| The eCommerce presents unrivalled possibilities for | | | | - Develop day-to-day objectives that promote |
| tapping into markets that are out of the reach of | | | | profitability, such as: |
| brick-and-mortar types of businesses. Web-based | | | | - Minimizing the percentage of fraudulent transactions. |
| merchants have the world as a market. The other | | | | - Minimizing the affect of fraud-prevention |
| side of the coin is that criminals see the eCommerce | | | | procedures on legitimate sales. |
| as an additional source for gathering sensitive | | | | - Minimizing fraud-related chargebacks. |
| personal information that can be later used for | | | | Clearly define responsibilities for detecting and |
| fraudulent transactions. Personal data can be | | | | reviewing fraudulent transactions. |
| compromised or stolen in a number of different | | | | If yours is a larger organization and you have a |
| ways, but online merchants can do their part and help | | | | separate group that deals with chargebacks, you |
| protect it from falling into the wrong hands. As a | | | | should promote a close cooperation between the |
| step in this direction and in order to reduce losses | | | | fraud-prevention and chargeback-monitoring groups, |
| resulting from excessive risk exposure, eCommerce | | | | as one of the most common causes for chargebacks |
| merchants must implement internal fraud prevention | | | | is fraud. |
| measures and controls that are designed to their | | | | Monitor fraud-control performance. Your |
| environment's specifics. A dedicated fraud control | | | | fraud-prevention efforts will become more effective |
| department can provide the direction that the | | | | if you track areas like: |
| organization needs to take to fight fraud. Consider | | | | - Total fraud volumes as a percentage of your total |
| implementing the following measures into your | | | | sales. |
| organization: | | | | - Fraud recoveries as a percentage of your total |
| - Establish an official fraud control function. Consider | | | | fraud. |
| implementing the following procedures when setting | | | | - Speed of reviewing and making decisions on |
| up a fraud-control position or department: | | | | suspicious transactions. |
| - Elevate fraud detection and prevention to the | | | | - Number of complaints from customers regarding |
| highest priority. | | | | legitimate sales. |