Since the last few years, ecommerce has gained more popularity worldwide than the traditional shopping experience. Globalization and technological advancements have played a critical role in this regard and allowed people to shop from international brands and services without traveling to the country.
The increased popularity of ecommerce has given rise to numerous issues and challenges too. One of the biggest eCommerce challenges is the higher risk of fraud. At times, the consumer becomes the target of ecommerce impersonators who hack such platforms and get consumers’ personal details. At other times, the ecommerce sites also become the target of fraudulent activities.
Common Types of Ecommerce Frauds
Here are some of the most common types of ecommerce frauds that the ecommerce platform managers/owners need to watch out for.
- Affiliate fraud
- Phishing fraud
- Triangulation fraud
- Credit card fraud
- Chargeback fraud
- Interception fraud
Keep scrolling down this article to explore a comprehensive guide about ecommerce fraud types and prevention strategies.
Top 7 Ecommerce Fraud Prevention Strategies You Must Implement
Credit card fraud, transaction fraud, and confidential consumer information hacking are some of the most common challenges that cause irreparable loss to the authorities. However, there is no use in crying over the spilled milk as it cannot reverse the loss of your reputation. So, you need to be well prepared and implement prevention strategies to control such frauds in the first place.
Here are some of the tried and tested ecommerce fraud prevention strategies you must implement to offer a safe shopping experience to consumers.
Implement Site Security Audits
Most of the time, the loopholes in the ecommerce site security motivate people to commit various types of frauds. So, the very first prevention strategy for ecommerce frauds is to implement regular site security audits. It requires professional skills and expertise, due to which most of the ecommerce platforms consult ecommerce solutions Dubai based service providers and ensure proper security audits of their site.
Monitor Suspicious Activities
One of the most important ecommerce fraud prevention strategies you must follow is to monitor the site for suspicious activities. These activities can be related to hacking attempts or placement and cancellation of bulk orders. You need enough expertise and skills to spot the unusual activities that raise the red flags to avoid bigger damages later on.
Ensure Proper Address Verification
At times the consumers also become the target of credit card theft. During such an incident, if the thief places an order on your platform and pays the bills from a stolen card, it will also drag you into an unwanted situation. So, to avoid such incidents, you need to implement a proper address verification system and ensure the details and data of your loyal consumers are in safe hands.
Another important strategy to prevent ecommerce frauds is using HTTPS. The hypertext transfer protocol secure version establishes a secure link between the consumers’ web browser and that of the ecommerce platforms. Through this, the hackers and suspicious users cannot access the transaction broadcasts of consumers from the ecommerce platforms. So, by using this, you can protect your site and the confidential details of your user.
Set Purchase Limits
Another effective strategy that can provide substantial support in ecommerce fraud prevention is setting purchase limits. You can set this purchase limit according to the size and value of the products. On the other hand, you can also set the purchase limits in the areas from where you get more fraudulent orders or fraud attempts to stay on the safe side.
Match IP Address with Card Address
One of the best ecommerce fraud prevention strategies that you can implement is matching the IP address with the card address of the consumers. If there is any difference in the details, you can inquire the consumers and ask them to ensure their addresses match before placing the order. Most importantly, it would be best if you informed the consumers about this policy brief beforehand.
Implement Anti-Fraud Tools
The last ecommerce fraud prevention strategy you must utilize is implementing anti-fraud tools. These tools will monitor, detect and prevent any fraudulent activity before it causes any loss to your image. You can also contact ecommerce solutionsproviders and get suitable solutions that will save your site from any fraudulent activity.
Contact the experts for detailed solutions!
If you are unaware of the technical details and management of your ecommerce software, you might not be able to spot the red flags and utilize the preventive measures. However, it does not mean that you should just sit back and wait for everything to resolve independently. Instead, contact the professionals and utilize their support to provide efficient and reliable service to your consumers.