Worlwide impacts of friendly fraud

Overall, more than a third of 3DS2 transactions fail to go through, for reasons ranging from transaction failure, customer abandonment or authorization decline. If we take 2019’s sales volume, these failures would represent €108.1 billion in lost sales.

Ultimately, by significantly reducing the amount of chargebacks and their associated costs, ENYGMA drastically improves your relation with bank partners.

Avoiding losses and drop offs
Automatic Chargebacks

Friendly chargebacks allow banks to forcibly take the funds from the merchant’s account and can even lead to the merchant’s account being terminated

Time Consuming

If the processing costs, the chargeback amount and the interchange fee were not enough, the whole chargeback process is extremely time consuming and labor intensive

Double Trouble

If a refund is not dealt with quickly enough, it can lead the merchant to receive a double chargeback, increasing his chances to appear in chargeback monitoring programs

Lost Goods

If the end-user contests the charges and says the goods were never received, merchants could also lose out on the value of the sold goods

Worldwide
World map
47%

of companies surveyed said they had experienced fraud in the past 2 years.

42%

Companies with set fraud prevention reduced their fraud attack expenses by 42% in 2020.

39%

of reported frauds were committed by external perpetrators

20%

of reported frauds were carried out by internal and external perpetrators colluding.

37%

of reported frauds were committed by internal perpetrators.

USA
USA map
77%

of companies report some type of fraud during digital payment.

27%

of online sales end up being fraudulent compared to 18% in 2018.

53%

of customers report fraud during digital payment.

60%

of US organizations have a fraud policy put in place.

Europe
Europe map
€1.43 Bn

of the total card fraud accounted for by CNP payments in 2018.

17.7%

increase in CNP fraud from 2017 to 2018.

€1.8 Bn

Total value of fraudulent transactions using cards within SEPA in 2018.

25.1%

Card fraud volume increased by 25% in 2018.

United Kingdom
United Kingdom map
7.5p to £100

spent on cards were lost to fraud in 2019.

£999.2 M

in card fraud was stopped by banks and card companies in 2019.

£620.8 M

were lost due to fraud on UK-issued cards in 2019.

76%

In 2019, more than 76% of card fraud losses were due to CNP.

Latin America
Latin America map
20%

20% of new user accounts created in LATAM are fraudulent.

1/3

In retail ecommerce, 1/3 of new accounts created in LATAM are fraudulent.

€1 billion

Recent reports state Brazil’s losses from online fraud at nearly €1 billion.

19%

Ecommerce sales in LATAM are expected to grow 19% annually over the next few years.

Asia-Pacific
Asia-Pacific map
78%

of banks in the APAC region agree that the introduction of real-time payments increased fraud losses.

50%

growth of online fraud losses in 2019.

67%

of businesses report an increased concern for fraud losses.

$400 M

Card fraud in Asia-Pacific costs banks $400 million a year