Fraud Prevention for Ecommerce Merchants Part 1
Ecommerce is booming. And experts say there’s more online
spending to come. In fact, the National Retail Federation announced it expected
sales to jump 3.7% to $630.5 billion in 2015. Higher than the ten year average
of 2.5%. Retail
sales in the first half of 2016 performed at a solid pace, growing close to
4 percent on a year-over-year basis and will surely continue.
But, while the surge in spending is good news for eRetailers,
there’s another issue they must content with–online fraud. According to a study
by LexisNexis, merchants pay $3.10 in costs (replacement costs plus fees) for
each dollar of fraud losses they incur. Finding a technology to help you
discern if a shopper is who they say they are is a critical step to preventing fraud.
The tricky part is that customers expect quicker
transactions as they perform ever-increasing amounts of purchases online. So
while eRetailers look to ensure a fast and seamless customer experience, they
also have to combat the challenges of data accuracy and protect their business.
How can retailers maneuver through this? This post will
continue as a series in three further parts, stay tuned! If you have questions
about how you can prevent fraud now, please visit our website! Or read part 2