Published March 9, 2018

Transaction fraud is expensive to deal with. In fact, financial services firms spend about $2.67 to deal with every $1 of fraud, and some estimates put that number as high as up to $3.05.1

As you might expect, companies that do most of their transactions digitally are more likely to encounter order fraud than companies that do most of their transactions in brick-and-mortar establishments. However, as fraud is so prevalent for eCommerce retailers and can cost so much, it is especially important to have the right fraud prevention in place.

According to the LexisNexis 2017 True Cost of Fraud℠ Study:

“Those who layer... transaction solutions have lower fraud costs ($2.18 for every $1 of fraud) than others (up to $2.80 per $1 of fraud)” 2

In short, layering your protection is one of the best ways to protect your company from the high costs of transaction fraud. For instance, SMS verification is a great tool for companies to use to protect themselves from suspect orders, but companies will want to combine this with the capability to segment their users if they want to really reduce the likelihood of fraudulent orders.

As well as adopting a layered approach, keeping records of fraudulent transactions can also be helpful in analyzing what part of your prevention strategies are most and least effective. With 56% of all online traffic made up of bots 3, companies have to find new ways to protect against this evolving problem, along with countering the different types of human dangers that threaten their bottom line.

NS8 Complete Storefront Protection can help eCommerce sites do all of this and more, by preventing transaction fraud with both adjustable filters and seamless verification.


NS8 Complete Storefront Protection

Protect your storefront from order fraud and the other revenue killers.

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