Addressing
Fraud and Security
in a Retailer
Omni-Channel Strategy
Erika Gallo
Director of
Payments Risk Management ACI Worldwide
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ACI Omni-Channel Fraud Survey - Preview
 Multinational research on retailer omni-channel fraud management practices
 Survey conducted by Forrester
 Respondents from US, UK, Germany, Italy, Netherlands
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Omni-Channel
Multi-Channel
Consumer Web Mobile Call Center Store SocialConsumer
Store Call Web Mobile
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Base Omni-Channel Architecture
OMS Fulfillment Distribution Center 1 Distribution Center 2 Payment Fraud Screen Consumer Funds Consumer Mobile Web Call Center
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Buy In-Store, Checkout in Store
OMS Fulfillment Distribution Center 1 Distribution Center 2 Payment Fraud Screen Consumer Funds Consumer Mobile Web Call Center
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Buy on Online – Pick up in Store
OMS Fulfillment Distribution Center 1 Distribution Center 2 Payment Fraud Screen Consumer Funds Consumer Mobile Web Call Center
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Buy Online – Split Shipments
OMS Fulfillment Distribution Center 1 Distribution Center 2 Payment Fraud Screen Consumer Funds Consumer Mobile Web Call Center
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Respondents
“S9. Which title best describes your position at your organization?”Source: A commissioned study conducted by Forrester Consulting on behalf of ACI, March 2015 Base: 170 US and European retail fraud management decision-makers
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Most retailers have fraud management programs in place for all selling channels
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Different fraud capabilities for CP and CNP channels - only 36% use real-time analysis for CNP channels
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Respondents say they have the capabilities to identify and track customers across channels
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Top challenges: the quickly changing nature of fraud, data protection issues
?
Source: A commissioned study conducted by Forrester Consulting on behalf of ACI, March 2015 Base: 170 US and European retail fraud management decision-makers
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Top challenges: Omni-channel data aggregation and the increasing number of payment options
Source: A commissioned study conducted by Forrester Consulting on behalf of ACI, March 2015 Base: 170 US and European retail fraud management decision-makers
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Most needed capabilities for omni-channel fraud
management: Real-time interdiction and easy to use tools
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Most needed capabilities: More IT resources, more advanced tools
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Summary of Findings
 60% of respondents say that they have a cross-channel fraud management strategy in place.
 Only 46% have consolidated fraud management across channels to date, but most plan to do so in the near future.
 Omni-channel data aggregation and the increasing number of payment options present pressing challenges to retailers’ fraud management programs.
 The quick changing nature of fraud and data protection issues are more general challenges that prevent retailers from effective fraud management.
 Real-time interdiction and easy to use tools are the most needed capabilities, while successful omni-channel fraud management also requires close support from the IT organization.
 Retailers need more IT resources, more advanced tools to operate effective omni-channel fraud management.
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Thank You!
Erika Gallo
Director of Payments Risk Management Certified eCommerce Fraud Professional
For a copy of the ACI Omni-channel Fraud Management research to be released in May, visit
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Confidential
MEETS THE CHALLENGE OF CHANGE
Post-EMV Migration of Card Fraud
 Based upon trends in other regions and taking into account the uniqueness of
the US market we expect sharp rises in card not present fraud, application fraud, and account takeover fraud in the coming years.
