Holiday shoppers drive site traffic and online sales higher

Originally posted on internetretailer.com By Matt Linder.

All but one day so far this holiday season has produced $1 billion in online sales in the U.S., according to Adobe.

Interest in online deals showed no signs of slowing down hot on the heels of a strong Thanksgiving weekend.

Traffic to the top 25 U.S.-based online retailers was up 10% year over year Sunday and 4% on Saturday, according to data from the Verizon Retail Index shows.

Retailers should view this as a sign shoppers are both engaged and willing to spend, says Michele Dupré, group vice president of retail, hospitality and distribution for Verizon Enterprise Solutions. “This healthy spike in weekend traffic demonstrates the importance of getting promotions right when consumers are focused on ticking items off their holiday shopping lists,” she says. (more…)

Machine Learning Meets Human Intelligence

Written by Liz Parks for STORES Magazine

When e-commerce merchants try to manage their own fraud protection, they can invest substantial time and effort striving to make the right transaction decisions on their own. As they do, they risk significant losses from fraudulent orders or through “false positives” that mistakenly flag legitimate orders. According to the 2016 LexisNexis True Cost of Fraud Study, and average $2.40 per transaction is lost to online fraud. Although high-volume online retailers can use very sophisticated and expensive fraud protection programs, that has not historically been the case for lower volume online merchants with more limited financial resources.

Continue reading about how NoFraud automates the process for businesses, saving them time and money, here.

Online payment fraud costing U.S. merchants billions

The ‘2016 American Express Digital Payments Security Survey’ reveals that 70% of merchants in the U.S. have seen sales conducted via digital channels rise in recent times.

However, the report reveals that sales could be much higher if it wasn’t for payment fraud. Overall, nearly half (48%) of online shoppers who have made a purchase online in the past twelve months – or about 80 million consumers – have experienced payment fraud. (more…)

CNP Fraud Surging Despite Only 29% of Merchants Accepting Chip Cards.

Original post from cardnotpresent.com

Nearly a year after the EMV liability shift in the U.S.—a move specifically engineered to incent retailers to install EMV-compliant POS systems in their stores—only 44 percent of merchants are equipped with the new terminals, according to a new report from The Strawhecker Group. Further, not all of those merchants that have installed EMV-enabled systems are using them. Only 29 percent of U.S. merchants can actually accept chip cards, the report said, with terminal certification delays the main culprit.

Despite fewer U.S. merchants accepting chip transactions a year into the transition to EMV than predicted, however, the effects experts predicted have largely come true. Studies over the past few months have consistently shown that counterfeit fraud at the physical point of sale is dropping, while card-not-present fraud is surging. (more…)

X-Payments 3.0.2 Released: NoFraud Added for Advanced, Full-service Fraud Protection

This post is from X-Payments blog announcing our new partnership. Written by Anna Shvetsova.

We are pleased to announce the release of X-Payments 3.0.2. This time, we’ve added only one but very important and in-demand feature — NoFraud. As you’ve definitely guessed, this is the tool to help you fight fraud more effectively and easily.

Why Think of Fraud Prevention?

According to LexisNexis True Cost of Fraud study 2016, fraud cost retailers 32 Billion in the U.S. alone! Fraud attempts are up to 33% this year with 46% getting through existing fraud prevention tools. With EMV Chip technology adoption in the U.S., eCommerce fraud is expected to soar as it did in the UK (50%) & Australia (79%) On the other hand, 1.5% of legitimate transactions rejected due to overzealous fraud prevention. (more…)

Magento 2.0 is Continuing to Evolve

Below is a guest post from one of our partners, Rand Marketing:

To experts in the Magento e-commerce platform, the release of Magento 2.0 has been a bittersweet experience. We’re all very excited to see the evolution of Magento, especially after waiting so long for this new version to be released. On the other hand, adoption has been a very slow process, and Magento 1.9.2.x is still the recommended version for most developers.

In November, I wrote a piece about the official deployment of Magento 2.0 officially being made available for public consumption. In March, I wrote another article about Magento 2.0 building up steam, and getting closer to being useful for the mainstream. In April, shortly after this year’s Magento Imagine conference, EyeMagine, posted that “Specifically, there are over 1,000 open known issues in the Magento 2 codebase, as of writing this article. (more…)

The Need for Speed

Customers want a secure, fast, uninterrupted online shopping experience (thanks Amazon!). Merchants want to accept as many sales they receive yet are apprehensive about fraud. This fear motivates them to place a large percentage of order on hold for manual review.

Many eCommerce businesses have in-house solutions that monitor each transaction with the tools purchased from third party vendors. With these solutions, each order is given a score based on the data received. (more…)

CNP Session: Fraud Departments – Build vs. Buy

One of the biggest decisions for a merchant is whether to go with a third-party fraud solution or to build one internally. A panel of fraud experts from 11 Main, Career Builder, The Source and New Balance shared their experiences and answered audience questions on Day 2 of the 2016 CNP Expo in Orlando, Fla.

An in-house solution is customized for your business and most likely will not incur an incremental cost per transaction. However, panelists noted, there can be technical expenses and resource shortages caused by continually reviewing rules and managing the system. And, as one panelist mentioned, they experienced high manual review rates when relying on an in-house solution. (more…)

Research shows that manual review is the largest expense eating at fraud budgets

According to CyberSource’s 2016 Fraud Benchmark report, companies allot most of their fraud funds to the manual review process. Of those manually reviewed, 82% transactions are approved. Because of the high acceptance rate of manually reviewed orders, companies are tightening their screening process to decrease that number in hopes of cutting costs and accepting more legitimate orders in real-time. (more…)

Study Predicts CNP Fraud Will More Than Double By 2020

In a recent study conducted by Juniper Research, they found that CNP (Card Not Present) fraud will significantly increase to more than double by 2020. They attributed this jump to the implementation of the EMV chip in brick and mortar stores, which has already caused fraudulent activity to shift online by 11% since October. Because of the higher security the chip provides, fraudsters have been less inclined to focus on brick and mortar and they shifted their efforts to online.

This shift has major online retailers tightening security by integrating proactive fraud prevention solutions to thwart off fraudulent activity and reduce the risk targeting their business. And although fraud tactics perpetually change, solutions like NoFraud are developed to detect the latest behavioral trends among fraudsters to stay one step ahead and reduce fraud significantly. Major retailers using these solutions have succeeded in reducing their fraud rate.

Read the full article here: SC Magazine.