How to Prevent Your Brand From Getting Invaded by Fake Users

Nowadays, crime does not only happen in the physical world but online. For individuals, we have the term “cyberbullying.” For businesses or other establishments, we have the existence of ransomware: malicious software designed to block access to a computer system until a generous amount of money is paid.

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Here are a number of alarming statistics that can help us see the prevalence of ransomware:

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• More than 4,000 ransomware attacks have occurred everyday since the beginning of 2016. That's a 300% increase over 2015, where 1,000 ransomware attacks were seen per day. <Computer Crime and Intellectual Property Section (CCIPS)>
• 92% of surveyed IT firms reported attacks on their clients <Source: Datto via The Atlantic>
• Healthcare and Financial Services were the hardest hit. <Source: Osterman Research via Malwarebytes>
• 70% of businesses paid the ransom. <Source: IBM via CNBC>

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Existing and growing numbers of fake users online are not new to us. Who knows -- we may have come across them at one time or another. However, few people may realize just how malicious & damaging these fake users can be for businesses. More than being a nuisance, fake users are causing businesses to lose millions of dollars & the problem only continues to grow.

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Let’s unveil this epidemic on how fraud is affecting businesses and their users. Surprisingly, 82% of businesses struggle with fake users. These fake users are wreaking havoc on brand reputations and real users on a daily basis.

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We further found that the key reason behind this growing concern is that businesses are prioritizing convenience over security during the registration process for accounts. 47% even admit to knowingly allowing fake users into their platform just to avoid adding friction to the registration process. As a result, their user base is declining in value by as much as 47% -- with the average user base valued at $117 million, this means a loss of as much as $55 million.

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But there’s hope! Existing new products like FONE API’s two-factor verification system empower businesses to add security to the account registration process without having to sacrifice convenience. Fake user threats will one day be a thing of the past. By eliminating fake registrations, not only can your company save on repair costs of up to $14 million in large companies, but they may likewise increase the value of their user base by up to 44%, or $52 million.

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To explore further and learn more on how to prevent fake users from destroying your brand, visit our site at foneapi.com for more insightful articles or leave your comments below & we’ll get back to you as soon as we can for further details.

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