In the digital payments landscape, trust is the currency of every transaction. As online businesses evolve and payment processes become more sophisticated, the demand for transparent, efficient, and trustworthy payment fraud solutions has never been greater. The rise of AI-driven frauds and scams is also becoming more pronounced heading into 2024, making the need for advanced mitigation solutions not just desirable, but essential.
The core of this trust lies in the delicate balance between preventing fraudulent transactions and ensuring legitimate customers experience smooth and easy checkout processes.
This is where understanding the pivotal role of key metrics, namely payment conversion rate and dispute rate, becomes essential and ensuring your business tracks them.
Payment Conversion Rate refers to the percentage of attempted transactions that successfully lead to secured payments. A high conversion rate signals effectiveness in allowing legitimate purchases to proceed unimpeded.
Dispute Rate, on the other hand, is the frequency with which transactions are contested, often indicative of the level of fraud or customer dissatisfaction. A low dispute rate is synonymous with high customer trust and minimal fraudulent activity.
These two metrics together form the backbone of your payment security's efficacy, directly impacting your revenue and customer trust. They reflect the quantity of fraud occurring on your platform and also how adept your solution is at thwarting fraud without blocking legitimate revenue flows.
Traditional fraud prevention tools tend to swing between extremes with their one-size-fits-all approach. This leads to them being too lax, allowing fraudulent transactions to slip through, or overly stringent, blocking genuine customers and transactions in the process. The latter scenario is especially damaging; if your solution obstructs more revenue than it safeguards, its value is negated.
For small enterprises, fraud might seem like a distant threat, reserved only for large corporations but as businesses grow, they find themselves in a vulnerable spot. They're big enough to attract the attention of sophisticated fraudsters but lack the resources for a dedicated fraud team, making them prime targets.
Your payment fraud solution should strike a delicate balance to ensure legitimate customers aren’t hindered while potential fraud is efficiently flagged and blocked.
This is where Corgi Labs distinguishes itself and its plug and play AI solution.
While other solutions offer generic protective measures, CorgiAI is a tailored AI model that solves for the unique challenges faced by medium-sized businesses. Our solution can support or be a fraud team's co-pilot to address two pivotal aspects:
At the current pace of AI development, the landscape of fraud is set to become even more complex. AI-assisted fraud is on the rise, employing increasingly sophisticated methods to deceive and exploit. The answer isn’t just to have a solution, but to have a partner to always ensure you're a step ahead.
Contact us for a free demo and let Corgi sniff out your fraud.