Figures from the annual BRC Retail Crime Survey report an exponential increase in eCommerce fraud, specifically fraudulent Card Not Present (CNP) refunds. As consumers shift faraway from spending on the main street and adopt a proclivity for online shopping, eCommerce fraud is growing at twice the speed of eCommerce sales. It? expected that retailers will lose around $130 billion in digital CNP fraud between now and 2023. To combat this risk, online retailers have spent a staggering?8 million, adopting a reactive measure instead of a proactive one.
However, by investing in fraud detection and prevention solutions that verify a user? identity and cross-reference it against fraud data before allowing transactions, merchants can curb significant losses from fraud. A data trail is at the guts of each transaction, even the fraudulent ones. If used effectively, data can expose malicious actors, especially when verifying identities at account creation. And do you know it is now so easy to send feed via google shopping feed automation.
With the increase in eCommerce fraud, the utilization of specific data points can create barriers that prevent criminals from gaining access to eCommerce accounts, while simultaneously authorizing legitimate customers to effortlessly access their accounts. In mere seconds, smart data are often referenced, verified and wont to prevent fraudulent transactions ? saving online retailers time, money and resources ? while allowing legitimate customers to simply and efficiently complete a sale .
Additionally, many online retailers are expanding into emerging markets round the world where mobile phones are proving an efficient cost-efficient tool for biometric identification . As eCommerce continues to grow, so too does the danger and price of fraud. Fraudsters will always choose the simplest , fastest and most lucrative payoffs, which means targeting retail sites that don’t implement vigilant, vigorous practices for verifying customers and detecting fraud. within the burgeoning eCommerce landscape of today, an agile and data-centric approach to combat fraud is that the need of the hour.
Infographic created by First Data, a credit card processing company.