Cyber Monday and Black Friday are two of the busiest days of the year for many of our clients. This year our data analysts predict a 35 to 40 percent increase in online transactions throughout the 2014 holiday shopping season.

We expect to see steady growth in both mobile and online transactions for holiday shopping. The only year we saw a dip in these numbers was 2011. The last two years we’ve seen solid increases in transaction numbers.

iovation protects some of the biggest brands, in the United States and Europe, from online and mobile fraud during the holiday season and year round. We have unique insight into the level of transaction volumes seen across the retail and financial industries—two key players when it comes to holiday shopping.

Our data suggests that the biggest increase will come through mobile traffic where we expect as much as a 40 percent increase in transaction volumes on Cyber Monday. A recent Google/Nielson survey shows that consumers spend more than 15 hours per week on mobile research and 55 percent of those using mobile to research, want to purchase within the hour.

In the first part of 2014, iovation clients saw more transactions, almost 60 percent, driven by Apple's iOS. That may change in the future with Android's command of the market share. Still, for this holiday shopping season, we’re predicting 31 percent more traffic coming through Apple devices (iPad, iPhone and iPod) than Android.

While this is the busiest time of year for many of our clients, it’s also a busy time for fraudsters too. Some of the top fraud types that we see affecting our clients are:

  • Credit card fraud
  • Phishing
  • Identity theft
  • Account takeover

In October, surveyed consumers about their holiday shopping habits. Forty-five percent of respondents with credit or debit cards said they would definitely or probably avoid one of their regular stores over the holidays if that retailer had experienced a data breach. This shows that consumers have become more aware of the risks involved with data breaches in general, and by extension, the possibility of online and mobile fraud.

Businesses have always understood what’s at stake with fraud as we head into this busy holiday shopping season. With mobile traffic increasing every year, a fraud strategy that includes keeping native, hybrid or web apps safe from fraud will be a necessity.