Hong Kong Had Second Highest Suspected Digital Holiday Shopping Fraud Rate in 2024 Among Countries and Regions Analysed
Nearly seven in every 10 Hong Kong consumers are concerned about digital fraud this holiday season
TransUnion (NYSE: TRU) today unveiled new insights into e-commerce fraud trends observed during the start of the 2024 yearend holiday shopping season in Hong Kong. The analysis indicated that 17.4% of attempted e-commerce transactions where the consumer was in Hong Kong were suspected of Digital Fraud during “11/11” (Singles’ Day)1 and the Black Friday period from 28 November (the Thursday before Black Friday) to 2 December (Cyber Monday) 2024. This placed Hong Kong as the second highest among the analysed countries and regions. In stark contrast, 4.6% of attempted e-commerce transactions globally during this holiday period were suspected of Digital Fraud.
Based on proprietary insights from TransUnion’s global intelligence network, this percentage of suspected e-commerce Digital Fraud attempts originating in Hong Kong during the holiday shopping period (17.4%) was also 4.2% higher than the rate in the rest of 20242 (16.7%), underscoring the need for heightened vigilance and enhanced security measures among consumers and businesses alike during holiday seasons in the city.
Black Friday recorded the highest single day of suspected Digital Fraud in Hong Kong
The study revealed the suspected e-commerce Digital Fraud rate for each day in the holiday shopping period when the consumer was in Hong Kong during the transaction. The suspected Digital Fraud rate in Hong Kong remained higher than the global level throughout the whole period, peaking on Black Friday at 23.4%.
“With consumers increasingly shopping online amid enticing promotions during these festive periods, the surge in online activity has created additional opportunities for fraudsters to exploit unprepared consumers,” said Jerry Ying, chief product officer at TransUnion Asia Pacific. “The significantly higher rate of suspected Digital Fraud in Hong Kong during the holiday shopping period compared to other global markets is a wake-up call for both consumers and online retailers to remain vigilant. Safeguarding against fraud is a shared responsibility, requiring collective efforts from all parties to ensure a safe e-commerce experience.”
Suspected Digital Fraud Rate in Hong Kong Continues to Exceed Global Level Significantly Throughout the 2024 Holiday Shopping Period
| Day | Hong Kong | Global |
| Monday, 11 November* | 15.8% | - |
| Thursday, 28 November | 18.4% | 5.3% |
| Friday, 29 November (Black Friday) | 23.4% | 4.5% |
| Saturday, 30 November | 20.5% | 4.2% |
| Sunday, 1 December | 11.9% | 4.6% |
| Monday, 2 December (Cyber Monday) | 14.1% | 4.5% |
Source: TransUnion TruValidate™ (*For Hong Kong only)
Hong Kong holiday shoppers remain wary of Digital Fraud despite eagerness to shop online
The increase in suspected Digital Fraud came as almost two-thirds (65%) of Hong Kong consumers reported that half or more of their holiday shopping will be conducted online, according to TransUnion’s latest Q4 2024 Consumer Pulse Study. This trend was even more pronounced among younger generations, with 80% of Gen Z and 76% of Millennials stating that they’ll shop online for more than half of their holiday purchases.
Despite the strong appetite for online shopping during the holiday season, 67% of Hong Kong consumers still expressed being extremely, very or moderately concerned about falling victim to digital fraud this year. In light of this, businesses should assume responsibility for implementing proactive measures to mitigate risks in an increasingly digital landscape to ensure the data security of their customers.
“With nearly seven in every 10 consumers saying that they are concerned about falling victim to digital fraud during this holiday season, it is as important as ever for retailers to equip themselves with the necessary tools to detect fraud early, helping minimise fraudulent transactions while protecting the legitimate ones. Retailers should prioritise implementing holistic fraud solutions that can verify customer identity and authenticity as early as possible during a transaction, ensuring an enjoyable and worry-free online shopping experience,” said Ying.
TransUnion came to its conclusions about Digital Fraud based on intelligence from its identity and fraud product suite that helps secure trust across channels and delivers efficient consumer experiences – TransUnion TruValidateTM. The rate or percentage of suspected Digital Fraud attempts reflects those which TransUnion customers determined met one of the following conditions: 1) denial in real time due to fraudulent indicators, 2) denial in real time for corporate policy violations, 3) fraudulent upon customer investigation, or 4) a corporate policy violation upon customer investigation — compared to all transactions assessed. The country and regional analyses examined transactions in which the consumer or suspected fraudster was located in a select country or region when conducting a transaction. Global statistics represent every country worldwide.
To find out how this data varies by select regions and more, TransUnion’s holiday fraud trends can be found here.
