Fraud is one of the fastest-growing consumer protection threats in the U.S., and it is directly undermining trust in media and entertainment brands.
In a recent Thinking Out Loud conversation with CTAM President and CEO Vicki Lins, Senior Director of Fraud Prevention at AARP Kathy Stokes put it even more bluntly: “This is the number one crime in this country … by sheer volume, we’re absolutely there.”
For streaming platforms, networks, and connectivity providers, the implication is clear: fraud is no longer just a security issue. It is a direct challenge to consumer trust and to the long-term strength of the brand relationship.
Key takeaways
- Fraud directly impacts brand trust, not just security systems: 47% of consumers report receiving scams impersonating streaming or internet providers, according to Ipsos.
- Emotional manipulation drives fraud success: Scammers exploit urgency and excitement to bypass logic and trigger action.
- Empathy improves retention and trust: Treating consumers as victims who are not at fault strengthens relationships.
- Clear, consistent communication reduces risk: Repeated messaging about how brands engage helps consumers spot fraud.
- Collective efforts like the CTAM-led ByeScammer initiative scale impact: Coordinated industry campaigns increase awareness and reduce consumer vulnerability.
Fraud has become an industrialized threat
Fraud has evolved far beyond isolated bad actors into a highly organized, global enterprise.
“We’ve moved from the snake oil salesman of yesterday…to transnational organized crime syndicates,” Stokes explained. “They are exceptionally well versed at how to make somebody believe something that isn’t true.”
The scale is staggering. According to Federal Trade Commission data, consumers reported more than $15.9 billion in fraud losses in 2025, with actual losses estimated to be far higher.
Equally significant for this industry: Ipsos research shows that nearly 47% of consumers have received a fraudulent offer posing as their streaming or internet provider.
This makes fraud not just a consumer risk, but a direct brand risk.
Why trust is the new battleground in fraud
Scammers succeed because they exploit one critical asset: trust.
“They have a playbook that works just about every time because it relies on brain science,” said Stokes. “If they come at us with something urgent or emotional, our brains go right to action…bypassing logic.”
That dynamic mirrors exactly how media and entertainment companies build engagement. Emotional connection—to content, talent, and platforms—is the foundation of audience loyalty.
It is also what fraudsters increasingly exploit.
From fake subscription alerts to impersonated talent outreach and fan-targeted scams, bad actors are inserting themselves directly into the consumer relationship, and often in ways that are indistinguishable from legitimate brand communications.
The critical shift: From blame to empathy
One of the most important insights from AARP’s work is also one of the most actionable: the consumer is not at fault.
“For 25 years, we’ve allowed ourselves to think this was a ‘them problem,’” Stokes said. “We were really wrong.”
This shift matters deeply for media and entertainment companies. When a scam uses your brand, your platform, or your talent, the breakdown in trust is experienced as part of your ecosystem.
“There is such an important role for brands to understand that they need to play,” Stokes emphasized. “If we don’t tell them, we’re going to lose them as a customer.”
Customer experience is the front line
Fraud is no longer confined to back-end security. It is increasingly a frontline customer experience issue.
“It’s not the time to become dismissive or blame,” Stokes said. “It’s the time to understand what this person has had happen to them.”
Every interaction with a fraud-impacted customer is a moment of truth. Companies that respond with empathy, clear guidance, and helpful next steps reinforce trust. Those who deflect or dismiss risk compound the damage.
In this environment, customer service is not just a resolution. It is reputation management.
Communication is your strongest defense
Proactive communication is one of the most effective ways to reduce fraud risk.
“We’ve seen a real growth from ‘we’re not going to talk about scams’ to understanding that if we don’t, we’ll lose customers,” Stokes noted.
Consumers need clarity: How does your company communicate? What should they trust? What should they ignore?
Consistency is key, and this is where industry coordination becomes especially powerful.
Tone also matters. “Instead of saying ‘don’t fall for it,’ say ‘these criminals are trying to deceive you,’” Stokes advised. Removing stigma increases reporting—and reporting is essential.
AI is accelerating the crisis
Artificial intelligence is rapidly increasing both the scale and sophistication of fraud.
“I’ve been talking about generative AI as the industrial revolution for fraud,” Stokes said. “It helps them scale, but also perfect.”
Traditional red flags, like poor grammar and suspicious formatting, are disappearing. Today’s scams can replicate brand voice, design, and even human speech with near-perfect accuracy.
For media companies, this includes emerging risks such as:
- Deepfake celebrity endorsements
- AI-generated phishing campaigns
- Hyper-targeted fan scams
Consumers can no longer rely on instinct alone. Clear, repeated guidance from trusted brands is becoming essential.
Why industry coordination is critical in fighting fraud
The scale of modern fraud means no single company can solve it alone.
“It’s not enough to say consumers should protect themselves,” Stokes said. “We need industry to understand what they can do to stop these scams from reaching people in the first place.”
Coordinated efforts close the gaps scammers exploit between platforms. They also create consistency, one of the most effective tools in building consumer confidence.
Shared resources like ByeScammer.com, where consumers can learn how to identify and report scams, demonstrate how aligned messaging and collective reach can dramatically expand impact.
When consumers see consistent guidance across the services they trust, they are far more likely to recognize fraud—and avoid it.
The path forward
For media and entertainment leaders, the mandate is clear:
- Acknowledge fraud openly and consistently
- Invest in ongoing consumer education
- Train teams to lead with empathy
- Commit to ByeScammer, the industry-wide effort to fight fraud
- Reinforce trust proactively at every touchpoint
As Stokes made clear, this is both a business issue and a human one.
In an industry built on relationships, trust is the product—and fraud is now one of its greatest threats.
Listen to the full interview on the Thinking Out Loud podcast.
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