The impact of e commerce security risks is undeniably significant when it comes to transactions as they cause a great deal of disruption within the industry each year with approximately 32. 3 % Of all threats reported annually. Cyber attackers tend to focus their efforts, towards e commerce store administrators, customers and staff members by employing malicious tactics.
The e commerce industry is currently facing instances of fraudulent activities that pose significant challenges, for businesses operating within this sector today. In the following article we have outlined the risks that e commerce platforms encounter and provided strategies to mitigate these threats effectively.
Top E-commerce Security Threats
1. Financial Frauds
ad
Financial frauds have plagued online businesses since their inception. While there are various types, we’ll discuss the two most prevalent in e-commerce.
a. Credit Card Fraud
Credit card fraud happens when criminals use stolen credit card details to make purchases on your e-commerce site, often with different shipping and billing addresses. To detect and prevent this, an Address Verification System (AVS) can be useful.
Another variant involves fraudsters stealing personal information to obtain new credit cards.
b. Fake Return & Refund Fraud
Fraudsters may carry out unauthorized transactions and then erase the evidence, leading to significant losses. They might also file fraudulent return requests. To combat these issues, advanced fraud detection software can be integrated into your e-commerce platform to enhance real-time identification and prevention of fraudulent activities.
2. Phishing
Several e-commerce shops have reported that their customers are receiving messages or emails from hackers pretending to be legitimate store owners. These fraudsters create fake copies of your website or other reputable sites to deceive users into believing they are genuine.
The EITest campaign of 2017 is a notable example of such malicious activities. If customers are deceived and provide sensitive personal information like login credentials, the hackers quickly exploit this information to defraud them.
3. Spamming
Some malicious actors may send infected links through email or social media messages. They can also leave these links in comments on blog posts or contact forms. Clicking on these links can lead you to spam websites, potentially making you a victim.
In addition to compromising your website’s security, spamming can also decrease its speed and significantly impact performance.
4. DoS & DDoS Attacks
Many e-commerce websites have suffered losses due to disruptions in their site and overall sales caused by DDoS (Distributed Denial of Service) attacks. In these attacks, your servers are overwhelmed by a flood of requests from numerous untraceable IP addresses, leading to crashes and making your site unavailable to visitors.
5. Malware
Hackers may create malicious software and install it on your IT and computer systems without your awareness. These programs can include spyware, viruses, trojans, and ransomware.
Trojan horses might be downloaded onto the systems of your customers, admins, and other users. These programs can steal any sensitive data on the infected systems and potentially compromise your website as well.
6. Exploitation of Known Vulnerabilities
Attackers are always searching for vulnerabilities in your e-commerce store. Common vulnerabilities include SQL injection (SQLi) and Cross-Site Scripting (XSS). Here’s a brief overview of these issues:
a. SQL Injection
SQL injection is a malicious technique where hackers exploit your query submission forms to gain access to your backend database. They inject harmful code into your database, collect data, and then erase any evidence of their activity.
b. Cross-Site Scripting (XSS)
In XSS attacks, hackers insert malicious JavaScript code into your e-commerce store to target your online visitors and customers. This code can access your customers’ cookies and other data. Implementing a Content Security Policy (CSP) can help prevent these types of attacks.
7. Bots
Some attackers create specialized bots to scrape your website for information on inventory and prices. Typically, these hackers are competitors who use the gathered data to adjust their own prices, aiming to reduce your sales and revenue.
8. Brute force
In the online environment, there are also attackers who use brute force methods to target your admin panel and crack your password. These malicious programs connect to your website and attempt thousands of combinations to access your site’s passwords. To protect yourself, use strong, complex passwords that are difficult to guess and make sure to change your passwords regularly.
9. Man in The Middle (MITM)
A hacker might eavesdrop on the communication between your e-commerce store and a user. Walgreens Pharmacy Store experienced a similar incident. If the user is connected to a vulnerable Wi-Fi or network, attackers can take advantage of this vulnerability.
10. e-Skimming
E-skimming involves infecting a website’s checkout pages with malicious software to steal clients’ personal and payment information.
If you run an e-commerce business, do not underestimate the seriousness of these security threats.
E-commerce security solutions that can ease your life
1. HTTPS and SSL certificates
HTTPS protocols not only protect your users’ sensitive data but also improve your website’s rankings on Google search results. They achieve this by securing data transfers between servers and users’ devices, preventing any interception.
Did you know that some browsers will block visitors from accessing your site if these protocols are not implemented? Additionally, ensure you have an updated SSL certificate from your hosting provider.
2. Anti-malware and Anti-virus software
An Anti Mallory software is a program that identifies and eliminates software (malware) safeguarding computers and IT systems from infections like worms and viruses, among others.
Anti virus software serves as a tool to protect your computer from viruses originally. Has now expanded its capabilities to safeguard against various forms of malware too. By utilizing a virus program, on your PC and other related systems effectively helps in monitoring and preventing these harmful infections.
3. Securing the Admin Panel and Server
Always use complex passwords that are hard to guess, and regularly change them as a routine practice. Additionally, restrict user access and clearly define user roles, ensuring that each user only performs tasks relevant to their role on the admin panel. Moreover, configure the panel to send you notifications if an unfamiliar IP attempts to access it.
