Fraud prevention ecommerce involves using a variety of tools to reduce fraud and increase customer confidence. It’s not a silver bullet, but following some best practices can go a long way in keeping your business safe from fraudsters and scammers.
Using a strong password is an important step to protecting your online store from ecommerce fraud. It will make it more difficult for hackers to gain access to your website and steal your information.
Maintaining a consistent address for billing is another great practice to use to prevent ecommerce fraud. It can help prevent fraudulent transactions as it helps to ensure that the credit card billing address matches the card’s issuing bank.
Multiple back-to-back purchases: Look for a spike in order history from the same account or card over a short period of time, especially if it is different cards. This can indicate bot activity or fraudulent transactions that are designed to fool you into thinking they’re coming from a real customer.
How to Protect Your Online Store from Fraud with Cutting-Edge Technology
New email addresses: This can be a sign that a fraudulent account was created to buy from your store. Also, keep an eye out for new customers who immediately buy the same items over and over again.
High order volumes: Many ecommerce businesses experience surges in customer traffic around special events such as Black Friday and Cyber Monday, which can trigger significant spikes in ecommerce fraud. Large retailers may be at a higher risk of fraud due to their bigger budgets and greater resources, but small- to mid-sized businesses can be equally vulnerable.