Stories, tools and tactics to spot, stop and dismantle AI-generated fake stores.

"The harsh reality is the site wasn't real. The ad was fake. The reality is you've clicked through to a steward ad that's taken you to a fake site. That fake site then has taken your details, your credit card,” articulated Lisa Deegan, Senior Director, UK and International Growth at EBRAND, in the recent episode of The Security Strategist podcast.

Host Richard Steinnon, Chief Research Analyst at IT-Harvest, sits down with Deegan to talk about cybersecurity in brand protection against online fraud. They explore how AI is being used by criminals to create convincing fake shops, the impact of these scams on consumer trust, and the need for a comprehensive approach to brand protection.

Deegan emphasises the importance of understanding consumer behaviour, the mechanics of online scams, and the necessity for organisations to adopt proactive strategies to combat these threats.

The Alarming Rise of AI Fake Shops

While the digital world seems like a boon to most, about two-thirds of humanity (five billion people), to be precise. This online community, heavily relying on mobile devices, have become prey for savvy cybercriminals. These criminals are now using Generative AI to create highly convincing, yet entirely fake, online retail experiences.

Deegan, a cybersecurity and brand protection expert at EBRAND, illustrates the situation trapping the digital community. She asks the audience to imagine a consumer scrolling through social media, sees an ad for a favourite brand offering a deep discount. The consumer clicks, is taken to a professional-looking website that appears legitimate, enters payment details, and loses their money. The product never existed, and the consumer's data was stolen. The speed and scale of these attacks are unprecedented; single campaigns can target over 250,000 people in a single day, points out Deegan.

The EBRAND senior director proposes a massive change in brand protection strategy. Instead of just dealing with surface-level violations, she wants to target the underlying criminal infrastructure.

"It's no longer about firefighting individual infringements. It's about looking at the domains, the ads and the payment channels cyber criminals are using. And it's also the bad actors before that.”

“It's bringing that all together and making sure that you're taking it down the infrastructure at source so that it's leaving them no opportunity to rebuild again," added Deegan.

The speakers agree that the traditional method has become a continuous "whack-a-mole" game against sites that instantly reappear due to AI. To be effective, brands "need to embed monitoring with intelligence and rapid enforcement" to break down the entire operation, making it too costly and difficult for the criminals, who will "eventually get fed up and move on to some other soft target."

Takeaways

  • The landscape of online fraud is rapidly evolving due to AI.
  • Two-thirds of humanity is now online, increasing vulnerability.
  • Fake shops can deceive consumers with convincing ads and websites.
  • Trust in brands is significantly impacted by online scams.
  • Organisations need to dismantle the networks behind scams, not just individual sites.
  • AI can be used for both scams and brand protection.
  • Consumer education is crucial in combating online fraud.
  • The rise of autonomous AI poses new challenges for brand protection.
  • Monitoring and rapid enforcement are essential for effective protection.
  • Every department in an organisation has a role in brand protection.

Chapters

  • 00:00 Introduction to Cybersecurity and Brand Protection
  • 02:55 The Evolution of Online Fraud
  • 05:56 The Impact of AI on Scams
  • 09:03 Understanding the Mechanics of Fake Shops
  • 12:10 Strategies for Effective Brand Protection
  • 14:44 The Role of AI in Brand Protection
  • 17:52 Consumer Awareness and Education
  • 21:00 Engaging with EBRAND for Protection Solutions

About EBRAND

EBRAND detects and eliminates infringements, supporting streamlined, well-protected organisations. Safeguarding IP, cyberspace, and domain portfolios, we deliver the tools you need to stay ahead of scammers and impersonators in an AI-enhanced ecommerce world. With local experts and an international scope, our hubs across Europe, North America, and Asia boost and protect leading organisations across the globe. Comprehensive EBRAND services meet business needs across sectors, industries, and markets, so get in touch! Together, we'll implement a future-proof solution to help your team embrace your next challenges with the tools to succeed.