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Case Study

NS8 Protect™ helps designer swimsuit company thwart fraud with SMS verification

Published January 30, 2019

Through NS8 Protect, ViX PAULA HERMANNY was able to successfully clear orders with SMS Verification.

Significant Outcomes:

  • SMS

    Cleared 50% of suspect orders that were SMS checked

  • Piggy Bank

    Saved over $4k on fraudulent orders

  • Target

    Focused 100% of their retargeting budget on real customers, not bots

The Problem:

ViX PAULA HERMANNY required extra protection against fraud, including additional verification tools to help screen certain customers. Prior to using NS8, they were only rejecting a small number of orders, but they worried that this was leaving the door open to potential fraud. With fraudulent orders threatening their revenue goals, it was necessary to increase their defense and lower their risk while still making sure real customers were approved. ViX needed a way to reduce fraud in both orders and traffic without a lot of manual oversight.

The Solution:

By implementing NS8 Protect, ViX was able to set up customized order rules and implement an additional check. Suspect orders that fell within a certain EQ8 Score™ range were automatically sent SMS verifications. Customers that verified the order were approved while orders that failed to pass verification were denied. This gave ViX a key safeguard to maximize their revenue while blocking fraud. In addition, the company utilized retargeting fraud prevention to protect their ad campaigns from fraudulent traffic, ensuring that their ad spend would not be wasted on bots.

We were happy to find NS8. They had the tools we needed and it took very little effort to set up. In no time at all, we were able to clear our good customers and reject fraud by using things like their SMS checks to speed up manual review.

- Katy Gallagher, eCommerce Manager

The Outcome:

ViX was able to clear 50% of the suspect orders that were sent SMS checks. Without lengthy manual reviews, they were able to avoid false declines and keep revenue up while preventing any fraudulent orders that did come through. By automating their fraud prevention solution, they inserted little friction in their sales process and prevented several fraudulent orders - leading to savings of at least $4k.

In terms of their retargeting campaigns, they were able to protect an estimated $2.5k from going to fraudsters and spend that money on potential customers instead. Between blocking bots and fraudulent orders, ViX tightened their store’s security and strengthened their bottom line.

Additional Suggestions from NS8:

  • We recommended using SMS verification more often for greater fraud reduction.
  • We recommended implementing a few custom order rules to further automate fraud defense, including:
    • Flagging any order with an EQ8 Score under 600 as suspect.
    • Flagging any order with a price below a certain average number as suspect.
    • Setting a payment risk score threshold of 1% for good orders and flagging anything above that as high risk.

About ViX PAULA HERMANNY:

Designed for women who appreciate beauty, quality, and attention to detail, ViX combines the bold sexiness of Brazil with the coastal allure of California. Vibrant colors with unexpected details collide with charming prints and solids to create swim, resortwear, and accessories that celebrate the sensuality of a woman’s body.

Over the years, ViX has mastered the art of tastefully combining exquisite prints and colors with unexpected details. Along with these unique styling choices, exceptional fit became a distinguishing factor of the company. ViX PAULA HERMANNY has grown to be a global brand with over 300 employees, a state-of-the-art manufacturing facility in Brazil, and over 8 brick and mortar stores.

Learn more about their company and products at vixpaulahermanny.com.