A new study found 77 percent of Boomers and 62 percent of Millennials said they are concerned about becoming a victim of online fraud.
The supplement findings, pulled from the “Mobile Payments and Online Shopping Survey” conducted by ThreatMetrix and The Ponemon Institute, specifically analyzed a bifurcated survey sample based on two discernible age groups: Millennials (defined as age 18 to 25) and Boomers (55 or older).
For a different look at Millennials see: What do millennials want.
While Millennials report being less concerned about online fraud than Boomers, half of those between the age of 18 and 25 say the security of an online website is a factor in determining whether they use that particular merchant.
“It’s interesting to note that while the younger generation is less concerned about online fraud in general, when they do question the fraud prevention measures of an online merchant, they say it adversely influences their experience with that particular brand,” said Bert Rankin, vice president of marketing, ThreatMetrix.
“It’s a big concern if online retailers are losing out on potential sales simply because consumers can’t trust the security of the transactions on the website.”
Rankin further explained that mobile payments and m-commerce presents an entirely separate set of issues than online shopping, primarily because it is a relatively new channel in which consumers have yet to fully engage.
However, despite only one in four Boomers indicating they have used their smartphone or tablet to make a mobile payment, 60% of Millennials cited they have done so.
Millennials more likely than boomers to make mobile payments
Of those who have used a mobile payment, Millennials were more likely than Boomers to do so because of convenience. In contrast, the majority of Boomers cited their belief in increased security as the No. 1 reason for conducting mobile payments.
Twenty-six percent of Boomers perceive fraud risk to actually be lower when using a smartphone. This, compared to 40% of Millennials.
“Mobile offering better fraud protection is a common misconception that fraudsters use to their advantage,” said Rankin. “Not only are merchants still trying to understand the mobile channel, but the majority of consumers don’t even download virus protection on their smartphones. And with more consumers using mobile devices to purchase goods, leverage social networks and conduct banking transactions, fraud is of growing concern in this channel.”
Download a complimentary copy of the report, “Mobile Payments and Online Shopping Survey, Supplement: Baby Boomers vs. Millennials.”
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- Baby Boomers need to improve their digital security practices
- Mobile devices playing a crucial role influencing shopping decisions
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Tags: millennials vs. boomers, online fraud perceptions, online payments, ThreatMetrix
