Suspected digital fraud attempts in Kenya were highest within the gaming sector during the 12-month period to last December as spending within the segment recorded significant growth, a new report shows.
The TransUnion 2024 State of Omnichannel Fraud Report however indicates that the most rapid growth in digital fraud attempts during the year was recorded within the travel and leisure sector.
Across all industries, 3.3 percent of all transactions where the consumer was in Kenya were flagged as being suspected of digital fraud, marking a 16 percent jump from the recordings of the previous year.
The report further reveals that nearly one in seven (13.5 percent) of newly created accounts are suspected to be created via digital fraud, largely driven by bad actors who use fabricated or stolen identities.
Changing tactics
“This may indicate a shift in the tactics deployed by fraudsters hoping to engage earlier in the transactional process,” the report notes.
Examples of the types of transactions that take place during the account creation process, the report says, include account sign-up, registration and loan origination.
Industries that saw the highest percentage of digital account creation transactions suspected to be digital fraud were retail (44.7 percent), travel and leisure (36 percent) and video gaming (31.5 percent).
