By Rich Stuppy, Chief Customer Experience Officer, Kount - Sponsored Content
Artificial Intelligence (AI) is essential in today’s successful payments fraud prevention strategies. Cybercrime and fraud threats are evolving and presenting in unexpected ways to merchants who accept digital payments. An advanced solution is needed to stay ahead of fraud and reduce revenue losses to fraudulent transactions, while maintaining a smooth customer experience.
Merchants that make digital sales are often vulnerable to fraud that impacts their payments ecosystems. Fraud is becoming more complex and relies on machine learning to execute fraudulent activities that bypass outdated security solutions. Fraud detection systems that employ rules-based detection and basic supervised machine learning are not advanced enough to meet current fraud attempts. That’s where a proven AI solution can save the day.
An AI-driven solution strategically aligns risk management with key business objectives. Kount’s AI detects nuances associated with complex digital fraud schemes while ensuring customers have a smooth, safe, and fast checkout experience.
Kount’s AI-driven fraud prevention approach delivers four key business benefits:
- Detect Emerging Fraud: Uncover anomalies and spot patterns quickly and accurately.
Unlike existing fraud prevention solutions, which typically only offer machine learning and do not take business policies into account, Kount’s AI weighs the risk of fraud against the value of the customer and provides an evaluation in the form of a score that identifies good customers, bad customers, and fraud.
- Increase Sales and Revenue: Accept more good orders from good customers.
Kount’s predictive transaction risk score, Omniscore, determines order risk so that there is less reliance on manual review and reactive fraud rules. The result: fewer false positives and negatives, and more good transactions. AI makes it possible to detect fraud attacks in real-time versus waiting six-eight weeks until chargebacks hit the books.
- Lower Fraud Operations Costs: Reduce chargebacks and manual review rates.
When manual reviews are reduced, fraud analysts can focus attention on strategic business objectives. For example, manual reviews and chargebacks no longer consume their time, fraud analysts can gain a seat at the strategic table and make recommendations on how risk can be managed in light of new product innovations and expanded offerings.
- Control Business Outcomes: Customize risk thresholds based on business goals.
With enhanced flexibility, businesses can adjust their risk tolerance to meet product or campaign promotion performance goals. Businesses gain the data they need to understand who is purchasing their products. These insights yield business intelligence that adjusts future strategies.
AI-driven fraud prevention emulates the knowledge and instinct of an experienced fraud analyst. This frees fraud prevention teams to add value by focusing on high-level business strategies. With an advanced solution, businesses stay ahead of emerging fraud trends while controlling outcomes that result in lower manual review rates, fewer chargebacks, and increased order acceptance rates.
Interested in learning more about the benefits of Kount’s AI-driven fraud prevention solution? Get a demo.