Source: Vector Choice - URS Preferred Partner
Every year, as organizations prepare for the busiest sales season, cybercriminals prepare as well—leveraging employee overwhelm, increased financial activity, and reduced oversight to launch some of their most profitable attacks. The result: companies of all sizes facing losses that can escalate from thousands of dollars to tens of millions.
In late December 2024, one European chemical manufacturer, Orion S.A., learned that lesson the hard way. A single employee, responding to what appeared to be routine internal e-mails, processed several urgent wire transfers. The messages mimicked familiar communication patterns, referenced legitimate business partners, and were timed to coincide with year-end financial pressure.
By the time the fraud was detected, $60 million had been transferred directly into the hands of cybercriminals—over half of the company’s annual profits.
And Orion is not alone. Smaller businesses are hit daily. In one U.S. company, an accounts payable clerk received a text that appeared to come from her CEO requesting Apple gift cards for “holiday client appreciation.” She complied, never realizing the sender had spoofed the CEO’s identity until the money was unrecoverable.
These incidents are not anomalies—they are part of a growing holiday surge in cyber fraud.
Why Criminals Target the Holiday Season
The final quarter of the year creates a perfect storm for cyber attackers:
Higher transaction volume
Staffing gaps due to vacations
Seasonal changes in workflows
Increased external communications with vendors, clients, and partners
Employees operating under time pressure
According to recent industry data:
Gift card scams cost businesses $217+ million in 2023
Business Email Compromise (BEC) accounted for 73% of all cyber incidents in 2024
Holiday attacks succeed not because businesses lack technology—but because criminals exploit human behavior during the busiest time of the year.
The Five Holiday Scams Every Organization Must Anticipate
1. Executive Impersonation & Gift Card Fraud
Fraudsters impersonate CEOs or managers via text or e-mail, instructing staff to buy gift cards for clients or “urgent holiday needs.”
Why it works: Quick requests during peak season feel normal.
Defend against it: A written policy stating executives will never request gift cards via text or e-mail.
2. Invoice Manipulation & Payment Redirection
Attackers infiltrate or spoof vendor e-mails and send “updated banking details” during year-end billing cycles.
Real example: The Town of Arlington, MA, lost nearly $500,000 in June 2024 using this exact tactic.
Defend against it:
Implement a phone-verification rule for all payment changes over a defined threshold (e.g., $5,000).
3. Fake Delivery & Shipping Notifications
Phishing messages disguised as UPS, FedEx, or USPS alerts prompt users to click malicious links.
Defend against it:
Train staff to navigate directly to carrier websites rather than clicking links in messages.
4. Malware Hidden in “Holiday Party” Files
Cybercriminals commonly use attachments labeled as schedules, party lists, menus, or end-of-year instructions to deliver malware.
Defend against it:
Block macros, scan attachments, and encourage staff to question unexpected files—even if they appear internal.
5. Fraudulent Holiday Fundraisers & “Charity Match” Scams
Fake holiday donation campaigns exploit company generosity and employee goodwill.
Defend against it:
Distribute an approved charity list and ensure all contributions go through authenticated channels.
Why These Scams Work
Holiday attacks thrive because they exploit the tools businesses rely on daily:
E-mail
Digital banking
Cloud platforms
Mobile messaging
These systems are convenient—but vulnerable without strong verification processes.
Data shows:
Regular phishing training reduces risk by up to 60%
Multi-factor authentication blocks 99% of unauthorized access attempts
Yet many small and midsize businesses still rely solely on passwords and trust employees to “spot the scam.”
Holiday Cyber-Readiness Checklist
Before peak season begins, organizations should strengthen defenses with clear, enforceable policies:
1. The Two-Person Authorization Rule
Any financial transaction above your selected limit requires verbal confirmation via a second communication channel.
2. Gift Card Purchasing Policy
Establish a blanket rule:
No gift card purchases initiated by e-mail or text.
3. Vendor Verification Procedures
Confirm all new banking details using phone numbers already on file, never those provided in a new e-mail.
4. Multi-Factor Authentication (MFA)
Enable MFA on:
E-mail accounts
Banking logins
Cloud platforms
Payroll and invoicing systems
5. Seasonal Security Briefing
Provide employees with real-world examples of holiday scams and guidance on what to do when something feels off.
The True Impact of a Holiday Cyber Incident
While the direct financial hit may be severe, the hidden consequences can be even more damaging:
Delays and operational disruptions
Reallocation of staff to investigation and remediation
Loss of client confidence
Increased cyber insurance premiums
Legal or compliance challenges
The average BEC loss now exceeds $129,000 per incident, enough to jeopardize a small business during its most crucial sales period.
Protecting Your Business During the Busiest Season
A single moment of hesitation—one verification call—could have prevented Orion’s $60 million loss. The good news: most holiday scams can be stopped with simple, well-communicated procedures and a workforce trained to recognize when something feels suspicious.
The holidays should bring momentum, celebration, and growth—not financial recovery and crisis management. With proactive planning and the right controls, your business can stay secure, resilient, and focused on what the season is truly about.
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