LexisNexis® Risk Solutions Supports Retailer’s Omnichannel Vision by Reducing Online Friction for Trusted Customers and Accurately Detecting Fraud

• Analytics & Modeling - Predictive Analytics
• Application Infrastructure & Middleware - Data Exchange & Integration
• Cybersecurity & Privacy - Identity & Authentication Management

• Retail

• Business Operation
• Sales & Marketing

• Fraud Detection

• Data Science Services
• System Integration

The retailer wanted to better understand the behavior of genuine good users to avoid increasing false positive rates for customers operating on the outliers of what is considered normal behavior. For example, a B2B contractor may have multiple users accessing one account from different locations and devices – a pattern of behavior which could be indicative of fraud for a consumer account. The retailer required a solution which would be able to recognize legitimate users across its varied customer base and promote a frictionless online experience for trusted customers. Streamlining the user experience was a key priority for the retailer, with plans to introduce improved e-commerce capabilities across the customer journey. For example, an expedited checkout process necessitated the need for risk-based decisioning, with the retailer requiring a solution which would protect high risk touchpoints, without compromising the user experience for trusted customers. As fraudsters continue to attempt to monetize stolen credentials, the retailer also required a solution which would accurately detect and block fraudulent transactions in near real time, without adding unnecessary friction for genuine customers.

This large U.S retailer sells a wide range of products and services to a strong customer base across the United States. The retailer identified that consumers were shifting away from bricks-and-mortar stores to the ease and convenience of online shopping. As a result, the retailer identified e-commerce as a major strategic focus and aimed to improve e-commerce capabilities and create an omnichannel experience across the customer journey. With LexisNexis® Risk Solutions, the retailer achieved a streamlined, secure, end-to-end customer experience by effectively differentiating between genuine customers and fraudsters in near real time, enhancing its recognition of trusted customers, and reducing fraud and false positives.

Leveraging the LexisNexis® Digital Identity Network®, the retailer can more effectively build a profile of trusted customer behavior; reducing false positives, and better detecting genuine fraud across the entire customer journey. Delivering a complete, end-to-end solution, LexisNexis helps the retailer instantly recognize legitimate customers and more accurately detect high-risk transactions across key touchpoints in the customer journey, including logins, password reset, and new account origination. LexisNexis® Risk Solutions policy engine allows the retailer to tailor and optimize rules to its customer base, enhancing the identification of trusted users across distinct groups, such as B2B contractors and consumers. Global shared intelligence from the LexisNexis® Digital Identity Network enables the retailer to authenticate every transaction against a trusted and unique online digital identity, checking whether the device, location and behavior of the customer correlates with anonymized information held in the network. The LexisNexis Digital Identity Network harnesses global shared intelligence from millions of daily consumer interactions including logins, payments and new account creations. Using this information, LexisNexis® Risk Solutions creates a unique digital identity for each user by analyzing the myriad connections between devices, locations and anonymized personal information.

• Achieved 4% false positive rate, significantly outperforming expectations set by the retailer.
• Enhanced recognition of trusted customers.
• Enhanced fraud detection.

• Achieved a 4% false positive rate.
• Projected annual fraud prevention value of approximately $19M.
• False positive rate reduced by 25%.