Black Friday + Cyber Monday Cybersecurity: Cut the Cybercrime Shopping Spree

It is no secret that cybercriminals enjoy taking advantage of significant holidays, with Christmas and Black Friday scams for personal gain and targeting the retail sector, mainly e-commerce. Online shopping scams are a significant concern in the United States, especially during high-traffic periods like Black Friday and Cyber Monday. Protecting consumer data during these times is crucial due to the increased risk of cyber threats and scams. In 2022, consumers reported losing nearly $8.8 billion to various frauds, marking a 30% increase from the previous year.

Online shopping scams were among the most commonly reported fraud categories, underscoring the importance of vigilance when making purchases online.

During the holiday shopping season, fraudulent activities intensify. Experts note that approximately 50% of online shoppers fall victim to scams each year, with a significant portion occurring around Black Friday and Cyber Monday.

Cybercriminals often create convincing fake websites and advertisements that mimic reputable brands, leading to financial information theft and unfulfilled orders.

These numbers show it is critical to be aware of potential threats when shopping online. That’s why we keep a close eye on the landscape of cyber threats and educate our audience on how to protect themselves against the latest criminal activity aimed at online shoppers.

Big Day for Not Just Shoppers, But Cybercriminals and Cyber Threats Too!

The biggest shopping day of the year is Black Friday, with the British alone expected to spend £9.2 billion online this year. However, while the date can bring some fantastic deals, making Christmas (a little) more affordable, it also brings the threat of cyber attacks and Black Friday scams.

Cybercriminals exploit the surge in online shopping during events like Black Friday and Cyber Monday, crafting targeted scams to deceive consumers into revealing personal information, leading to theft of gifts, money, or even identities. In the United States, these scams have resulted in significant financial losses:

• 2022: Consumers reported losing nearly $8.8 billion to various frauds, marking a 30% increase from the previous year. Online shopping scams were among the most commonly reported fraud categories.
• 2023: A survey revealed that nearly 34 million Americans had fallen victim to online shopping scams during Black Friday or Cyber Monday in the past. Despite these risks, almost 160 million U.S. shoppers planned to participate in these sales events, highlighting the persistent threat of such scams.

Now the last thing anyone needs in the run-up to Christmas is more stress, data theft, and financial hazards (shouldn’t even be the last thing – it shouldn’t be on the list at all). So, here are the top five Black Friday scams, as well as tips on how to avoid becoming a victim during holiday shopping.

Understanding Black Friday Cyber Risks

Black Friday is a prime target for cyber threats due to the unprecedented online activity, lowered guard, limited IT staff, and end-of-year transactions. Cybercriminals exploit the holiday chaos by launching phishing scams, fake websites, ransomware attacks, and credential theft. Phishing campaigns target shoppers with fake sales, gift card offers, and shipping notifications to steal credentials or payments. Malicious websites mimic legitimate ones to trick users into sharing sensitive data. Ransomware attacks target businesses during off-hours when IT response is slower. Credential theft can lead to workplace breaches when personal accounts are compromised during online shopping. Insider threats can occur when employees leave for holiday breaks or new jobs and misuse access unintentionally or maliciously.

Top Five Black Friday Scams and How to Avoid Them

In terms of new holiday scams for 2024, ongoing supply-chain issues may cause some popular items to be in short supply. Data breaches are a significant concern during Black Friday due to the increased online activity. It’s a good idea to be wary of online ads offering low-cost deals on hard-to-find items. Expect some Black Friday scams in 2024 to prey on the desire to obtain the desired gift without first verifying the legitimacy of the “seller.” Let’s take a look at the most common Black Friday scams and how to avoid them when shopping online:

Black Friday Scam No. 01: Non-Delivery Scam

You're looking for a gift online when you come across the ideal present at a reasonable price. So you go to the website, add the item to your cart, and then click “buy.” Nevertheless, you never receive a tracking number, the package is never delivered, and the seller vanishes. You've been duped by a “non-delivery scam,” according to the FBI.

