Over 80% of UK buyers to make purchases on the internet for Christmas

A study indicates that 25.17 million customers across UK representing 81 percent of the UK's online population (which stands at 33.06 million) have expressed their intention to make online purchases for Christmas.

The main reasons online shoppers give for their decision are the ability to make purchases at any time of the day and smaller prices.

The number of those willing to purchase at least one Christmas gift online reaches 29.09 million, accounting for 88 percent of the UK online population, while over a quarter of those involved in the study announced plans to buy eleven or even more gifts on the internet.

Price is the main reason which prompts UK online adult males to buy products online instead of from a brick-and-mortar shop, while for women, the most important factor is the fact that they can buy online at any hour of the day or night. The same study reveals that 96 percent of UK online customers aged between 18 and 24 are planning to buy one or more Christmas gifts on the internet in 2008.

Online shoppers' greatest fear is that of never receiving the products, followed by security concerns and being exposed to online fraud when buying from a website they have never used before.

The study was conducted by GfK NOP on behalf of Ivobank, among 1,000 UK adults.

CRYPTOCard launches combined two-factor authentication & payment card|

Canadian two-factor authentication technology developer CRYPTOCard launches its new CD-1 Credit Card Display token, a combined two-factor authentication (2FA) payment card aiming to secure card-not-present online and telephone transactions.|

The CD-1 combines authentication and payment card technologies into a credit card-sized device which generates one-time passwords, thus allowing customers to log into their online or telephone banking accounts. CRYPTOCard representatives indicate that the new CD-1 Credit Card Display token seek to help users fight online banking fraud by securing card-not-present based transactions via an integrated device for consumers combined with an integrated software service for banks.

US online shoppers spend USD 534 million on Black Friday, up 1% as compared to 2007

Statistics indicate that US online spending during Black Friday hit USD $534 million in 2008, which represents a 1 percent increase as compared to the USD $531 million reported in the corresponding period of 2007.

For the first 28 days of the November - December 2008 period, online buyers have spent USD 10.41 billion, a decline of 4 percent over the same period of the previous year, when e-commerce spending reached USD 10.83 billion. During Thanksgiving Day, online sales have grown by 6 percent from USD 272 million in 2007 to USD 288 million in 2008.

Data released by internet marketing research company comScore reveals that the busiest part of Black Friday as far as online sales are concerned was the period between 12:00 hrs and 16:00 hrs, when the highest share of Black Friday online sales was recorded, namely 24 percent, while between 8:00 hrs and 12:00 hrs the share of money spent reached 23.1 percent.

Fraud on UK cards 'higher overseas'

Fraud losses on UK credit and debit cards are 14 times higher overseas than they are in this country, a report claims.

The introduction of anti-fraud measures in the UK, such as chip and pin, has pushed card fraud into countries where the system has not yet been introduced and fraud protection is weaker.  A similar pattern is being seen in other European countries, such as France and Spain, according to a report by industry consultant Peter Welch.

He said losses from overseas fraud accounted for 40% of total losses on UK credit and debit cards in 2007, rising to 43% in France and around half of all losses in Spain.

But he said because international card usage is much lower than domestic usage, overseas fraud losses are far higher as a proportion of the amount being spent, with international losses on UK cards actually 14 times higher than ones in this country relative to turnover.

Figures from payments group APACS show that card fraud rose by 25% in the UK to £535 million during 2007, despite the introduction of chip and Pin leading to a 67% fall in losses on the UK high street during the past three years to £73 million.

Counterfeit fraud rose by 46% last year to £144.3 million, mainly due to fraudsters copying UK cards and then using them abroad.

Mr Welch said card providers were also facing a growing threat from so-called card not present fraud, with the fraudulent use of credit and debit cards to buy items over the internet, telephone or by post accounting for three-quarters of domestic losses in the UK in 2007, compared with only around a third in 2004.

Overall, credit and debit card fraud losses in the UK are far higher than in France and Spain at 0.094% of card turnover in 2007, nearly twice as high as France's 0.049% and almost four times greater than Spain's 0.024%.

The higher losses in the UK are likely to reflect the fact that more cards are in issue in this country and there is also a greater use of credit cards.

Mr. Nelms will address Discover's strong position in the current state of the economy and the credit crisis. Prior to the downturn, Discover was reinventing itself with changes to its business model, a strategic acquisition strategy and a revised risk-management philosophy. He will also address positive steps the company has taken during this crisis and offer his observations on employee relations and customer service during these challenging times.

David W. Nelms is Chief Executive Officer and a member of the Board of Directors of Discover Financial Services (NYSE: DFS). He is responsible for all Discover® branded financial services, including credit cards and banking products; the Discover Network, a comprehensive payments network that supports multiple card produces, issuers and processors; PULSE, one of the nation?s leading PIN debit networks; and Diners Club International, a global payments network. He is also Chairman of Discover Bank, the issuing bank for the Discover Card brands.

WHERE: Hyatt Regency Chicago, 151 East Wacker Drive ? Chicago, IL
WHEN: Tuesday, December 2, 2008
Networking, 7:30am Breakfast, 8:00am

About The Executives Club of Chicago

The Executives Club of Chicago (ECC) is a business forum for thought leadership, education and best business practices. Founded in 1911, the ECC is one of the oldest and most prestigious business organizations in the Midwest. The Club serves the community by providing information and resources needed to establish effective global partnerships, enhance intellectual exchange, develop future diverse business leaders and promote Chicago as a world class business center.