Communication and Collaboration:
Fraud prevention shouldn’t operate in a silo. Start talking to other relevant departments now about the holidays so that they understand your concerns and see if you can find ways to help them with theirs. Find out if they have sales, offers or promotions planned. Put processes in place to check in with each other regularly and to share data and insights once the holidays kick off.
Phishing Forecast:
Phishing is one of the areas where generative AI has already made the most significant impact on the online fraud scene. Consult with your customer communications experts about proactively sending out information to educate customers about this threat and remind them never to share account information.
ATO:
Successful phishing means more stolen account info in the online criminal ecosystem. Fraudsters are likely to leverage this during the holidays when customer behavior is often atypical for legitimate reasons, so ensure you’re ready with the right intelligence and checks.
Deep Fakes and Fake IDs:
Generative AI’s impact can also be seen in the rise of easy, effective deepfakes and fake IDs. If your systems could be fooled by these tricks, start looking now at ways that you can increase your protection.
Friendly Fraud:
Ensure you're prepared to track and record essential data points, such as IP addresses and proof of delivery, which can be valuable if you need to dispute a chargeback later.
Returns Abuse:
Although the real returns avalanche usually occurs after the holiday period, protecting against abuse and fraud ought to start now. Communicate with those handling returns in your company about the latest evolution of the challenge (invisible ink, anyone?) so you can ensure your measures are up to date.
Payment Optimization:
Making checkout as smooth and simple as possible is key to success, especially when shoppers are in a hurry. Your company's fraud protections need to support this effort rather than get in the way, so think through your options regarding alternative payments, 3DS, etc.
Emphasize Identity to Prioritize Good Customers:
Look for ways to streamline or enrich the experience for legitimate returning customers by focusing on how identity intelligence can highlight the customers you can trust. Keeping them signed in, making 1-click checkout possible, offering additional loyalty program options or discounts, and more are possible when you know who to trust.
