E-retailers cut their fraud rate
The percentage of online sales lost to fraud ticked down to 0.8% in 2015, from 0.9% in 2013, while the mobile fraud rate fell to 0.5% from 0.9%.
Online retailers are losing a lower percentage of their sales to fraud, but paying a price in turning away more legitimate customers and manually reviewing more orders, according to a report from online fraud-prevention company CyberSource Corp., part of Visa Inc.
A survey of 307 U.S. and Canadian companies found that fraud cost retailers an average of 0.8% of online sales in 2015, versus 0.9% in 2013, the last time CyberSource conducted the survey. The declines were larger in other channels in which the consumer is not face to face with the retailer: mobile fraud fell to 0.5% of sales in 2015 versus 0.9% in 2013 and fraud from mail and telephone orders dropped to 0.5% in 2015 from 0.8% two years earlier.