SV: Merchants in the digital goods market face distinct challenges due to the nature of their products and the diverse payment options they offer. Managing risk across various payment providers is complex, especially when speed is crucial for fulfilling orders to meet customer expectations. This urgency limits the time available for thorough manual risk assessments, necessitating the use of automated risk management technologies to balance efficiency and fraud prevention.
SV: Fraud targeting digital goods often involves automated attacks and bots, which can process large volumes of transactions rapidly. These attacks are frequently paired with mobile wallets, enabling sophisticated manipulations and high-volume fraudulent activities. This makes digital goods particularly vulnerable compared to physical products.
AN: Nexway advocates for a multifaceted approach to chargeback management. This includes implementing advanced fraud detection technologies that combine AI-driven algorithms with human expertise to analyse transaction patterns in real-time. Additionally, robust identity verification measures and proactive monitoring of customer interactions help mitigate fraud risks and pre-empt potential chargebacks.
SV: A hybrid approach integrates automated fraud detection systems with human oversight, ensuring a balanced approach to approving transactions. At Nexway, we leverage AI-powered algorithms for immediate approval of legitimate transactions while flagging suspicious activities for manual review by our expert fraud analysts. This dual-layered method not only enhances accuracy in detecting fraudulent transactions but also minimises false declines, optimising the overall customer experience.
AN: Businesses should prioritise technologies that offer comprehensive fraud prevention capabilities, including real-time transaction monitoring, behaviour analytics, and adaptive risk scoring. Implementing stringent authentication protocols and maintaining transparent communication with customers regarding digital product delivery and satisfaction are also crucial in minimising chargeback risks.
AN: Our fraud scoring system has helped businesses increase their authorisation rates by providing a frictionless checkout experience while blocking illegitimate transactions. By using our chargeback prevention alerts and immediate refund responses, businesses have managed to resolve disputes quickly, significantly reducing chargeback rates. Additionally, our customised fraud solutions and expert support have enabled them to tailor their fraud prevention strategies to their specific needs, ensuring maximum protection and revenue optimisation.
SV: Nexway follows stringent protocols and complies with local regulations in over 140 countries to secure data and prevent fraud. Our payment processes are safeguarded through secure payment integrations, PCI Level 1 compliance, and PSD2 optimisation. It is essential to highlight that Nexway uses advanced encryption protocols to protect sensitive data during transmission and storage. This ensures that payment information, personal data, and other critical information are kept secure from unauthorised access.
SV: In our opinion, businesses should continuously invest in the latest fraud prevention technologies and maintain high security. Every business should also adopt a proactive, multifaceted approach to fraud prevention. By integrating automatic fraud detection solutions and combining them with manual reviews, businesses lower the efficiency of modern fraud tactics. Additionally, maintaining compliance with global and local regulations is made easier by using the expertise of the payment service providers for specific regions, instilling confidence in their ability to mitigate the chargeback risk. By following the mentioned strategies, any ecommerce business can strengthen its defence against fraud, minimise chargebacks, and protect its revenue and reputation at the same time.
By adopting comprehensive fraud detection systems, maintaining stringent compliance standards, and fostering transparent customer relationships, businesses can effectively safeguard their operations, optimise revenue, and enhance overall customer experience. Nexway's commitment to providing tailored fraud prevention solutions and expert support positions it as a key partner for businesses aiming to thrive in the competitive landscape of online commerce.
Sandrine Vella is the Payment and Fraud Director at Nexway, where she oversees the security and compliance of global transactions. She specialises in designing innovative payment solutions and managing fraud risks, ensuring a seamless and secure ecommerce environment.
Andrea Nicoletti is the Director of Customer Experience & Sales Administration at Nexway. He drives customer engagement, optimises interactions, and supports global expansion by integrating payment and fraud solutions, helping businesses grow with tailored ecommerce services.
Transform and scale your online business swiftly with Nexway, a global ecommerce and payment solutions leader. With over 20 years of expertise, Nexway optimises every aspect of digital monetisation for medium to large enterprises. From global payment acceptance to subscription management and tax compliance, our 360-degree approach ensures streamlined operations and global market expansion. Join industry leaders like ESET, Opera, and Bitdefender in experiencing personalised support from our international team based in France, the US, Japan, and Italy.
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