Online shopping is becoming more popular with Canadians. For retailers, the implications are considerable. New strategies for attracting customers are being deployed by retailers that integrate ecommerce into their 'traditional' retail businesses. While retailers are benefitting from ecommerce business they must face on-going issues associated with utilizing ecommerce technology. Technology issues, security concerns and a rapidly growing industry are some of the challenges facing retailers within the ecommerce market.
Retailers are using ecommerce to enhance their businesses. Statistics Canada has stated that ecommerce sales in 2005 were $39.2 billion Canadian. (Economist Intelligence Unit, 2006) The retail sector has recognized
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The most common forms of credit card fraud do not take place on ecommerce sites. Common forms include stealing credit card numbers in offsite transactions, online phishing where someone responds to an illegitimate email which they think is from their financial institution, or by way of software that attempts to guess at plausible numbers. (Mangiaracina & Perego, 2009) Ecommerce sites have also adopted various technologies to ensure the safety of their customers when purchases are made through their sites. 3-D secure systems, CVV2/CVC2/CVA2/4DBC, or electronic wallets such as PayPal are some of the technologies being used which can require extra user id's and passwords to close the deal, or the use of the three digit code on the back of a consumers credit card as an added security measure. As an added measure, most of the merchants in one study stated that they also cross check the data they receive on a transaction such as address, name, etc to ensure accuracy before processing the order. (Mangiaracina & Perego, 2009)
While credit card fraud remains a high concern for consumers, personal information security is the other major barrier for ecommerce growth. Identity theft can be costly and inconvenient for consumers. It can take months to 'clean-up' your records if someone uses your identity to make purchases, or perpetrate fraud. Hackers are continually trying to gain access to