A lag in chargeback reporting can be discretely hidden by record sales. To make matters worse, the chargeback lag means your financial reports will show a distorted picture of your company’s performance. For example, sales you thought you had in December could actually turn out to be ugly losses in February, March, and April. Don Bush, VP of Marketing, Kount, explains the pitfalls of a chargeback lag and the importance of getting in front of this common hazard.Read More
Chargebacks are expensive. They cost your business time and money. But the goal of zero chargebacks might not be the best strategy either. Merchants trying to achieve zero chargebacks are often leaving good sales and frustrated customers in their wake. Don’t use a chainsaw, when you should use a scalpel. For each merchant, there is an optimal chargeback rate, which allows for maximizing sales while mitigating risk. Don Bush, Vice President of Marketing, Kount, explains chargebacks and examples of optimal rates.Read More
Like most things that sound too good to be true, 100% Chargeback Guarantees are not quite what they‘re cracked up to be.
They don’t actually prevent 100% of chargebacks and fraud. Rather, they act as a type of insurance policy that reimburses you when you do get hit with chargebacks and fraud.
The chargebacks and fraudulent transactions still occur. The only difference is that you pay per-transaction “insurance premiums” (in effect) to offset those losses. And just like any insurance policy, your situation determines whether or not these make good financial sense.Read More
Why Amazon’s Latest Innovation Could Have Your Customers ‘Dashing’ to claim a Chargeback
The Internet of Things (IoT) gained its newest member this week as Amazon brought its Dash buttons to the UK market. The £4.99 Wi-Fi-enabled pieces of plastic, already familiar in the US, allow consumers to bring one-click shopping into their homes and order a specific household product from over 40 brands, all at the push of a button.
However, when the worlds of IoT and Card Not Present (CNP) payments combine, the ensuing potential for fraud could leave you wishing you had a button with Kount’s name on it for an emergency order of anti-chargeback advice.Read More
This past holiday season, more brick-and-mortar retailers than ever offered “buy online, pick up in store” service. Obviously, mobile plays a huge role in these transactions. But so does fraud:
- Fraud rates were projected to jump by 28% for holiday “buy online, pick up in store” orders1
- Although a relatively small percentage of overall purchase volume, fraudulent “buy online, pick up in store” now account for 25% of ALL lost and stolen merchandise for brick-and-mortar retailers2
If you’re a brick-and-mortar retailer starting to see higher chargebacks from the holiday season, mobile fraud could be the hidden culprit. After all, mobile transactions are 2X more likely to be fraudulent.3