AACHEN, GERMANY and BOSTON, MA| INFORM GmbH, a global company specializing in software that uses intelligent process optimization logic to improve business productivity, announces its enhanced risk based solution, RiskShield for 3D Secure authentication.
Compliments existing 3D Secure Methods
RiskShield compliments the several card schemes being introduced with 3D Secure methods, such as MasterCard SecureCode and Verified by Visa to protect cardholders and merchants from e-commerce fraud.
Conversion loss due to authentication
In the wake of statistics which show online fraud has risen by 23 percent in the last year, INFORM GmbH has recognized that retailers are losing sales by relying on security passwords to authorize customer purchases.
Dr. Andreas Meyer, director Risk & Fraud of INFORM, says, "Customers continually fail to complete an online purchase because they forget their password or don't register for one in the first place. It has become one of the biggest pain points in the e-commerce industry. However, with the right data, customer profile and risk assessment tools, up to 95 percent of transactions could be safely processed without needing this additional authentication step."
3D Secure: Conversion drop for Mobile Purchases
Especially when using mobile devices like smart phones and tablets, every additional step is adding an extra layer of inconvenience. Online shopping baskets are left with incomplete purchases, as orders are canceled as soon as the consumer has to finalize the final step in the buying process.
RiskShield - The Solution
INFORM has developed an innovative method for risk assessment and provides a secure and more convenient solution for everyday e-commerce transactions. INFORM's enhanced proven fraud detection technology, RiskShield, dynamically routes the authentication process, which is based on the risk level.
By leveraging multiple data sources (customer profiles, browser/device information, transaction history, along with INFORM's patented fuzzy logic technology, pattern recognition, network analysis and conventional rule based prevention), RiskShield provides a reliable decision engine to route transactions with the right authentication level in milliseconds. Even when an online card transaction requires a MasterCard SecureCode or Verified by VISA password, RiskShield acts as an anti-fraud safety net to safeguard against passwords that might have been stolen.
Hosted or in-House Solution
RiskShield also delivers significant cost savings from the one-time password authentication process through SMS messaging (Mobile TAN verification) by reducing the number of one-time passwords that would normally be sent. RiskShield's risk-based solution for 3D Secure authentication is offered as a hosted or in-house solution and provides numerous benefits for every stakeholder within e-commerce chain:
- Issuing bank: Enhanced fraud detection capabilities through data sharing between issuing and conducting transactions.
- Cardholders/Consumers: More convenience and less hassle with online purchases.
- Retailers: More revenue, less cancellations and reduction of "unauthorized transaction" chargebacks.
For more information about INFORM's risk-based solution for 3D Secure, such as MasterCard SecureCode and Verified by Visa, please e-mail Caroline Lenkitsch at firstname.lastname@example.org or call +49 (0) 2408/9456 - 5000
INFORM develops and markets software systems to optimize business processes on the basis of operations research and fuzzy logic. Using these two technologies, INFORM is able to develop software systems that "think" and can make intelligent decisions. The benefits for users are better on-time delivery performance, lower costs and significant competitive advantage.
More than 1000 companies worldwide benefit from advanced optimization software systems by INFORM in industries such as transport logistics, airport resource management, production planning, payment & card fraud management and insurance claim optimization. INFORM employs over 450 staff from more than 30 countries.
Further information about RiskShield can also be found at: http://www.riskshield.com
Valerie Harding, Ripple Effect Communications, Tel: 617-536-8887
Caroline Lenkitsch, INFORM GmbH, Tel: +49 (0) 2408/9456 - 5000