How Does Phishing Work in a Business?

Fake emails and messages, supposedly from legitimate senders who really just want your personal info? No thanks. Phishing is all about getting people to reveal personal information, and if you have an email address or phone number, you’ve probably received these bogus messages. 

Research shows that 31,000+ phishing attacks are sent daily, with targets opening more than 70% of these messages. Phishing is the most popular form of data theft because most users can’t identify these messages—but your business can’t take that risk.

How does phishing work, and how can you fight back? We'll help you recognize and stop phishing attacks—from tried-and-true email schemes to emerging social media and mobile tactics—to protect your company. Dig into real examples and practical tips to stay one step ahead. 

Phishing 101: How Does Phishing Work? 

It’s incredibly subtle. It’s the email, text, or website that looks like it's from a trusted source with brand logos and all that compels you to take action—think warnings about your account or requests for account information.

But if you click links or download attachments? Uh-oh. Your information, such as passwords and Social Security numbers, goes straight to cybercriminals.

Even if your spam filter is on the strictest setting, messages can sneak through, and it’s up to you to responsibly judge and act on them. Phishing hinges on human error, and it comes in many forms. Let’s look at a few you should be most aware of.

Spear Phishing

Sometimes they don’t need to reel you in—attackers aim for a specific target. Spear phishing hits at the individual or small group level, with an attacker attempting to trick their way into obtaining personal information. By posing as trusted sources, such as banks, mobile providers, and the like, spear phishers gather information by sending convincing messages. 

And the vast knowledge of the internet is their faithful sidekick. Just think about what’s out there about you, thanks to the different accounts you have open and social media posts you’ve made. Your usernames, passwords, address, Social Security number, and checking account are all up for grabs as these attackers pose as trustworthy figures to gain your trust and ask for “necessary” confidential data.

Whaling

It’s like spear phishing with your pinky up. Whale phishing—or whaling—is a more refined form of spear phishing that targets the biggest swimmers in the corporate ocean: executives. C-suite leaders hit attackers’ radar for their access to a company’s financial, performance, and competitive data. 

In 2025, attackers posing as recruiters from financial company Rothschild & Co reached out to senior executive-level individuals around the world with personalized messages about career opportunities. The attack incorporated both malicious PDF attachments and CAPTCHA to steal personal data.

Website Spoofing

Ever landed on a brand website that just didn’t feel right? Spoofing is creating fake websites that usually look just like legitimate ones. The URL might have a weird character or two, or the UX isn’t as fluid. But they’ve gotten so dangerous because attackers make the phony sites mirror images of the real ones.

This happens way too often, and Google even found itself in the crosshairs recently. The attacker sent fake emails about subpoenas from what looked like no-reply@google.com, urging victims to click on a link to their fraudulent support portal to resolve the matter.

Smishing/Vishing/SMS Phishing

If being ghosts in your computer wasn’t enough, hackers are now lying in wait across devices. They use smishing, vishing, and SMS phishing to penetrate mobile devices via text messages or voice calls. 

Have you gotten this text from your “boss”?

Hi [Name],

I’m unavailable right now, but I have an urgent task for you. I need you to pick up $500 in Apple Store gift cards. Can you confirm if you have done this?

These scammers impersonate trusted contacts or authorities with a sense of urgency, asking recipients to click links, make purchases, transfer funds, or share sensitive information. This kind of ruse is designed to catch people off guard.

The thing about phishing is that even as businesses learn to fight back against one threat, new ones just keep popping up to replace them. Here are just a few that have gained traction recently:

Advanced Malware 

Attackers are now embedding malware in seemingly innocuous files, such as resumes, invoices, or shipping manifests. And when users receive the files via email, they look safe to open. 

But that’s when the trouble starts. Advanced malware is designed to avoid detection and penetrate a system, usually for financial gain. The malware activates when the file is opened, self-replicating and embedding itself across the system’s programs and files. Advanced malware can stay dormant and even test for conditions of a sandbox to evade detection and create backdoor access.

Social Media Phishing

Have you noticed a growing trend of phishing across your favorite social media platforms? Attackers impersonating legitimate companies or contacts across LinkedIn, Facebook, X, and Instagram send authentic-looking messages, capitalizing on the likelihood that you have an account on these platforms to steal your data.

They might say something like this:

“We’ve detected suspicious activity on your Facebook account. Was this you?”

The message is fully designed with Meta branding and what looks like a legitimate IP address, followed by a button to confirm or deny that the activity was yours. The problem is that Facebook actually would send something similar!

