The Clearsale Blog

Fraud Protection That Doesn’t Ruin Your Customers’ Online Experience

Fraud Protection That Doesn’t Ruin Your Customers’ Online Experience

With the number and variety of criminal strategies growing every day, it’s tempting to want to pile on as many safeguards and security measures as possible. But it’s important not to lose sight of one key element in your e-commerce strategy: the customer experience.It wasn’t so long ago that making things easy, convenient and comfortable for the online shopper was the number one concern of merchants. But as the fraud threat has grown and businesses have scrambled to find their ideal fraud protection services, the customer experience has in many cases gotten left by the wayside, with complicated checkout procedures and multi-layer verification exercises that make it safer, perhaps, but also less convenient and more unpleasant than ever to make a simple purchase.

So what can you can do to keep your customers happy and keep potential fraudsters at bay? The answer lies in your ability to execute a carefully planned fraud prevention strategy with flexibility and broad-mindedness.

Flexibility

Strict, rigid security fraud detection measures can lead to slow order response times or high rates of false declines. If this happens, you’ll have a different problem entirely on your hands: unhappy customers that leave your website and seek out your competition.

A better bet is to arm yourself with as much data and insight as you can in advance, so you’re ready when a customer comes knocking at your virtual door.

This may involve some work on your part. For example, a good practice is to collect data on both approved and declined transactions, so you can quickly compare incoming transactions against both data profiles. You might also connect with a fraud prevention network, which can give you access to data from several merchants.

Additionally, staying on top of fraud trends in general – either via your own reporting, or by partnering with an expert fraud protection service – will help keep you from being caught unawares.

Ultimately, your goal is to equip yourself to make decisions that are more informed and more nuanced than a hard-line, black-and-white security system may be capable of making.   

Broad-Mindedness

Being on the lookout for the red flags of fraud is a key aspect of staying ahead of the threat, but here again a little nuance in your online fraud protection system can go a long way toward maintaining a positive customer experience.

In other words, a red flag should be exactly that – an indication that a transaction might be fraudulent, not definitive proof that is in fact fraudulent. 

For example, automatically declining unusually large online orders, international orders, or requests for different shipping addresses is a surefire way to shut out good customers for good. These are all warning signs, yes, but they warrant closer inspection before making a final decision.

While your online fraud protection system should certainly alert you to suspicious orders, these warning signs should signal the need for a more in-depth investigation, as opposed to the immediate end of the order (and, likely, the customer relationship as well).

The goal is to create the ideal customer experience – one that is both secure and convenient.

What would that look like? It would likely start with a strong, comprehensive online fraud protection service that combines human, expert analysis with automated screening. This will give you access to a world of insights beyond your own narrow experience, and it will allow you to treat gray areas as just that: opportunities to probe further.

The result will be a shopping cart checkout procedure that isn’t bogged down by blocked transactions, follow-up phone calls or over-the-top authentication procedures, and isn’t followed up by the messy business of fraud remediation.  

If this ideal scenario isn’t where your online fraud protection is now, contact us at contact@clear.sale to learn how we can help your business get there.

You may also like

[Industry Focus] Fraud Risk Profile for Nutraceutical and Drug Retailers

[Industry Focus] Fraud Risk Profile for Nutraceutical and Drug Retailers

As people become more conscious of what they’re putting into their bodies, there’s been an increased demand for high-quality supplements and healthful food and beverages. The result has been a..

3 Ways Tech Can Benefit Remote Teams

3 Ways Tech Can Benefit Remote Teams

Ecommerce businesses are used to an ever-evolving digital connection between them and their customers. But 2020’s COVID-19 pandemic has resulted in that digital connection making its way into the..

Shopping Habits by Gender: What’s Changed in 2020

Shopping Habits by Gender: What’s Changed in 2020

Do men hate shopping online? Are women more worried about fraud?

How Management Should Contribute to Fraud Protection

How Management Should Contribute to Fraud Protection

As companies grow, management often delegates business-critical tasks—marketing, technology, fraud prevention—to different departments. While it might seem to be an efficient way to get things..

“I Don’t Need Fraud Protection — My Business Isn’t at Risk!”

“I Don’t Need Fraud Protection — My Business Isn’t at Risk!”

As an e-commerce merchant, you know the risk of fraud, false declines and chargebacks. But maybe you think it won’t happen to you because you’re a relatively new — or small — e-commerce merchant,..

How Backtesting Can Improve Fraud Prevention

How Backtesting Can Improve Fraud Prevention

They say hindsight is 20/20, and that’s especially true for e-commerce merchants looking to increase their approval rates and decrease fraudulent transactions. It’s easy to look back at..

Is Fraud Risk Scaring You Away From International Shipping?

Is Fraud Risk Scaring You Away From International Shipping?

With cross-border shopping estimated to make up 20% of e-commerce in 2022, many merchants are right to consider expanding into other countries. So what’s stopping them from pulling the trigger?

Preparing Your E-Commerce Store for the Holiday Season

Preparing Your E-Commerce Store for the Holiday Season

It might still be summer on the calendar, but the holiday shopping season is just around the corner.  Are you ready?

Impact Analysis: Declined Transactions vs. Fraudulent Transactions

Impact Analysis: Declined Transactions vs. Fraudulent Transactions

Selling products and services online offers great opportunities for merchants, but it’s not without risk. Savvy cybercriminals use stolen personal data to defraud merchants, and sometimes, a..

Want to write
for our blog?

Please review our writers' guidelines
https://www2.clear.sale/press/clearsale-guest-blog-guidelines
and then email guestwriter@clear.sale with your pitch!

Subscribe to our blog