The most recent research available from online processing firm Vesta suggests 11-13% of all card-not-present (CNP) transactions are fraud attempts. With each successful fraud costing firms $108-$155, a mid-market firm with five million CNP transactions per year could experience 650,000 fraud events costing $16.25 million pa.

Identifying and preventing fraud is an increasingly difficult given the proliferation of new payment methods such as instant payments (currently growing at 30% each year according to Mordor Intelligence), digital wallets (predicted to account for almost half of all electronic transactions by 2026) and Buy-Now-Pay-Later schemes.

Further complexity is added by criminal ingenuity, with new fraud methods such as synthetic ID and account takeover emerging, as consumers shop online.