Deceptive Use of HTTPS

HTTPS over HTTP, right? 

Well, usually. Hypertext Transfer Protocol (HTTP) uses encryption to secure your connection, with most users conditioned to trust the prefix in a URL. But leave it to hackers to ruin a good thing because they’re now adding https to fraudulent links. This one embellishment makes phishing emails seem credible at a glance, so you need to look at emails from unknown senders more carefully, including:

• Sender address
• Sender name
• Company name
• Company URL

If you’re seeing random strings of letters and numbers for an email address or company URLs that don’t match the body of the message, proceed with caution.

Change Healthcare for veterans was impacted by an HTTPS phishing scheme in 2024. Attackers sent emails to members, tricking them into clicking on several fake websites and compromising 190 million personal health information records.

Pharming

Pharming, a more complex form of phishing, is the use of unauthorized software or code on a victim’s device to redirect users from legitimate to fake websites. The sophisticated attack uses DNS hijacking to misdirect users—often without them needing to take any action—making phishing attacks look more credible.

Image Phishing and Deep Fakes

Artificial intelligence has given birth to a new generation of phishing. Deepfake attackers use AI to create realistic images, videos, or audio that imitate real people so recipients open the file. And like malware, just viewing this content can trigger unauthorized access or data theft.

Consequences of Phishing

The only way phishing works is with user interaction. Phishing emails can’t infiltrate your device unless you open their links and files or reply with personal information.

But if you do, the consequences could be devastating. How does phishing work to harm your organization?

Financial Loss

Phishing can hit you where it hurts: your bank account. Organizations that fall for these schemes sometimes transfer tens or hundreds of thousands of dollars to fraudulent accounts or get tricked into buying other things—such as gift cards—for the attacker. 

But that’s just the tip of the iceberg. In addition to the direct costs of the breach, you could also be saddled with paying for recovery fees to get back up and running.

Identity Theft

One of the primary goals of phishing attackers is to steal personal identities. As attackers impersonate their victims, they seemingly take over, making unauthorized purchases and accessing personal accounts. All of this causes long-term damage, such as hurting the victim’s credit score and personal finances, soiling their reputation, and creating massive stress.

Legal Fines and Penalties

Businesses have responsibilities to follow regulations, such as the General Data Protection Regulation in Europe and privacy laws in the United States. And if you don’t, prepare to pay the price. Organizations face hefty fines upward of millions of dollars due to data breaches from phishing attacks. These fines are often calculated based on the company’s annual revenue and the severity of the data breach.

Preventing and Responding to Phishing Attacks

Cybersecurity software alone isn’t enough to combat phishing. You need to be savvy at combining strategic thinking and effective tools, starting with two key questions: 

1. How does phishing work?
2. What can I do about it? 

You’ve got the first one down, so let’s tackle the second with a look at four powerful defenses you can employ to safeguard yourself against the cunning tactics of phishing attacks.

Multifactor Authentication (MFA)

Two locks are better than one, and MFA is like adding a deadbolt to your digital doors because it requires a second step beyond entering your account password. If a scammer gets access to your password, MFA prompts for a code sent via text or push notification to access your account, making it exponentially tougher for cybercriminals to break in.

Endpoint Detection & Response (EDR)

Want a high-tech security guard that monitors and pounces at the first sign of a phishing attack against your digital devices? EDR watches over your devices 24/7, sniffing out and responding to any suspicious activities. 

Email Filtering

Email filters sort out potential phishing emails before they hit your inbox and send the fakes to your spam folder. Think of it as a personal secretary, diligently sorting the wheat from the chaff in your email world.

Phishing Prevention Training

Transform into a sleuth who is capable of sniffing out phishing attempts from a mile away.  Phishing prevention training programs help you and your team recognize and react to phishing threats from A to Z. 

Ntiva phishing prevention training provides the tools to support your layered security against growing cybersecurity threats. Journey through a personalized 12-month program with Ntiva’s security experts and school your entire workplace on the dangers of phishing.

Trap Phishers in Your Net

Spear phishing, social media phishing, SMS phishing ...

It may be starting to sound like Bubba Gump Shrimp around here, but businesses need to be vigilant and responsive to the growing list of phishing attacks to stay safe and profitable. 

Load your tackle box with time-tested strategies, such as MFA and companywide training. Equip your team to play offense and defense against the most dangerous threats. After all, how does phishing work if you’re ready and waiting for it? Stay two steps ahead. Explore our “Cybersecurity Best Practices Checklist” for more advice to beat hackers.

This blog was originally published in February 2019 and updated in September 2025.