Only a minority of retailers worldwide believe they have adequate fraud management tools.
That’s according to a recent study from ACI Worldwide, which warns that retailers today need an omni-channel fraud strategy touching all sales channels.
Jackie Barwell, head of fraud products at ACI Worldwide, told PCR: “One of the biggest threats for consumers and ecommerce businesses over the past year has been the increase in Card Not Present fraud (CNP fraud).
“CNP fraud has grown with the widespread adoption of EMV (so-called smart cards, also called chip cards or IC cards, which store their data on integrated circuits rather than magnetic stripes.)
“The adoption of EMV has seen more and more fraudsters move from the more traditional channels of card theft and domestic counterfeiting to CNP and cross-border counterfeit fraud,” she explained.
Here are Barwell’s top three tips for retailers who are trying to improve their fraud-busting techniques:
1. Employ a combination of fraud rules and analytics to add speed and sophistication to fraud detection. This is particularly important when retailers are faced with challenges such as heightened exposure to fraud risk and increased complexity for fraud management.
2. Gain access to global fraud intelligence that can help you interpret and respond to fast changing patterns of fraud. By working together as a global team, merchants can learn from one another to ensure a safer customer experience across all channels.
3. The demand for faster fulfilment among consumers and the rapidly changing nature of fraud requires a new, integrated approach to creating a true omni-channel environment for payments and fraud management. This will help to create a more secure business.
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