In a study conducted by the OWASP and Appdome, concerns over mobile app fraud are increasingly alarming among UK consumers.
According to Finextra, the significant 62.1% of respondents identified mobile app fraud as their primary worry, with hacking fears also prevalent among 50% of those surveyed. The findings emphasize a growing demand for proactive anti-fraud measures to enhance user trust and security in mobile applications.
Chris Roeckl, chief product officer at Appdome, highlights the dual fear of regulatory repercussions and financial losses that mobile app fraud imposes on both financial institutions and consumers. The survey, involving 2,500 UK participants, reveals that over 41.3% have experienced or know someone who has been a victim of cyber-attacks or mobile fraud, and about 26.9% have encountered social engineering scams.
The concept of “vishing” — voice phishing where scammers deceive victims into divulging personal information — is now recognized as a top risk by 55.1% of those surveyed. This indicates a heightened awareness and evolving understanding of the various forms of digital deception.
Moreover, the integrity of a mobile app significantly impacts consumer loyalty, with 70.6% willing to abandon and dissuade others from using an app if they discover it has been compromised. This sentiment is further exacerbated by the 25.2% of users who believe developers are neglecting the necessary protections against fraud, up sharply from 9.3% in 2021.
Roeckl stresses the necessity for mobile apps to incorporate sophisticated, intelligent systems to detect and counteract fraud preemptively. He suggests that leveraging data from user interactions within the app can effectively predict and prevent fraudulent activities. With emerging technologies and smarter systems, the aim is to ensure mobile apps are not only secure but also capable of actively mitigating fraud risks without waiting for regulatory mandates.
“Consumers and financial institutions alike are deeply concerned about the potential repercussions of mobile app fraud,” said Chris Roeckl, chief product officer at Appdome. He added that there is a critical need for apps to “have the right security capabilities built into them, with the ability to do proactive fraud reduction elimination,” emphasizing that technology should lead the charge in solving issues that might otherwise require legislative intervention.
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