How To Avoid It: Use Secure Payment Methods

Only shop at reputable stores to mitigate security risks associated with non-delivery scams. If you’re shopping with a new merchant, make sure you do your homework. Look for a physical address, a phone number for customer service, and a professional-looking website. Poor spelling, strange design, and slow loading are all red flags for shady websites. Also, only make purchases from sites that use SSL encryption and have URLs that begin with HTTPS and a lock icon in the corner to avoid this Black Friday scam.

Black Friday Scam No. 02: Phishing Scams

Criminals may use Black Friday shopping as an opportunity to add a holiday twist to phishing scams. You may receive an email or other message informing you that there is a problem with an item you ordered in this Black Friday scam. However, you are unfamiliar with the purchase and are confident that you did not buy it.

Increasing security awareness can help consumers identify and avoid phishing scams.

The message could be a phishing email designed to trick you into clicking a suspicious link, providing your bank login credentials, or giving the criminal your personal information.

Phishing campaigns have four categories:

1. Phishing scams, such as an email posing as a bank or a trusted brand asking the user to confirm a payment or offering a special deal
2. Brand impersonation, such as an email posing as a bank or a trusted brand asking the user to confirm a payment or offering an exceptional bargain
3. Extortion, intended to scare the user into complying
4. Quid Pro Quo, in which users provide sensitive information in exchange for a valuable gift or product
5. Business email compromise, a focused attack on a company rather than an individual

How To Avoid It

Stop and think if you get a message about an item you didn't order. The criminal is attempting to throw you off balance, hoping that you will take the requested action because you want to find out what's going on. If you're not sure if a message is genuine, try contacting the company via other channels you've discovered on your own, such as chat or their customer service phone number.

Black Friday Scam No. 03: Sham Shopping

You think you're going to your favorite department store's website to get some Black Friday deals but end up in another 2021 Black Friday scam. It happens because you accidentally misspell the name when typing it into your browser bar. So, you make a “purchase” thinking you're on the actual site. Instead, the scammer takes your credit card information to use or sell, as well as other personal details like your name and address.

How To Avoid It

The simplest way to avoid a cloned site is to ensure you're shopping on a legitimate site. You could, for example, save your favorite shopping sites as bookmarks for quick access. Also, never go to a store by following a link in a “deal” email or on social media.

Black Friday Scam No. 04: False Delivery Notification

This year, many people will do their holiday shopping online, and criminals are taking advantage of this by sending false delivery notifications via email or text message. These messages may appear to be from the United States Postal Service, FedEx, or UPS. Scammers are betting that you recently made an online purchase, and Black Friday and Cyber Monday increase their chances. 

They may mention a delivery issue and provide a link that you can use to “resolve the issue.” In addition, you may get a request to enter personal data or a credit card number.

How To Avoid It

Simply being aware of the scam is a good start. If you receive an email or text message about a delivery issue, do not click any links or call the phone number provided. If you believe the message is legitimate, look up the company's information and contact them directly. Inform them of the scam if the content is not reliable.

Black Friday Scam No. 05: Phony Donations

Cybercriminals are likely to take advantage of Black Friday and the holiday spirit by telling heartwarming stories to entice people to donate to fictitious charities. These con artists are aware that charitable donations as holiday gifts have grown in popularity in recent years.

How To Avoid It

Never donate on the spur of the moment in response to a social media ad or plea. Instead, take the time to look into charities using resources that track and rate them. Charity Navigator, for example, has a feature that allows you to search for high-rated charities and a gift basket feature that enables you to donate to multiple charities at once.

