Fraud can cause widespread damage to your eCommerce businesses. Of course, there are the fraud losses. But that’s just the tip of the iceberg. Account takeovers and mistaking legitimate shoppers for fraudsters can cause damage to your reputation, not to mention lost customers. The time it takes your fraud team to review the endless number of suspicious transactions can be a drain on resources. And with around 50% of businesses suffering fraud,1 no company is safe.
For eCommerce businesses, payment fraud prevention is critical to growth. And with 2023 here, there are more advanced technologies than ever to provide payment fraud protection.
Accertify Digital identity: An account protection tool that focuses on identifying risks associated with account takeovers and new account openings.
According to the Federal Trade Commission (FTC) billions of email addresses, passwords, and other sensitive customer data are exposed on the dark web each year. Federal Trade Commission data shows that consumers reported losing nearly $8.8 billion to fraud in 2022, an increase of more than 30 percent over the previous year.2
Once bad actors get their hands on customer data, they can use it to take over existing accounts or open new, fraudulent ones. Merchants are then left in an uncomfortable situation. They’re forced to distinguish legitimate customers from fraudsters. If they fail they risk increased fraud losses and losing good customers who had their account taken over. That’s where digital identity comes in.
The technology helps you assess the legitimacy of account access. Loyal customers can be approved immediately, and suspicious logins can be blocked. This can result is a reduction in fraud losses and a more positive customer experience for your best customers.
Accertify Device: Analyze devices to catch fraudsters red-handed
It is estimated that there are more than 29 billion devices worldwide3. With so many always-on consumers, it is critical that organizations can identify loyal, repeat customers, and enable a seamless customer experience while simultaneously preventing malicious actors from spoofing their devices to commit fraud.
A user’s device provides valuable information. Characteristics such as screen resolution, language setting, and its location reveal vital clues as to whether the user is a fraudster. But how do you get this information? Accertify Device Intelligence is the answer.
Accertify Device Intelligence collects hundreds of data points about the device, connection, and location. In real-time, the data is analyzed using machine learning and verified against the billions of data points that flow through Accertify’s network. The result – confidence and trust in discerning who is on the other end of a digital transaction.
Device Intelligence enables an optimized customer experience across both browser and mobile apps with a simple API integration and sub-second decisions. Proven and trusted by leading financial institutions and eCommerce merchants across the globe, we make it simpler to protect your organization.
Machine learning: Identify trustworthy customers with community data
When a new customer exhibits suspicious behavior, you’re stuck in a dilemma. Do you flag their transaction for review and risk upsetting the new customer, or do you approve it and risk financial loss due to fraud? Machine learning can help with this predicament.
A powerful machine learning platform leverages community data, which enables you to review the new customer’s behavior and see if it is consistent across other similar merchants. Has the customer’s credit card, email address, or other personal information been seen at other retailers? If so, community data can tell you, providing you valuable insights as to whether the customer is legitimate or a fraudster.
Accertify’s client Guitar Center has had great success with machine learning. With it, the musical instrument retailer increased fraud savings by 106%4 and reduced chargeback losses by 62%. It also decreased the number of orders that required manual review by 10%, even though online sales increased 21% that year.
Which payment fraud prevention technology should you choose?
As you can see, there are several options for powerful fraud prevention technologies. By finding the right solutions for your business, you can lower your fraud losses, increase the efficiency of your fraud team, and help protect the integrity of your brand.
Accertify’s comprehensive fraud management platform provides you access to all the latest technologies described above. To help you implement them, our team of former in-house fraud and risk managers are on hand. We’re here to answer your questions and help you get the most out of these advanced payment fraud prevention tools.
Contact us today to request a consultation.
1Big Commerce.com – How to Protect Your eCommerce Store from Payment Fraud https://www.bigcommerce.com/blog/protect-your-online-store-fraud/#two-types-of-online-store-fraud
2Federal Trade Commission 23/02/23 https://www.ftc.gov/news-events/news/press-releases/2023/02/new-ftc-data-show-consumers-reported-losing-nearly-88-billion-scams-2022
3Statistica https://www.statista.com/statistics/1183457/iot-connected-devices-worldwide/
4Client data Guitar Case Study results 2022 https://www.accertify.com/case-studies/guitar-center/