Criminals have created a business from committing fraud — a source of success, reputation, prosperity and innovation. For companies, preventing fraud loss is often viewed as a cost of doing business, and, as such, is approached defensively. In order to outpace fraudsters, organisations are modernising their fraud mitigation strategies, making them less reactive, and more predictive and proactive. To that end, fraud teams are becoming an integral part of creating sustainable business growth by adopting several principles including these:
- Creating an ideal customer experience as a shared goal of fraud, product development, and marketing teams (these teams no longer work in a siloed fashion).
- Sharing information across functions (fraud teams, marketing teams, product teams, among others) to gain an expansive view of customer behaviour.
- Collaborating across the customer touch points to facilitate pre-transaction fraud detection, thereby reducing capital and operational expenditures.
- Using a blended ecosystem (working with vendors, customers, partners and even competitors) to increase agility.
- Applying the appropriate degree of confidence, based on the nature of the transaction, to optimise resources and streamline the customer experience.
Weaving these principles into your strategies is crucial for success, because fraudsters are relentlessly fast — and getting faster. One of a fraudster’s biggest advantages is the ability to move through a consumer’s online and offline life without boundaries — swiftly preparing, attacking and moving to the next vulnerable area where you build relationships with your customers, across channels and at different touch points. With advances in detection analytics and technology, ecosystem participants like Experian can help you confidently recognise your customer and protect your valuable relationships.
Modern fraud mitigation approaches have shifted fraud prevention from “the cost of doing business” to an important driver on the growth agenda, with an active role in a company’s success. Because we understand this dynamic, we can help businesses effectively fight fraud whilst providing a first-rate experience that inspires customer loyalty — and results in achieving ambitious growth goals.