eCommerce companies are doing their best to maximize the total revenue coming from a single account. Chargeback insurance is one of the most important things related to your eCommerce business.
The most crucial thing concerning your eCommerce strategy should be based on developing customer loyalty through the delivery of a great experience to customers who are making their retail journey. This article will tell you about all these things in more details.
eCommerce Business Challenges: Need Chargeback Insurance?
As a merchant, you should be well aware of the fact that card-not-present or CNP fraud is an ongoing challenge for businesses operating online. Fraudsters are working on improving their “skills and tactics” so to “adapt” to the ever-evolving world of eCommerce.
How can you prevent losses caused by chargebacks? Implementing reliable fraud prevention solutions like chargeback insurance developed for chargeback reduction is one of the most vitally important things in this concern.
Did you know that more almost 90% of all chargebacks are caused by the so-called “friendly fraud?” So, don’t think they occur because of criminal fraud as the reason codes typically imply. That’s why it’s critical to determine the real reason for chargebacks and take the right measures to successfully fight them.
To stay away from transaction disputes associated with chargebacks, you should use the right tools by applying the right logic. If your steps aren’t based on these key elements, you’re going to end up with negative, long-term consequences like damaged customer retention rates.
What can you do to win the battle against chargebacks? It’s simple. You should look for a reliable and experienced payment processor than help you avoid chargebacks in the best possible way.
When thinking about chargeback insurance, try a system like Chargeback Shield. With a reputable merchant services provider, you can enjoy exceptional chargeback prevention and protection services in the industry.
Customer Loyalty Vs Chargebacks
Are you concerned about how you can improve customer loyalty and your profits? This is quite possible if you start utilizing next-generation fraud prevention solutions.
Of course, these should be based on machine learning and data gathered from multiple order details, as well as from tools that aren’t visible to the customer. These may include storefront web beacons, device fingerprinting, proxy detection, and IP address geolocation.
You should never let fraudsters slip through and reject good orders from customers who’re legitimate. Otherwise, you’ll risk losing customer loyalty and money on two fronts by using fraud prevention solutions that can’t do what they’re called to do.
Remember that when you falsely decline a repeat customer, you lose all the remaining customer lifetime value. Fraud was once viewed as the cost of doing business by merchants. Today, fraud is so much widespread all over the world that it must be controlled by all means. Otherwise, it’s going to negatively impact your profits and damage customer loyalty.
You, as a merchant, must put all your efforts into preventing chargebacks from occurring. You can do this by reducing friendly fraud, improving customer service, making use of fraud detection tools, as well as putting business best practices into implementation.
Author Bio: Electronic payments expert Blair Thomas co-founded eMerchantBroker, serving both traditional and high-risk merchants interested in chargeback insurance and other merchant services. His passions include producing music and traveling.