Trust at Every Touchpoint
Retailers are dealing with today’s reality that the escalation of fraud is projected to outpace ecommerce growth. As account takeover, return fraud, and synthetic identity attacks rise, retailers need verification that protects their margins while preserving conversion.
While it's no surprise fraud continues to evolve in scale and sophistication, the challenge for retailers and ecommerce providers is adapting to changing attack vectors at scale.
— Maanas Godugunur, Senior Director of Fraud and Identity, LexisNexis Risk Solutions 2
How retailers orchestrate security and revenue without turning checkout into a three-ring circus
Retailers are dealing with today’s reality that the escalation of fraud is projected to outpace ecommerce growth.
The High-Wire Challenge
Balancing Fraud Protection With Checkout Friction
Industry numbers make it clear that retailers need to strengthen security; however, they simultaneously cannot risk slowing down legitimate consumers during checkout. Especially as more than half of US retailers (56%) and ecommerce companies (54%) have experienced increased customer churn due to their anti-fraud measures.2
THE BUSINESS IMPACT
ACCOUNT CREATION
LOGIN
CHECKOUT
FULFILLMENT
LAST-MILE DELIVERY
RETURNS
56%
54%
1 in 3
$7.9B
$33.7B-$41.6B
20%-60%
37%
54%
of retailers have seen higher churn due to anti-fraud measures 2
of eCommerce companies have seen higher churn due to anti-fraud measures 2
US homes affected by porch piracy, driving $12.8B in losses 5
lost by retailers replacing or refunding 26% of their losses
Chargebacks projected to rise from 2025 to 2028 6
of product value spent on returns 7
reported significant revenue losses tied to fraud 2
of consumers trust a company LESS after a scam 8
HIGH RISK HOTSPOT
HIGH RISK HOTSPOT
HIGH RISK HOTSPOT
• Synthetic identity
• Stolen credentials
• Fake phone or email
• Onboarding fraud
• Incorrect address
• Mismatched identity
• High-risk destination
• Cart abandonment from excessive verification
• Porch piracy
• Vacant properties
• Homes for sale
• Refunds & replacement costs
$5+
311%
~20%
$44.3B $107B
Ecommerce fraud projected to rise from 2024 to 2029
Total cost for every $1 of direct fraud loss 2
Increase in synthetic identity document fraud
Of online addresses contain errors
leading to failed deliveries and reshipment 4
Q1 2024 to Q1 2025 3
141% increase in five years 1
Manual or slow verification hurts conversion.
DIRTY DATA DAMAGE
The cost of bad data escalates every step of the way. According to industry benchmarks, it costs $1 to fix an address at the point of entry, $10 to correct it later in batch, and upwards of $100 if nothing is done at all.
FRAGMENTED CHECKS. PARTIAL ANSWERS.
CONNECTED SIGNALS. COMPLETE PICTURE.
THE FRICTION PROBLEM
$1
$10
$100+
To fix at point of entry
If nothing is done
To correct later in batch
Global address verification & standardization
Homes for sale & property risk signals
Vacant/empty lots & seasonal addresses
High-risk patterns & cross signal consistency
Multi-signal verification at entry catches risk early – protecting customers, improving deliverability, and reducing downstream costs.
Address alone isn't enough. Without email, phone and device context, suspicious or high-risk addresses slip through.
Partial match
Deliverable
Valid
Unknown
Many retailers rely on basic address checks or single-point identity verification that miss sophisticated threats, and fraudsters often use mismatched or fake addresses.
Every extra field, lookup, or review adds friction – pushing good customers away.
Too much friction. Too much time. Too many customers lost.
CART
SHIPPING
MORE INFO
VERIFYING...
ABANDONED
Address
City, St, Zip
Phone
Email
Please wait....
This can take a while
Integrated. Real-time. Built for the entire customer journey.
The Solution: A Layered, Real-Time Approach
Fragmented checks create downstream damage.
The Root Cause: Fragmented or Insufficient Verification at Key Moments
In response to today’s reality, LexisNexis Risk Solutions notes that retail and ecommerce companies are shifting toward “integrated, multi-layered fraud prevention strategies that combine identity verification, device intelligence and behavioral analytics across the customer journey. These approaches are helping organizations improve detection, reduce friction and better align fraud management with customer experience goals.” 2
A layered defense that protects revenue while preserving seamless experiences.
