Stepping into online retail has many challenges. One of the biggest of all is the invisible threat of fraud. Unfortunately on the internet, unlike in a physical store, retailers will never actually get to see their customers, which makes it much harder to judge whether they are genuine or not.
It is therefore crucial retailers are aware of the techniques and software which can help better monitor their visitors and act on any threats. Eva Grzybek, online marketing assistant at Paypoint.net, offers her top tips for keeping online business safe and help aid the fight against cyber criminals:
1. Free schemes – because online fraud is such an issue, both banks and card issuers are trying to help retailers fight it by releasing free to use monitoring tools and schemes. The most widely used of those is 3D Secure, which allows cardholders to set up special passwords on their cards. You can choose not to accept transactions from customers who do not use this system if you wish, making it harder for fraudsters to use stolen cards in your e-store. Another famous scheme is the 3rd Man, which is essentially a huge database containing details of thousands of past online transactions. By looking at this information and certain patterns the 3rd Man is able to give any new transactions a score and judge whether they are risky or safe. You do not have to follow this advice but it is always useful to have as much information about any transaction as possible when making the decision to process it or not.
2. Paid for solutions – encryption is one of the best ways in which you can protect your shoppers and as a result make the lives of fraudsters much harder. SSL certificates can make the connection between a customer and your shop almost impossible to eavesdrop on taking away the chance for criminals to intercept cardholder details.
3. Advanced tools – there are quite a few expanded fraud-detecting programmes on the market, which will allow a retailer to perform much more advanced analysis of each of their transactions. It may not be financially feasible to use one of those if trading volumes are fairly low, but established online retailers would certainly see substantial benefits from using one of those.
By trying to stop fraudsters targeting an online store retailers help keep the web safer for everyone. Retailers should also report any fraudulent activity to http://www.actionfraud.police.uk/ who will be able to investigate and stop any potentially unlawful activity.