Protect Yourself: Top Holiday Scams Targeting Australians and How to Identify Them

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If that unbelievable holiday bargain or too-perfect TikTok find seems tempting, experts suggest to pause and think.

Scammers hit Australians hard during holiday seasons, with one in five reporting being scammed at least once in this time, according to a recent report.

On average, these Australians have lost $445 during the holiday season, with 4 per cent of victims losing more than $5,000, according to the new findings from cybersecurity firm McAfee, which analysed data from October to early November.

The company also sells cybersecurity products.

This year, the outlook appears grim as 89% of Australians have expressed concerns about being targeted by scams and fraudulent websites through advertisements from unknown retailers.

Scammers have also resorted to online brand impersonation to trick consumers. By mimicking the identity of well-known brands, these fraudsters aim to deceive unsuspecting shoppers.

McAfee highlights four main holiday scams: fake retail websites and counterfeit deal pages, scams on TikTok and social media, delivery and shipping text frauds, and gift card and account verification scams.

The report highlights that luxury brands like Coach, Dior, Ralph Lauren, Rolex, and Gucci are the most frequently impersonated, while mainstream brands such as Apple, Nintendo, Samsung, Disney, and Steam have also been targeted.

McAfee’s survey of Australians shows 36 per cent have abandoned a purchase because something didn’t feel right.

Fake versions of these sites frequently feature stolen product images, similar design layouts, authentic-sounding customer service language, and holiday sale graphics designed to encourage shoppers to enter payment details, according to the cybersecurity firm.

Compared to last year, there is a noticeable increase in anxiety, with 60% of Australians now more apprehensive about AI-related scams. Additionally, 38% have reported personal encounters or know someone affected by holiday-sale scams involving deepfakes or fake celebrity endorsements.

“AI has significantly facilitated scammers in replicating trusted brands with such precision and speed that it becomes increasingly difficult to detect,” experts warn.

These scams are becoming more convincing as artificial intelligence advances.

Compared to last year, 60 per cent of Australians are now more worried about AI scams, and 38 per cent reported they or someone they know has “encountered holiday-sale scams that use deepfakes or fake celebrity endorsements”.

“Scammers have always taken advantage of the holiday rush to exploit people looking for deals,” Tyler McGee, head of the Asia-Pacific and Japan region at McAfee, said.

“But AI has made it easier for them to copy trusted brands with speed and accuracy that is hard to spot.”

How to spot online scams

But there are still tips that can help shoppers avoid being scammed.

According to Scamwatch, if an offer is too good to be true, that might be a sign of a potential scam, and if the seller lacks terms and conditions, an ABN, or a privacy policy on their website, you should be cautious.

McAfee also warns that pressure to act quickly, requests for payment through gift cards or wire transfers, requests for personal information, or insisting that you stay on the line or remain silent are all “classic scam signals”.