Most fraud solutions only identify suspected fraud, which increases the risk of good customers being turned away unnecessarily – a damaging experience that drives down acceptance across the board. The innovation behind Ethoca Alerts means guesswork is a thing of the past. In 2016 Ethoca delivered over 6,316,000 alerts to merchants, creating a total alert value of over $504 million, eliminating over 2.7 million chargebacks and stopping over 1,510,000 fraudulent orders.
Ethoca’s technology brings together issuers and merchants in the world’s leading global collaboration network, flagging transactions that have been confirmed as fraud by the cardholder. This enables merchants to adopt a more aggressive sales conversion strategy because – as Ethoca Alerts arrive in near real-time instead of weeks later– merchants are able to stop the fulfilment of fraudulent orders, avoid the chargeback; recovering the cost of the goods while saving time and money for issuers.
In 2016-17, the value and power of the Ethoca Network increased dramatically thanks in part to the launch of a new and improved customer portal and several new partnerships. On the issuer side, we partnered with FICO, Lean, Pegasystems and TSYS, making it easier for issuers to contribute fraud data and, in most cases, allowing these parties to send us data at faster intervals. The faster merchants receive data, the more fraud they can actually stop.
For merchants, we now provide integration through ACI and Kount – in addition to existing partnerships with Accertify and CyberSource. Collaborating with other anti-fraud leaders makes it easier to take immediate action on alerts and stop more fraud by integrating Ethoca Alerts within merchants’ primary fraud tools. This reduces manual labour and enables merchants to stop even more fraud more efficiently.