Autocomplete entry makes entry fast and accurate.
Address verification adds deliverability and fraud signals.
Identity verification adds deeper trust and carrier-backed authentication via APIs.
Organizations that take a more integrated, multi-layered approach to fraud prevention are better positioned to protect their customers, deliver superior customer experiences and, in turn, increase customer loyalty, manage risk and drive growth.
– Maanas Godugunur,
LexisNexis Risk Solutions 2
ADDRESS AUTOCOMPLETE/
GLOBAL EXPRESS ENTRY
ENHANCED ADDRESS
VERIFICATION
IDENTITY VERIFICATION/
PERSONATOR • MOBILE IDENTITY VERIFICATION
Make entry fast and accurate
Ensure deliverability and surface fraud signals
Verify people in real time
Type-ahead suggestions autofill fields, reduce keystrokes by 50%, speed checkout, and reduce typos.
Standardize addresses globally, ensure deliverability, and detect risks like homes-for-sale.
Provides comprehensive, real-time multi-signal verification of name, address, phone, email, and IP. It is further strengthened by Mobile Identity Verification, which authenticates identities directly against Mobile Network Operator (MNO) data sources in over 14 countries.
ACCOUNT CREATION
LOGIN
CHECKOUT
HIGH-VALUE
TRANSACTION
DELIVERY
A balanced approach that boosts conversions while defending every order and account.
The Impact: Less Friction,
Smoother Checkouts,
Protected Revenue
Higher Conversions & Better Customer Experience
Stronger Fraud Protection
Greater Consumer Trust
Address autocomplete reduces checkout friction and data entry time by up to 50%, helping faster completion and lower abandonment.
Enhanced Address Verification with homes-for-sale detection plus Identity Verification and Mobile Identity Verification work together to identify risky addresses and suspicious identities early.
Shoppers enjoy a modern, fast experience while the retailer actively protects orders and accounts.
Up to 50% less data entry time
Faster completion, lower abandonment
Confident, seamless shopping
Protection they can rely on
Lower chargebacks
Low reshipment costs
Lower manual review volume
Better data quality across fulfillment, marketing & loyalty programs
CONVERSIONS
LOSSES
CONFIDENCE
MANUAL REVIEW
+311%
of product value spent on returns
-20%
of product value spent on returns
+54%
of product value spent on returns
-35%
of product value spent on returns
5 moves for a safer, smoother journey
Best Practices: 5 Steps to Strengthen Fraud Detection
Layer the right data at every touchpoint to speed good orders through, stop fraud early, and protect revenue without sacrificing conversion.
Delivery issues or returned mail
Checkout friction or confusion
Inconsistent customer data
Fraud checks failing due to fake addresses
Hover to tick
SEE WHERE YOU STAND
Check the challenges that sound familiar.
3
2
1
1
2
3
4
5
(Global Express Entry) at checkout, account creation, and forms to deliver speed and clean data capture.
Fewer errors. Faster forms. Happier customers.
including homes-for-sale signals, to flag high-risk delivery addresses.
Spot risk earlier. Prevent costly issues.
(Personator) at key trust moments – signup, login, high-value checkout, and returns.
Confirm real people. Stop account abuse.
Use a risk-scoring approach – not siloed checks – to make the smartest decision.
Better decisions. Fewer false declines.
Balance conversion rates against fraud loss metrics and adjust threshholds as patterns evolve.
Protect more revenue. Drive better outcomes.
DEPLOY ADDRESS AUTOCOMPLLETE
LAYER ENHANCED ADDRESS VERIFICATION
USE IDENTITY VERIFICATION
COMBINE ALL THREE IN REAL TIME
CONTINUOUSLY MONITOR & TUNE
Lack confidence in international addresses
Melissa’s Identity Verification Suite utilizes a range of industry-leading services including contact data quality, ID & document verification, biometrics, watchlist & sanctions screening, and age & death validation to meet your KYC and AML compliance needs.
Two solution families. One mission:
Stronger trust. Smarter growth.
Strengthen Fraud Detection With Melissa
Strengthen fraud detection with address and identity verification solutions today.
The most important contribution Melissa has made is in our knowing who our customers really are. Being able to verify names, addresses, and more enables us, at last, to say yes or no to any order. Because of that, I’ve recommended Melissa to several other companies. It saves you time and money.
