Holiday scams on the rise - why awareness matters this festive season

With International Fraud Awareness Week (November 17-23) underway, millions of Australians are gearing up for Black Friday sales and Christmas bargains, while scammers are intensifying their efforts to exploit the holiday rush.

The National Anti-Scam Centre warns that online shopping scams are surging. From fake websites and parcel alerts to phony loyalty rewards, cybercriminals are using increasingly sophisticated tactics to turn festive cheer into financial pain. Australian government data reveals the scale of the problem: $26.25 million in reported scam losses last December alone and nearly $260 million in the first nine months of 2025, underscoring how easily fraudsters can take advantage of distracted consumers.

Despite increased awareness, and that the first nine months of 2025 saw scam reports decline by 20 per cent compared to the same period last year, losses increased by 16 per cent. This trend highlights the growing sophistication of scam techniques, and while Australians may be more alert, the financial impact on victims is greater than ever.

The surge in holiday scams

Online channels are the scammers’ gateway, accounting for nearly half of all scam losses, around $122 million, through fake websites, ads, social media, and mobile apps. Increasingly, fraudsters hijack social media accounts, especially on Facebook and Instagram, to target friends and family. Once inside, they impersonate the account holder to push fake ticket sales, ‘fire sales’, grants, and investment schemes, often tricking contacts into sharing one-time codes and enabling a chain of account takeovers.

The festive season brings a spike in parcel delivery scams as online shopping volumes soar. Last December, Australians lost $2.09 million to scams impersonating delivery services, often via text messages claiming to provide tracking updates. These messages exploit the expectation of holiday deliveries, luring recipients into clicking on malicious links.

Shopping scams are also on the rise, with reported losses reaching $8.6 million this year, a 19 per cent increase from last year. While SMS scams dominate headlines, email remains a preferred weapon for fraudsters. Last December, more than 7,000 phishing reports were lodged, with scammers mimicking major retailers and loyalty programs. These emails often create a false sense of urgency with promises of exclusive rewards, bonus points, or limited-time discounts. Clicking through leads to fake websites designed to steal credentials and drain bank accounts.

Identity theft on the rise

The financial impact of these scams goes beyond immediate losses. Identity theft and phishing scams are among the fastest-growing categories reported. Last December alone, Australians lost $2.8 million to scams that start with a single click, as criminals harvested login details, credit card numbers, and personal information from convincing fake retailer sites.

This trend reflects a shift from one-off cons to long-term data theft. Stolen identities can be used to open bank accounts, apply for credit, or launch further scams months later. The implications for individuals and businesses are significant, making fraud awareness and prevention critical.

Why awareness matters

Technology has made shopping and delivery faster, but it has also given scammers new tools to exploit. International Fraud Awareness Week is a timely reminder that vigilance is the best defence. A few seconds of caution can prevent thousands of dollars in losses and protect against long-term identity theft, so keep these practical tips in mind:

• Verify before you click - contact retailers or couriers directly, if you receive unexpected messages
• Secure your information - ensure the website you are shopping on has a secure connection before entering personal payment information (look for a padlock symbol in the address bar)
• Avoid suspicious links - never enter personal details on unfamiliar websites
• Be sceptical of ‘too good to be true’ offers - loyalty rewards and urgent discounts are common bait.

 

How BDO can help

BDO’s forensic services team works with organisations to strengthen fraud and scam prevention strategies and respond to incidents effectively. Our services include:

• Fraud and scam risk assessments to identify vulnerabilities
• Scam control benchmarking and gap analysis
• Cyber and data security reviews to protect sensitive information
• Incident response and investigation for suspected fraud or scams
• Training and awareness programs to empower staff and customers.

Contact us to learn more about how we can support your business.