Battling AI-Enhanced Fraud:
How Retailers Can Protect Against Deepfakes and ATO Attacks

The e-commerce and retail sector is facing an unprecedented wave of sophisticated fraud attempts and this will only continue to increase as cybercriminals leverage artificial intelligence. While AI offers immense benefits, they’ve also armed fraudsters with powerful tools to exploit vulnerabilities in ecommerce and retail systems.

One alarming trend is the rise of deepfake technology in identity theft where criminals are using AI-generated voice and video messages to bypass traditional verification methods. Another trend is the evolution of account takeover (ATO) attacks where fraudsters are utilizing AI to create more phishing schemes and to automate credential stuffing attacks. These examples not only puts customer data at risk but also risks trust in retail brands. According to Telesign’s 2024 Trust Index, nearly all Americans (87%) believe the companies they engage with are responsible for protecting their digital privacy, underscoring the importance of digital identity and fraud prevention measures.

To combat these threats, Telesign's solutions help businesses in the retail and ecommerce sectors combat emerging fraud threats by providing a range of tools and services that enhance trust, security, and customer experiences. These solutions are designed to address various stages of the customer journey, from onboarding to account integrity and omnichannel experience. Telesign's omnichannel approach allows businesses to reach and authenticate customers seamlessly, increasing conversion, engagement and improving the overall customer experience.

Stefan Stankov

Senior Solutions Engineer