ReDi Merchant Monitoring – Intelligent risk management for acquirers and PSPs

Risk management challenges for acquirers

Merchant diversification, cross-border expansion and the increasing availability of new payment types and sales channels are just a few of the growing trends that are affecting risk exposure levels for merchants, payment service providers (PSPs) and acquirers - in today’s global marketplace.

Although acquirers and PSPs spend a good deal of time and money assessing the potential risk level of a merchant before offering an account, this changing merchant landscape means that those risk levels can change drastically as each merchant adapts and grows to meet consumer demand and explore new revenue opportunities.

This creates an ongoing challenge for acquirers and PSPs, making it harder for them to spot unusual behaviour, potential fraud risks or when a merchant is starting to experience financial difficulties. This, of course, can leave them open to risk on a number of fronts.

The ReDi Merchant Monitoring solution

ReDi Merchant Monitoring is a key component of ReD’s business intelligence service. ReDi is a sophisticated solution which can help address many of the fraud prevention and portfolio management challenges faced by acquirers, PSPs of ecommerce merchants, or merchants with a strong ecommerce focus.

The solution enables acquirers to track and analyse merchant level KPIs and use a series of rules to trigger alerts when predefined benchmarks are breached. These rules and alerts can be configured in a variety of ways to suit the needs of each individual acquirer or PSP. For instance, they can monitor measures such as the number of transactions processed, total value of transactions, the percentage of refunds and the number of failed deliveries – either against defined merchant level benchmarks or against previous time periods. Alerts can then be reviewed by severity level. The ReDi Merchant Monitoring service delivers this capability via a user-friendly interface, containing high level dashboards and drill-down functionality which allows acquirers to easily understand their level of exposure at any point in time.

The key benefit of the ReDi Merchant Monitoring solution is that it gives acquirers and PSPs the ability to more quickly and accurately recognise and monitor changes in merchant behaviour - empowering them to make timely, well-informed decisions and take effective action to manage risk.

The solution can also help them build a better general understanding of their merchants, delivering benefits on many other fronts. For instance, the ability to closely monitor trends and performance can also enable acquirers and PSPs to take on higher risk merchants – opening up valuable new business opportunities. It can also help to improve relationships and merchant loyalty by enabling acquirers to provide more closely tailored services, advice and support to each individual merchant.

Additionally, the acquirers and PSPs can offer ReD Shield and ReDi to their merchants as a value-added service, adding further strength to customer relationships and supporting merchants in their own fraud prevention efforts.

For more information about ReDi Merchant Monitoring, please feel free to contact us at sales@redworldwide.com

COMPANY PROFILE

ReD - an ACI Worldwide company - is a specialist provider of fraud prevention and payment services worldwide. Our solutions are present in every part of the payments value chain, protecting merchants, issuers, acquirers, PSPs, processors and switch networks in the fight against fraud. Our solutions are supported by a team of industry-leading fraud and risk experts, who provide customers with advice, support and valuable insight on up to the minute fraud trends and effective fraud prevention strategies.

ReD protects more than 17 billion transactions and gathers data from more than 190 countries, on six continents. Our customer base includes 300 blue-chip companies from banking, retail, travel, telecommunications, gaming, oil and other sectors.