Online fraud attempts and general retail transaction volumes increased substantially during the 2017 holiday season, according to new benchmark data from ACI Worldwide. Fraud attempts in the period from Thanksgiving Day to December 31 increased by 22 percent, while the number of overall transactions increased by 19 percent.

The data also showed:

• Between Thanksgiving Day and December 31, 2017, the number of eCommerce transactions grew by 19 percent, compared to the same dates in 2016. Fraud attempts increased by 22 percent.
• Fraud attempt rates were highest on Thanksgiving Day (1.94 percent, up from 1.26 percent in 2016), Christmas Eve (1.78 percent, up from 1.48 percent) and December 21 – the cutoff date for express shipments – (1.67 percent, up from 1.49 percent).
  • The trends driving these peak fraudulent days include shipment cut-off, consumer traffic and buy online pick-up in-store transactions.
• The average ticket price of attempted fraud transactions over the entire holiday period in 2017 was $227, a one percent increase from 2016 ($239). Reduced shipment prices, low-priced electronics and promotions are driving this trend.
• The overall volume of purchases recorded in January-October 2017 increased by 14 percent, compared to the same period in 2016.

“Over the 2017 holiday shopping season, merchants experienced significant growth in their digital channels, coupled with a substantial increase in fraud,” said Erika Dietrich, Director of Risk Management, ACI Worldwide. “The consistent, alarming uptick in fraudulent activity on key dates is a signal that merchants must be proactive in their efforts to identify weak points across the omni-channel payment process—and define the short- and long-term strategies necessary to improve security and enhance customer experience.”