Holiday shopping rush tests payment security

Philippine retailers are being urged to strengthen payment security following the 11.11 sales event as they prepare for the upcoming 12.12 promotions and Christmas shopping rush.

The surge in online transactions presents challenges for merchants seeking to distinguish legitimate purchases from potentially fraudulent activity without disrupting customers.

Digital payments accounted for 64.7 percent of retail payment transactions by volume in 2025, according to the Bangko Sentral ng Pilipinas.

In July 2026, the central bank urged financial institutions under its supervision to strengthen authentication, cyberthreat monitoring and incident response measures.

Payment services provider Fiuu said major shopping campaigns often produce unusual transaction patterns, including higher purchase volumes, first-time customers and repeated payment attempts.

“Security should protect genuine customers, not become an obstacle for them,” said Fiuu CEO Eng Sheng Guan.

“During major promotional campaigns, payment decisions should be informed by transaction context so that legitimate purchases continue to move smoothly while activity that warrants closer scrutiny can be identified.”

Fiuu warned that repeated payment failures involving different credentials could indicate card testing or unauthorized use of payment information.

However, unsuccessful transactions may also result from insufficient funds, authentication problems or network interruptions.

With the 11.11 sale concluded, Fiuu advised merchants to review fraud prevention measures, monitor unusual transaction patterns and coordinate with payment providers ahead of the 12.12 shopping event.

The company said businesses should balance fraud prevention with customer convenience to avoid unnecessary payment declines and lost sales during high-volume shopping periods.

“The objective is not to make payments more complicated,” Eng said.

“It’s about applying the right controls where they matter while allowing genuine customers to complete their purchases as smoothly as possible.”