With AI being at the forefront of all the talk happening across industries, Deepfake scams have emerged as the principal threat to India’s festive shoppers. 69% Indians admit to experiencing or knowing someone who encountered deepfake content or fake celebrity endorsements during Holiday sales, according to a report by McAfee. As Diwali deals push millions online, cybercriminals are using AI-generated audio and video to lend credibility to fraud, and shoppers are paying the price.
McAfee’s report paints a worrying picture: nearly one in three Indians has fallen victim to holiday scams, and 37% lost money. While phishing texts, fake websites and OTP fraud remain widespread, deepfakes are raising the stakes by making scams look and sound convincingly genuine, from a celebrity “endorsing” a bargain to a spoofed customer-service video that tricks users into sharing credentials.
“The festive season is a time of joy and giving, but it has also become a target for scammers,” Pratim Mukherjee, Senior Director of Engineering at McAfee, said. “AI-driven deepfakes are particularly dangerous because they blur the line between authentic and fraudulent content — making it harder for shoppers to tell what’s real.”
Why are deepfakes so effective?
Deepfakes can replicate faces and voices to make it look like a celebrity has done an endorsement, tutorial or a refund video that often bypasses ordinary scepticism. When combined with urgency-driven tactics like fake limited-time offers or delivery updates, they significantly raise conversion rates for fraudsters. The report further reveals that Indians face an average of 12 scam attempts per day, across texts, emails, and social media ads.
The human cost goes beyond money. Among those scammed, 91% reported anger, anxiety or embarrassment, yet 28% rarely share their experience publicly because of shame, a silence that helps fraudsters operate unchecked and prevents widespread learning from victims’ experiences.
Mobile-first shopping
India’s shift to mobile-first festive shopping, with 77% of shoppers now using smartphones, and the popularity of e-commerce for discounts at 64%, convenience at 60% and faster delivery at 51% provides fertile ground for deepfake-enabled schemes. Younger shoppers (aged 25–44) lead online buying, making them both key targets and vectors for social-media spread of fraudulent content.
McAfee’s research shows rising awareness: 98% of Indians plan proactive measures this festive season. Furthermore, it was also revealed that 55% respondents buy only from trusted websites, 53% use strong passwords.