Security in e-commerce
How to achieve stability and security in e-commerce
Black Friday heralded the year–end business in retail – followed by Cyber Monday and the annual rush to the online shops to put together all the Christmas gifts on time. For many retailers, the busiest time of the year began at the end of November, which lasts until the end of December. But with the rush of customers, the security risk on both sides is also increasing: the end-of-year business is also the peak season for phishing attacks, ransomware, identity theft, DDOS and the like. In addition, successful business only works if all processes run smoothly, the systems are resilient and do not collapse under the pressure of demand.
Sebastian Vetter, Head of North, East & Central Europe at MANGOPAY , Provider of end-to-end payment solutions for marketplaces, knows what online merchants should pay attention to in order to reduce security and failure risks to a minimum and, in particular, to make the sensitive payment process reliable.
On Black Friday, November 26, the shopping frenzy traditionally begins. This year, he also heralded the “Golden Quarter” for online retailers and marketplaces, which also includes Cyber Monday, Christmas and New Year’s Eve. Deloitte’s experts estimate that retail sales will reach between $ 1, 280 and $ 1, 300 billion in just one month. This corresponds to about 30 percent of the sector’s annual turnover. Even though physical stores still play an important role in Germany, it is undeniable that many buyers are now using the Internet and online marketplaces to compare offers and put together all the products from the wish list. For example, the market experts expect that online sales will increase by 11 to 15 percent by the end of 2021 compared to the previous year. However, the increase in online shopping can also lead to increased cybersecurity risks.
Behind the scenes of Christmas under high tension
The hunt for Christmas gifts traditionally begins in November. With Black Friday and Cyber Monday, the season for buying gifts begins. As online shopping becomes more and more popular, online retailers and marketplaces need to protect their platforms accordingly to ensure safe and stable shopping experiences. Cybersecurity experts such as Zscaler are already predicting a wave of malware and ransomware attacks on e-commerce platforms and digital payment systems between Black Friday and Christmas. Phishing, DDoS attacks and other threats to cybersecurity are reaching new dimensions every year.
In the short term, the marketplaces cannot afford to be unavailable during this time, to miss sales opportunities or to risk the theft of their customer data in the most important month of the year. In the medium and long term, such attacks not only have a significant impact on sales, but also endanger the reputation of the company and the loyalty of the deceived online shoppers. Accordingly, the focus should be on the constant optimization of one’s own cybersecurity and system stability. This starts with the selection of a reliable partner for the processing of payment processes. The more experienced and professional the service provider, the more secure and stable your own processes will be. In addition, specialized providers can also support online retailers and marketplace operators in making their customer journey smooth and as low-risk as possible in order to build an optimal basis right from the start.
During the peak season, online retailers and marketplaces can take additional preventive measures to protect their ecosystems. You can rely on solutions that reduce the risk of DDoS attacks and ensure continuous online service, or protect your web applications with WAF technology. While large corporations and multinational companies have often already taken the necessary steps and have trustworthy partners, smaller organizations often lag behind in this area. Nevertheless, they are the first victims of criminal attacks.
Online shoppers should stay alert
According to Statista, over 6,892 million cashless transfers were made in Germany in 2020. PwC’s experts expect that the cashless transaction volume worldwide will increase by more than 80 percent to 1.9 trillion by 2025 (2020: 1 trillion). Online shoppers are looking forward to the Christmas season and make extensive use of the numerous offers of the marketplaces. But you should also keep an eye on the issue of security.
When shopping online at the end of the year, it is important not to fall into a hurry. Before an order is completed, Internet users should first check whether the small “https” lock is present in the address bar when paying on the marketplace. This symbol guarantees the encryption of all private information, including credit card numbers. Finally, it is important to take a look at the General Terms and Conditions (GTC), even if this is often annoying. Here, customers can find out which payment service provider the platform is working with and convince themselves of its reliability. On each reliable dealer site, the conditions of sale, payment, delivery and return, as well as other useful information are indicated. In case of doubt, contact with customer service will help.
In 2020, the celebrations at the end of the year in Germany left rather a bitter aftertaste. Between the health crisis, the economic downturn and the uncertainty about the future, the mood for shopping was rather depressed. Therefore, in 2021 it is only natural that everyone dreams of lightness. However, both companies and customers should not forget the basics when shopping online and beware of becoming an easy target for online fraud. The good intentions begin now.