Retail Internet fraud is twelve times higher than offline fraud, according to a recent in-depth study by research company Gartner.

Moreover e-tailers are paying credit card discount rates that are 66 percent higher than traditional retailer fees.

Web merchants must also bear the liability and costs in cases of fraud, while their bricks and mortar high street counterparts usually get full protection against fraud by the credit card companies.

“The bottom line is that e-tailers are getting hit from all sides,” says a Gartner spokesman.