Most businesses identify fraud after it has been committed. The worst part is that you can’t revert the damage done to your online shop after it has occurred.
On average, around 4,800 websites get attacked monthly, which isn’t a small number. You never know because your website might be next, and you'll run into lots of trouble if you don’t have any software to protect it.
This article will go through the top 6 eCommerce fraud prevention solutions you should consider for your brand.
What is Ecommerce fraud prevention software?
Many business owners continuously think of how to prevent eCommerce fraud. While many eCommerce specialists can give you different ideas, using eCommerce fraud prevention software is the solution.
What does eCommerce fraud prevention software do?
An eCommerce fraud prevention software automatically allows online shops to accept or decline a payment to avoid chargeback risks or other frauds. It’s a good idea to remember that not every fraud prevention software can be on the lookout for every detail.
However, to be protected as much as possible, it should be your duty to address as many problems as you can. This is to ensure you don’t disturb the customer’s shopping journey.
Top 6 Ecommerce fraud prevention software
Signifyd is a popular choice in the online world and is currently used by some of the largest retailers worldwide, like Samsung, eBay, Mango, and more. Signifyd’s prevention software is separated into four different parts, which are:
- Abuse prevention
- Account protection
- Payment optimization
- Fraud protection
Large retailers primarily use Signifyd because of the following:
- Its integrations: Integrates with Shopify, Salesforce and Magneto.
- Data enrichment: You can aggregate external data based on the given phone number or email address.
- Ecommerce specialists: Large retailers are assisted by Signifyd’s clients.
More or less, you’ll find Signifyd as a great fit if you use Shopify, Salesforce, and Magneto.
Offers world-class fraud management software by identifying each individual through each online interaction. Riskified is known for its following key features:
- Built-in machine learning models: Riskified uses advanced machine learning algorithms to provide real-time insights within an organization.
- Riskified dashboard: Tracks your site's performance and showcases the order review time.
- Device ID: Uses several analytical methods such as proxy detection, order linking, chargebacks, and more.
- Authentication: This doesn’t give you any risk flags or scores for each transaction but gives a direct answer, either approved or declined. This gives complete control to the organization for deciding if they should approve the transaction and generate more sales.
If you want to learn more about Riskified’s pricing plans, contact them directly on their website.
Alternatively, you can download the app from Shopify’s app store itself and even learn more about pricing plans from there as well.
However, we know one thing: the larger the transaction size is, the more it’ll decide the price of your chosen plan.
Overall, the tool is easy to use, has reported issues with the dashboard features, and doesn’t provide any KPIs for recorded orders.
What is better than downloading Shopify’s free fraud filter if you want to use world-class fraud prevention software?
With the fraud filter, you can create custom filters that meet your business needs. The fraud filter will flag all suspicious orders on the order page based on the filters you set. After these filters are flagged, you can prevent all fraudsters from placing orders on your online store.
In other words, Shopify’s fraud filter provides an extra layer of fraud prevention to help you fight fraud and avoid any hidden attacks.
The fraud filter lets you set up warnings for hidden orders or block them entirely. Once a suspicious order matches the filter you set, it’ll automatically cancel it or warn you to do so. The best part is that it’s entirely free to download.
Shopify’s built-in fraud analysis
An unauthorized transaction that passes by is always referred to as fraudulent. Fraudulent transactions can cause chargebacks, which automatically result in you losing money. The Shopify built-in fraud analysis system uses machine learning (ML) algorithms to help you eliminate any unauthorized orders made.
Moreover, a suspicious order can be analyzed in the following ways:
- Verifying the IP address: Addressing if the customer’s IP address is located from the accurate location or not if it’s from a web hosting company or a proxy service.
- Verify if the shipping and billing addresses match: Fraudsters will usually manipulate the billing and shipping address. If you want to ensure they’re the same, using Google Maps is an excellent way to visualize the distances between them. If the distance is noticeable, the order may be fraudulent. Moreover, there are cases where multiple orders will use different billing addresses and the same shipping one, so keep an eye out for that.
- Review high-value orders: Seek to verify the customer’s identity once you spot that the order is higher than average.
Another free extension Shopify provides is Shopify Protect. Shopify’s fraud algorithm uses data across the network to stay updated and prevent the latest type of fraud that tries to hit your online store every day.
While using Shopify Protect, orders can be marked as Protection Active and are eligible for protection and completely ensure security within every transaction conducted. Additionally, Shopify Protect covers chargeback costs, so in this case, it’s covering the total cost of the order and the chargeback fee.
You might have heard of Seon before because it’s a popular fraud prevention software used by many online businesses.
Seon provides fraud detection solutions for businesses and insights into all transactions and interactions. Additionally, it gives you around 50 social media and digital lookups. Moreover, Seon is used by many large companies such as Carbon, Revolut, AirFrance, and more.
Seon’s features include the following:
- Behavior analysis
- Email analysis
- API integration
- Device fingerprinting
- Social media lookups
- Digital lookups
Pricing with Seon starts at $299 per month with unlimited users and offers a free trial. The free trial lasts 14 days and is easy to use and customize. After that, you can decide whether the platform belongs to you.
Furthermore, the most common industries Seon is used for are the following:
- Online lending
If you’re using the Shopify app store, you can download Seon’s fraud prevention app from there too.
Cybersource is a fraud prevention company established 12 years ago with its mission to protect you from fraudsters trying to hack into your credit card information. What’s so great about Cybersource is that you can get the “all-in-one” package of control for fraud management, transactional security, and accepting payments.
Overall, Cybersource’s primary goal is to ensure that all payments are made with a personalized experience and are secure from online attackers. Cybersource succeeds in doing this by providing behavioral tracking, and user authentication using the standard IP and device analysis.
The primary reasons why Cybersource is widely used because of the following:
- Additional payment services: Fraud and risk management, global tax calculators, currency converters, e-wallets, and much more.
- Payment protection: Cybersource has a direct partnership with Visa, making accepting a wider range of payments more possible.
If you want to learn more about Cybersource’s payment options, it’s best to contact them on their site and find out what they offer and how much it’ll add up.
Above all, most users will download Cybersource because it allows them to work with Visa for all payments made.
ClearSale is an e-commerce fraud prevention software. It helps organizations prevent fraud and enhance their customer satisfaction levels. It’s a popular software and is used by more than 5000 organizations.
Key features include:
E-commerce fraud protection
- Custom reports
- User-friendly app
- False decline protection
- Chargeback protection
There are two types of pricing plans associated with e-commerce software:
- The fixed percentage pricing model: Allows you to bill a fixed fee on each approved transaction.
- KPI pricing model: Allows you to identify your target charge book percentage.
When you choose to use ClearSale, you won’t have to worry about monthly or setup costs. It easily integrates with Oracle, SalesForce, Shopify, and many other platforms. The customer support is top-notch, and you won’t be disappointed.
However, remember that pricing plans aren’t publicly available, so you’ll need to visit their website to find out more.
ClearSale supports the following industries:
A summary of how dangerous online fraud can be
Fraud is nothing exciting to face when you run an online shop. The last thing you would want to happen is for customers to think you are manipulating them. If an online fraud attack does occur, it can drastically damage your business's reputation.
Therefore, eCommerce fraud prevention software was created to handle these situations. Regardless of the eCommerce fraud prevention software you choose to use, it’s always better to have one than not to have any.
Statistics show us how much in danger we are from fraudsters, so it’s time to take action and start preventing these attacks.