– Alistair Cruickshank,
Founder & CEO, Z1 Motorsports
IDENTITY VERIFICATION SUITE
GLOBAL ADDRESS VERIFICATION
Verify. Validate. Trust.
Every Address. Every Time.
Verifies and validates addresses at point of entry and in batch – so only valid billing and shipping addresses are captured and used.
Biometrics
Age & Death Validation
Watchlist & Sanctions Screening
Contact Data Quality
ID & Document Verification
Orchestrated to your workflows and to meet your KYC and AML compliance needs. Optimized for risk. Built for scale.
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5
2
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TRUST AT EVERY TOUCHPOINT
EMAIL
ADDRESS
PHONE
IDENTITY
DEVICE/IP
ADDRESS
EMAIL
PHONE
Unverified
IDENTITY
Unknown
DEVICE/IP
Average cart abandonment 9
Cite long or complicated checkout 9
Potential conversion gain from better checkout design 9
In potentially recoverable orders 9
70.22%
18%
35.26%
$260B
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[1] Juniper Research, “eCommerce Fraud to Exceed $107 Billion in 2029”
[2] LexisNexis, “True Cost of Fraud™ Study”
[3] Sumsub, “Synthetic Identity Document Fraud Surges 300% in the U.S. - Sumsub Warns E-Commerce, Healthtech and Fintech at Risk”
[4] Melissa, “Why Incorrect Shipping Addresses Are Costing Retailers Millions”
[5] Omnisend, “Omnisend Study: Porch Pirates Hit Nearly 1 in 3 U.S. Homes, Driving $12.8B in Losses” [6] Chargeflow, “The Ultimate Chargeback Statistics 2026: Trends, Costs, and Solutions” [7] Alexander Jarvis, “Product Return Costs”
[8] Clutch, “How Constant Exposure is Normalizing E-Commerce Fraud”
[9] Baymard Institute, “50 Cart Abandonment Rate Statistics 2026”
Sources:
3
The Challenge: Balancing Fraud With Friction
What’s more, areas of leakage — where weak or inconsistent verification can allow poor data into the system — not only impact vulnerability, but they can multiply those bad outcomes moving forward.
For example, mapping shows us the most vulnerable touchpoints: during account creation, checkout (where bad data enters), and last-mile delivery (where porch piracy and fraudulent deliveries occur).
Basic or siloed checks are no longer enough — fraudsters use fake or high-risk addresses (including homes for sale), stolen credentials, and synthetic identities.
Just validating the address is no longer enough; retailers need to match this data against other consumer data or identifying fields such as email and phone — to identify any suspicious or high-risk addresses.
Put simply, cleanly entered data means clean data downstream; poor data at entry (typos, incomplete profiles, unverified addresses) can create downstream fraud and delivery problems later on.
Additionally, this data is especially complicated. For example, every country structures addresses differently, and keeping track of homes that are for sale or empty lots is crucial, since they are most vulnerable to fraudulent activities.
While clean data entry is critical to protect revenues later on, overly manual or slow verification increases cart abandonment and hurts conversions. The average documented online shopping cart abandonment rate is 70.22%, with 18% of consumers citing “too long/complicated checkout process.”
Melissa delivers a balanced, integrated solution across three complementary capabilities:
This carrier-level verification is especially effective at high-risk touchpoints such as account creation, login, and high-value transactions — helping combat account takeover, synthetic identity fraud, and onboarding fraud while maintaining a smooth experience for legitimate customers.
Seamless checkout leads to less cart abandonment and stronger revenues. Additional retail and ecommerce business benefits include:
Easily tailor our solutions to your specific sign-up process and risk management requirements to ensure a smooth customer onboarding experience while ensuring you have the accurate information to remain compliant and protected from fraudulent activity.
Melissa’s Global Address Verification service verifies and validates addresses at the point of entry and in batch to ensure only valid billing and shipping addresses are captured and used in your systems.
1 in 3
US homes affected by porch piracy, driving $12.8B in losses 5
$7.9B
lost by retailers replacing or refunding 26% of their losses
$33.7B-$41.6B
Chargebacks projected to rise from 2025 to 2028 6
20%-60%
of product value spent on returns 7
37%
reported significant revenue losses tied to fraud 2
54%
of consumers trust a company LESS after a scam 8
ACCOUNT CREATION
LOGIN
CHECKOUT
HIGH-VALUE
TRANSACTION
DELIVERY
EBOOK
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