4. Securing Payment Gateway
Avoid storing your clients’ credit card information in your database. Instead, use a third-party service like PayPal or Stripe to handle payment transactions outside of your website. This approach enhances the safety of your customers’ personal and financial data. Additionally, did you know that storing credit card data is also a requirement for PCI-DSS compliance?
5. Deploying Firewall
Effective firewalls protect against suspicious networks, XSS, SQL injection, and other cyber-attacks that frequently make headlines. They also help regulate traffic to and from your online store, ensuring that only trusted traffic is allowed through.
6. Educating Your Staff and Clients
Ensure that your employees and customers are up-to-date on handling user data and engaging with your website securely. This information, which is used for purposes such as cold calling, e-commerce email marketing, and other sales outreach methods, must be managed carefully to ensure compliance and build trust. Remove the details of former employees and revoke their access to your systems. Additionally, implementing a secure business phone system can further protect your communications and improve operational efficiency.
7. Additional security implementations
Always scan your websites and other online resources for malware. Ensure that you regularly back up your data, and consider using multi-layer security to enhance data protection. Frequently update your systems and utilize effective e-commerce security plugins. Finally, invest in a dedicated security platform that is resilient against frequent cyber-attacks. For more information, you can explore additional security measures for your e-commerce store.
Why is E-commerce Security Important?
E-commerce security is crucial for safeguarding both customers and businesses from cyber threats and risks associated with online shopping and marketing. By implementing strong security measures, e-commerce platforms can prevent data breaches, ensure compliance, and attract more customers.
- Protect Customer Data
E-commerce platforms often collect and store sensitive customer information such as credit card numbers, bank details, addresses, and personal data. Failure to secure this information can result in identity theft and harm to individuals. Additionally, a lack of data security can damage your reputation. - Prevent Financial Loss
With approximately 2,200 cyberattacks occurring daily, your site could be the next target. Since e-commerce websites handle financial transactions, any breach can lead to significant financial loss for both businesses and customers. Conducting regular security tests costs far less than recovering from a security breach. - Comply with Industry Regulations
Many industries enforce strict regulations for protecting customer data online, such as PCI DSS, GDPR, SOC 2, and ISO 27001. These regulations require regular security checks as part of cybersecurity protocols. Non-compliance can lead to legal issues, hefty fines, and damage to your reputation. - Attract More Customers
Customers prefer shopping on secure e-commerce sites. In a highly competitive market, robust security practices can give you an edge. By prioritizing security, you can attract and retain more customers.
FAQ’s
What are the most common e-commerce security risks?
The most common e-commerce security threats include financial fraud, phishing, spamming, DoS/DDoS attacks, malware, brute force attacks, man-in-the-middle attacks, and exploitation of known vulnerabilities like SQL injection and cross-site scripting. These risks target administrators, customers, and employees, causing significant disruption.
How does financial fraud affect e-commerce platforms?
Financial fraud, including credit card fraud and fake return scams, leads to revenue loss and can tarnish the reputation of online businesses. Hackers often use stolen card details or manipulate return policies. Using fraud detection systems and verification tools like Address Verification Systems (AVS) helps prevent these fraudulent activities.
What is phishing, and how can I protect my customers?
Phishing involves hackers sending fake emails or messages that appear legitimate to trick customers into sharing sensitive data like login credentials. To protect your customers, implement email authentication protocols and educate them on recognizing phishing scams. Ensure your e-commerce platform has robust anti-phishing measures.
How do DDoS attacks disrupt e-commerce websites?
In a DDoS attack, hackers flood your website with excessive traffic, overwhelming the servers and causing the site to crash. This can lead to lost sales and a poor customer experience. Deploying a reliable firewall and monitoring network traffic can help mitigate these attacks.
What is e-skimming, and how does it affect online payments?
E-skimming involves hackers infecting checkout pages with malware to steal customer payment details. This can lead to identity theft and financial loss for both the business and its customers. Regularly updating your security systems and scanning your website for vulnerabilities can help prevent e-skimming.
Why is HTTPS important for e-commerce security?
HTTPS encrypts the data exchanged between your website and users, protecting sensitive information like credit card details. It also boosts your website’s SEO ranking and ensures browsers don’t block access to your site. Additionally, make sure your SSL certificates are up-to-date.
How can I secure my e-commerce admin panel?
Secure your admin panel by using complex passwords, restricting access based on user roles, and setting up notifications for login attempts from unknown IPs. These measures reduce the risk of brute force attacks and unauthorized access.
Why should I avoid storing customer credit card details?
Storing credit card details exposes your database to potential theft, making it a target for cybercriminals. Using third-party services like PayPal or Stripe for payment processing ensures customer data remains secure and helps you meet PCI-DSS compliance.
What role do firewalls play in e-commerce security?
Firewalls help protect your e-commerce site by filtering out suspicious traffic and blocking common attacks like SQL injection and cross-site scripting. They regulate the flow of incoming and outgoing traffic to ensure only trusted sources have access.
Conclusion
E-commerce security is critical for safeguarding both businesses and customers from a wide range of cyber threats. By addressing common risks such as financial fraud, phishing, and malware, and implementing robust security measures like HTTPS, firewalls, and regular security updates, businesses can protect sensitive data, prevent financial loss, and build trust with their customers. Prioritizing security not only ensures compliance with industry regulations but also provides a competitive edge, attracting more customers to your platform. Staying proactive and vigilant is essential in today’s digital landscape.
ad
Comments are closed.