in %, 2023e
. Breakdown of Digital Wallet Attributes That Respondents Value the Most, in % of Respondents, September 2022
. Top Concerns When It Comes to Embedded Financial Services and Products, in % of Respondents, April 2023

4.2. UK
4.3. Germany
4.4. Switzerland

5. North America

5.1. USA

Total Card-Not-Present (CNP) Fraud Loss, in USD billion, in % of Total Payment Fraud Loss, 2019-2024f
Share of Adults Who Have Fallen Victim to Account Takeover (ATO) Attacks, in %, 2023e
P2P Fraud Loss Value, in USD billion, 2021 & 2022
Share of Banking Customers Who Say That They Have Been Victimized by a P2P Payment Scam in the Last 12 Months, in %, May 2023
Breakdown of Banking Customer Satisfaction With Their Bank's Response to P2P Fraud Claims, in %, May 2023
Share of Imposter Scams Making Up Total Reported Scams to the Federal Trade Commission, in %, Q3 2023
Breakdown of Main Reasons Among Respondents For Not Using Mobile Payment Solutions More Often, in % of Respondents, July 2023
Breakdown of When SMEs Expect to Be Able to Offer Payments Verified With Biometric Authentication, in %, October 2022

5.2. Canada

Reasons for Using Prepaid Cards For Making Online Payments, in % of Respondents, April 2023

6. Latin America

6.1. Regional

Fraud Detection and Prevention Market, incl. "Online Payment Fraud", in USD billion, 2024f & 2028f
Breakdown of Reasons Why Businesses Do Not Use Technology to Combat Fraud, incl. "Online Payment Fraud" in %, 2023e

7. Asia-Pacific

7.1. Regional

Overview of Fraud in Online Payments, February 2024
Use of Online Shopping Channels For Frauds, by Country, in %, November 2023

7.2. Australia

Payment Card Fraud Value, in AUD million, FY 2022 & FY 2023
Domestic Card-Not-Present (CNP) Fraud Value, in AUD million, FY 2022 & FY 2023
Overseas/Via Overseas Merchant Card-Not-Present (CNP) Fraud Value, in AUD million, FY 2022 & FY 2023

8. Middle East and Africa

8.1. Regional

Total Fraud Loss Value, incl. "Online Payment Fraud", in USD billion, 2023e & 2028f
Share of Fraudulent Verification Attempts in Payment Industry, in %, February 2023 & August 2023

For more information about this report visit https://www.researchandmarkets.com/r/91ltzf

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