All posts with the tag eCommerce Fraud Prevention
The online gift card market is thriving. Ecommerce sales of gift cards are increasing by 29% YOY, and by 2018, the US gift card market is expected to be worth $160 billion, driven primarily by surging digital gift card sales.
Riskified’s work with Fortune 500 retailers who sell gift cards, as well as leading gift card-only merchants and P2P secondary gift card marketplaces, has afforded us enormous insight into the CNP fraud challenges facing gift card sellers. We have drawn on this experience to compile a report sharing data about fraud patterns in online gift card sales, and outlining best practices for anyone selling gift cards online. In this post, I share a few of the key findings that appear in the full report:Read More
Last year, to mark International Women’s Day, we researched the role of gender in CNP fraud patterns, and found that males committed fraud at a significantly higher rate than females. This year we decided to revisit the topic, analyzing hundreds of thousands of eCommerce transactions from global digital retailers to reveal some interesting findings about gender in the online market.
In the rapidly growing eCommerce market, high-friction and time-consuming identity verification processes can have a significant impact on customer acquisition and retention rates. Airlines and online travel agencies (OTAs) face the precarious balancing act of protecting revenue from CNP fraud, while providing a smooth shopping experience. When competing travel sites offer interchangeable products, brand loyalty is vital, as customers tend to be even less forgiving if merchants fail to meet their expectations.
In this article I share five actionable tips for driving online revenue while providing a good shopping experience without incurring fraud-related losses.Read More
The global jewelry and watch market is projected to be worth $407.5 billion by the end of 2019. With jewelry and watch retailers increasingly turning to eCommerce to reach new customers, growth will largely be fueled by digital sales. In fact, by 2020, online sales are expected to account for 25% of the global jewelry market.
But as eCommerce becomes more prominent, retailers need to adjust their fraud management processes to protect revenues while maximizing online sales.
Riskified has extensive experience protecting online jewellers and watch retailers from CNP fraud. We analyzed our data and compiled a report on trends and best practices for effectively distinguishing between legitimate orders and fraud in this industry. In this post, I offer a small taste of the insights that appear in the full report.Read More
We are excited to announce the addition of a new resource to our Buyer’s Kit: The CNP Fraud Lexicon. The Lexicon is a collection of the most pertinent concepts and expressions used within the fraud-prevention industry, all clearly explained. Our goal was to demystify many of the technical terms used by fraud analysts to describe fraudster behavior, benchmarking metrics, fraud prevention tools, and more.Read More
July is a big month in North America. Canadians usher in the month with Canada Day festivities, and as their celebrations settle down, Americans light up the barbecues and start celebrating the 4th of July. For many of us, telling Canadians and Americans apart is no easy task (unless they happen to utter a keyword like “about”).
Canadians are often perceived as more polite, and Americans as more animated, or extroverted. But when it comes to online shopping, there are more noticeable differences. To honor these two great nations on their holidays, Riskified provides insights into some lesser known differences between the US and Canada.Read More
For retailers, omni-channel sales is the new business imperative. Brands are now required to be anywhere and everywhere just to keep up with the competition and the line between digital and physical shopping is becoming increasingly blurred. From leading global luxury retailers such as Burberry and FarFetch, to large American retail chains such as Macy’s and Kohl’s – everyone is turning to new business flows to meet the demands of consumers.
One of the most popular omni-channel flow is allowing shoppers to buy online and pick up items in the store, commonly known as Buy Online, Pick Up In-Store (BOPIS) or Click and Collect. This flow holds a lot of potential for brick & mortar retailers. For starters, it’s in high demand. A recent study showed that nearly half of US consumers (44%) want the option to collect their purchase at a physical store immediately after purchasing online. But this shopping flow is also advantageous for retailers; it gets customers into physical store locations where they are likely to make additional purchases.
However, making customers happy requires not only offering the shopping flows they expect, but also great execution, and there are a couple of major challenges retailers need to overcome in order to successfully pull off in-store pickup. The first challenge is risk – this shopping flow exposes retailers to a myriad of fraud-related vulnerabilities. The second challenge is operational – retailers need to make sure the merchandise is ready to be picked up when the customer arrives in the store.
In this post, we will discuss the fraud-related challenges associated with in-store pickup, and explain how retailers can overcome them.Read More
As consumers increasingly go online to make their purchases, luxury fashion retailers are poised to realize huge gains in eCommerce revenue. It’s estimated that the market for online luxury goods will be worth more than 20 billion euros by 2018. Moreover, the move towards digital purchases will only accelerate this trend. Last year, US consumers were expected to spend half of their budgets for luxury fashion and accessories online.
Riskified works with many luxury fashion businesses – including FarFetch, Vestiaire Collective, and Ssense. Our experience with these retailers has given us great insight into what card-not-present (CNP) fraud patterns look like within this industry. In this post, I share these insights and discuss what measures retailers can take to protect themselves without negatively impacting sales.Read More
In October 2009, Sebastien Fabre founded Vestiaire Collective, an online marketplace dedicated to pre-owned luxury fashion. Five co-founders quickly joined the adventure. The goal was to make high-end clothing and accessories affordable by authenticating and controlling 100% of the catalogue, while providing easy and secure transactions for buyers and sellers alike. The company quickly grew into a huge success. Vestiaire Collective currently registers 20,000 new product deposits each week, 3 million monthly social interactions, and 5 million members.
But with rapid growth and international expansion, Vestiaire Collective was straining to provide consumers with a smooth shopping experience. The high growth luxury fashion marketplace needed a flexible, scalable, fraud management solution that would ensure customers received the experience and service they deserved. Partnering with a fraud management solution that understands the fashion industry in and out, achieved that goal.
Today, Vestiaire Collective provides fashion enthusiasts around the world with quick, smooth, processing – while at the same time enjoying high approval rates, a full chargeback guarantee, and reduced fraud management costs.Read More
Valentine’s Day is right around the corner. And although the Beatles famously sang that “money can’t buy me love,” money most definitely can buy chocolates and flowers, which is essentially the same thing. The National Retail Federation estimates that in the US alone Valentine’s Day related purchases will amount to $20 billion.
Ecommerce merchants can expect to benefit from the holiday sales, as 59% of holiday shoppers prefer to make their Valentine’s Day purchases online. In this post, I discuss some key trends merchants should be aware in order to maximize their sales and avoid fraud this holiday.Read More