As businesses become increasingly reliant on emails for communication and collaboration, cyber criminals are noticing an opportunity. Business Email Compromise (BEC) attacks where hackers hijack an email account and use it to gain access to the company’s private information.
It has been growing exponentially over the last few years, costing companies $43 billions in losses according to IC latest reports.
I will discuss what BEC is, along with alarming business email compromise statistics to provide some insight on the growing threat and impact so that you can better protect your business from these costly scams.
Alarming Business Email Compromise Statistics
- There are 15,208 business email compromises per year on average (data from 2013 to 2021).
- Business email compromises cost an estimated $8.6 billion per year.
- Business Email Compromise fraud costs $43 billion between 2016 and 2021.1
- Between July 2019 and December 2021, the number of business email compromise (BEC) attacks increased by 65%.1
- 77% of organizations experienced business email compromise attacks, an 18% increase from 2020.2
- Cybercriminals are also using company names (68%), names of individual targets (66%), and boss/managers’ names (53%) in their spear phishing emails. 3
- According to the Federal Bureau of Investigation’s 2021 Internet Crime Report (IC3), they received 19,954 reports of business email compromise (BEC).4
Scam Alert: 15,208 Business Email Compromises Per Year On Average
It’s startling to hear that on average, 15,208 businesses experience email compromise per year, according to the Internet Crime Report. It’s a real issue that companies need to be aware of–one that can lead to sensitive data becoming exposed or stolen.
Email accounts containing banking information and confidential documents are becoming a primary target for many cyber criminals, leading to a massive breach of trust and often financial loss.
With such high rates of businesses compromised annually, it’s essential that companies take security into their own hands and start taking stronger preventative measures against email spoofing and malicious software.
Business Email Scam Costs $43 Billion
It’s no conspiracy that the world of online communication has become a hotbed for criminal activity and it seems that business email scamming is a prime example.
Recent numbers released in the Internet Crime Report indicate that the cases of Business Email Compromise fraud have cost companies over $43 billion between 2016 and 2021.
This type of scam, which is often linked to online account takeovers or wire transfer theft, has been on the rise since its inception which shows just how serious this issue has become.
If companies don’t act soon in order to tighten their security protocols, then this bill could only skyrocket in the future.
Business Email Compromise Attacks Increase By 65%
Business email compromise (BEC) attacks seem to be on the rise, and this is not a surprise given how quickly hackers are becoming more technologically savvy. According to the Internet Crime Report, the number of BEC attacks increased by 65% between July 2019 and December 2021.
Though this news may feel overwhelming at first, there are things businesses can do to protect themselves by educating employees on how to recognize phishing emails and training them on best practices.
Most importantly, businesses should ensure they have proper cybersecurity measures in place that can quickly detect any malicious email activity. Taking these steps can help ensure business data remains safe and secure against cyber attackers.
Email Compromise Attacks on The Rise, Study Shows
Email compromise attacks are on the rise, and according to the recently published THREAT REPORT 2022 State of the Phish, 77% of organizations have been affected by these concerning attacks. This is an alarming jump from last year, when 59% had been hit with a similar attack.
Businesses must remain vigilant in order to protect their valuable data and make sure that any emails or messages that come from their institution can be trusted. Cybersecurity practices should be constantly updated and monitored so that any suspicious activity can be swiftly identified.
Businesses may become targets for many forms of attacks and malevolent schemes if prompt action is not provided. In today’s digital environment, keeping up with new security protocols is critical for corporate safety.
The Name Game: Spear Phishing Email Targets
Spear phishing emails are an increasingly common type of attack used by cybercriminals to gain access to someone’s confidential data.
However, what makes them particularly successful is their ability to target individuals or organizations in a personal way. It turns out that criminals are well aware of how effective this strategy can be and are taking advantage of information like company names, individual target names and even boss or manager’s names in their spear phishing emails.
In fact, according to Greathorn, 68% of such emails include a company name, 66% include the names of specific targets, and 53% include the name of the boss or manager.
It’s evident that these hackers don’t leave anything to chance when attempting to compromise a company, and if we want to safeguard our data from these attacks, the first step is to understand the strategies they employ.
19,954 Business Email Compromise Report Filed With FBI To Date 2021
It’s a sad reality, but Business Email Compromise scams are on the rise. The FBI’s 2021 Internet Crime Report (IC3) reported a staggering 19,954 reports of BEC related fraud this year alone.
When cyber thieves obtain access to legitimate company email accounts and fake them, they can solicit financial transactions or steal confidential information.
Unfortunately, these types of scams can result in huge monetary losses for victims and some even resulting in millions of dollars stolen. With the number of phishing emails increasing year after year, organizations must remain vigilant and safeguard their networks accordingly.