Cyber Monday Scams and Safety Tips

Cyber Monday is a day when online shopping reaches its peak, and cybercriminals take advantage of this opportunity to launch various scams. Here are some Cyber Monday scams to watch out for and safety tips to stay secure:

Cyber Monday scams to watch out for

• Phishing Scams: Be cautious of emails or messages that ask for personal or financial information, especially those that create a sense of urgency.
• Fake Websites: Be wary of websites that offer unrealistic deals or discounts, and always check the URL to ensure it is legitimate.
• Social Media Scams: Be cautious of social media posts or messages that ask for personal or financial information, especially those that promise unrealistic deals or discounts.
• Ransomware Attacks: Be cautious of emails or messages that ask you to download attachments or click on links, especially those that create a sense of urgency.

Staying Safe on Personal Devices

When shopping online on personal devices, it’s essential to take extra precautions to stay safe. Here are some tips:

• Use Secure Payment Methods: Use credit cards or payment services like PayPal that offer additional security features.
• Keep Your Device and Browser Up to Date: Ensure your device and browser are updated with the latest security patches and features.
• Use Strong Passwords: Use unique and complex passwords for all online accounts, and consider using a password manager.
• Be Cautious of Public Wi-Fi: Avoid using public Wi-Fi for online shopping, especially when entering sensitive information.

Creating a Cybersecurity Plan

Creating a cybersecurity plan is essential for businesses to stay secure during the holiday season. Here are some steps to analyze cyber risks and create a plan:

Analyzing Cyber Risks and Creating a Plan

• Conduct a Risk Assessment: Identify potential cyber risks and vulnerabilities in your business.
• Develop an Incident Response Plan: Create a plan to respond to cyber incidents, including procedures for containment, eradication, recovery, and post-incident activities.
• Implement Security Protocols: Implement security protocols such as firewalls, intrusion detection systems, and encryption to protect your business.
• Educate Employees: Educate employees on cybersecurity best practices, including how to identify and report suspicious activity.
• Monitor and Review: Continuously monitor and review your cybersecurity plan to ensure it is effective and up to date.

Here's What Companies Can Do: Increase Security Awareness

Undoubtedly cyberattacks infiltrate a website’s payment application and install code that captures customers’ payment card information as they make purchases. These types of attacks may not make the news, but they have real consequences for both customers and retailers.

1. It is essential to understand the significance of integrity software. Cybercriminals who attack Web applications don’t go after data in transit. Instead, they inject code into Web forms to capture data as customers fill the form. So, in addition to patching OS and payment application code, add file integrity software to your malware defenses on payment sites to combat this method.
2. Organizations must always prioritize data security. Therefore, retailers must take appropriate measures to assist in the fight against cyberattacks and keep their business secure. While there is no foolproof solution, businesses can reduce risk.
3. It’s essential to continue to invest in new technologies that make it more difficult for criminals to exploit point-of-sale terminals as low-hanging fruit. EMV smart cards and mobile wallets are examples of solutions, as is any method that uses a one-time transaction code instead of a primary account number. These technologies also help protect consumer data from cyber threats.
4. Communicating with customers and presenting essential tips on cybersecurity in a clear language, on accessible sections on their websites and stores go a long way towards protecting their revenue and customer relations, making themselves a trustworthy partner against Black Friday scams or other holiday scams.

Final Words

We understand that some gifts are more difficult to come by this year due to ongoing supply chain issues and rumors of Christmas cancellations. Therefore, consumers are more likely to buy on impulse as demand rises rather than thoroughly checking the legitimacy of their purchases. Still, it is imperative that everyone stays alerted for data theft and cybercrimes, whether in a retail establishment, mobile device, social media account, or computer. Increasing security awareness can help consumers and businesses stay vigilant against cyber threats.

Consumers owe it to themselves to be cautious about who they share their personal information with and how they conduct themselves online. Retailers also bear a significant responsibility to safeguard their data and brand and the data of customers who rely on and trust these brands.

Schedule a demo to learn how to spot Holiday or Black Friday scams and educate customers and employees before becoming victims. Always keep in mind that each security step can significantly impact detecting and deterring cyber criminals, no matter how minor.