Although online shopping has steadily increased in the last decade, it saw an explosion following the COVID-19 pandemic lockdowns.
According to almost one in five Australians buy at least some of their groceries online. Other studies suggest online supermarket shopping alone almost tripled during the pandemic.
Dr Louise Grimmer is a Researcher and Senior Lecturer in Marketing at the University of Tasmania’s College of Business and Economics. She says although some of the big retailers had good online stores before the pandemic, the crisis forced many merchants to either build one, or improve their existing digital platforms and services.
“Before the pandemic, about only 40 per cent of Australian consumers shopped online. Now, as we moved through the pandemic and people had to shop online, that figure has increased markedly and about 50 per cent of consumers now regularly shop online.’’
Databases containing customer information can be used by businesses for legitimate marketing purposes. They can also be lawfully monetised or on-sold to other third-party businesses, if allowed under the user agreement.
However, this information also attracts cyber criminals and hackers looking to use it for their own gain, as personal information can be sold on the black market for profit.
The Deputy Chair of the Australian Competition & Consumer Commission, Delia Rickard explains.
“What scammers do these days is they set up fake shops, either on the internet, or more and more frequently on social media. They advertise products often with very low prices or amazing benefits that are too good to be true.’’
Ms Rickard says if the site asks for uncommon or unusual payment methods, such as wire transfers, cryptocurrency, or vouchers, it is likely a fraud.
Ms Rickard urges anyone who has been tricked into giving away any personal information to contact as quickly as possible.
Dr Grimmer also recommends online shoppers to double-check that the site they are visiting is reputable before handing over payment or personal information.
