London—Mobile shopping may be the fastest growing channel of retail in the United States, but new data found that but fraud prevention efforts are failing to keep up, leaving retailers exposed to a constant threat.
“Retailers are still not taking their mobile offering seriously when it comes to fraud. Online presents vast new opportunities for fraudsters,” said Paul Bessant, chief executive at Retail Knowledge, which commissioned the survey. “Despite the growth in the mobile sector, the survey has highlighted that retailers are not adapting their loss prevention strategies fast enough to counter the growing threat from cybercrime.”
The Volumatic Kount U.S. Retail Fraud Survey 2013, which interviewed 100 of North America’s leading retailers, revealed that 34% of retailers now have mobile shopping as a sales channel with a further 20% planning to add a mobile sales channel in the next year or two.
Analytics and monitoring was a top concern of retailers surveyed and some 17% of those retailers that trade online do not use any systems for analytics and monitoring. Furthermore, 39% of retailers that sell online do not use fraud management external systems at all, regardless of sophistication.
About the Survey
The Volumatic Kount U.S. Retail Fraud Survey 2013 was sponsored by intelligent cash handling specialists Volumatic and payments experts Kount. It was carried out by researchers at Martec International, who interviewed 100 of North America’s leading retailers–representing more than a fifth of the North American retail market.