The Dark Side of Ecommerce
E-commerce has changed the way we shop, allowing us to buy products from anywhere. But it’s also created a lot of negative effects. One of the biggest is environmental damage. With all those shipping trucks, factories, and packages, e-commerce has a big impact on our planet. There are a few key elements that go into creating successful online retail businesses. First and foremost, you need to have a great product and be able to generate sales quickly. You also need to be able to attract customers with your unique selling proposition (USP). Finally, you’ll also need to have the financial strength and resources to keep up with the competition. Unfortunately, many entrepreneurs fail to take all of these factors into account when starting their businesses. This can lead to them struggling during tough times and making little or no money.
Online Journey Hijacking
Online Journey Hijacking is a growing, but hidden problem that affects 15-25 percent of all user web sessions and costs eCommerce brands hundreds of millions of dollars in lost revenue. These unauthorized ads divert earned traffic to competing websites and promotions, sabotaging online sales funnels.
This issue is largely unrecognized by the e-commerce industry because it occurs on the consumer’s side of their e-commerce experience and is driven by digital malware that resides on their browser or device. Server-side security solutions lack visibility or control of this malware, allowing hijackers to wreak havoc on retailers’ e-commerce sites.
To fight back against these attacks, Namogoo created Customer Journey Hijacking Prevention software that helps e-commerce businesses win back stolen revenue by blocking unauthorized ad injections. The solution uses machine learning to optimize the user experience while eliminating injected ads that divert customers away from eCommerce sites.
Fraud
E-commerce fraud is an ever-growing concern for online stores. In fact, a recent report from Juniper Research revealed that online sellers will lose $130 billion to online fraud in the next 5 years.
The era of digitalization has provided a massive opportunity for cybercriminals to steal personal credentials and use them for fraudulent transactions. This has resulted in an increase in e-commerce fraud, with Experian reporting that attacks increased by 30% in 2017 alone.
There are several types of fraud, including card testing, account takeover, interception, chargebacks, and refund fraud. The most common form of e-commerce fraud is identity fraud, which accounts for 71% of all online attacks.
This involves using stolen card data to illegally purchase goods or services, then manipulating the transaction information so that it doesn’t show up on blacklists and fraud filters. It’s sometimes referred to as clean fraud. It’s an increasingly common threat to e-commerce retailers and is the most likely to impact your business.
Counterfeiting
Counterfeiting occurs when someone creates or sells goods that are unauthorized copies of a legitimate, trademarked, or patent-protected product. This includes unauthorized clothing, shoes, bags, cosmetics, toys, and other items.
Legitimate manufacturers spend a lot of money developing products and building brand reputations, which makes them a target for counterfeiters who are trying to profit unfairly off of their good name. It’s especially devastating for small businesses and entrepreneurs since the lost sales and profits translate into lower wages and fewer jobs.
While brick-and-mortar stores carefully vet and manage their products, e-commerce platforms have more lax policies that allow unauthorized vendors to sell their goods on them. This creates a new type of liability that requires legislators to update the laws to fit the digital age.
The Dark Web
The dark web is the online underground, a place where criminals trade counterfeit goods, weapons, and child pornography. It also hosts markets for financial crimes and stolen information.
The Dark Web is a network of websites that can only be accessed with specialized software, usually a browser called Tor. This software routes all your internet traffic through many different relay “nodes,” which prevents your online activity from being tracked.
In addition to being a source of illegal goods and services, The Dark Web is also a prime target for hackers, scammers, and other cybercriminals. Crooks use the anonymity of the Dark Web to sell stolen credentials, credit card data, and other personal information.
The dark web is a major risk for businesses because it’s difficult for them to detect when a transaction takes place with fraudulent information. In addition, cybercriminals can exploit the lack of security measures and other protocols for a variety of purposes ranging from credit card fraud to malware infections.
In the world of e-commerce, mistakes can be costly and even detrimental to a business’s success. One helpful resource for avoiding common e-commerce mistakes is the article “The Top E-Commerce Mistakes of All Time“, which highlights some of the most costly and avoidable mistakes made by online retailers. By learning from the experiences of others, you can better understand the risks and challenges associated with e-commerce and take proactive steps to mitigate them. Whether you’re just starting out or looking to improve your existing e-commerce strategy, the insights, and advice in “The Top E-Commerce Mistakes of All Time” can help you avoid costly missteps and build a more successful online business.
