MRC Launches Cost of Fraud Calculator

BOSTON, September 14, 2015 /PRNewswire/ --

The Merchant Risk Council (MRC), the principal not-for-profit, global forum for ecommerce fraud and payments professionals, and Riskified, a venture-backed fraud prevention solution provider for eCommerce merchants, announced today the launch of The Cost of Fraud Calculator.

The calculator, built collaboratively by Riskified and the MRC, is designed to help online merchants better understand the true financial impact of fraud for their business. The interactive tool helps illustrate the business case for investing in fraud operations in a manner that payment and risk professionals can share with senior executives and better communicate the net impact of risk management.

"The Cost of Fraud Calculator is a tool this industry has desperately needed for years. This is a game changer for any fraud department," says Markus Bergthaler, MRC Global Director of Programs and Marketing.

Unfortunately, those tasked with preventing CNP fraud often lack the required resources to achieve optimal performance. In fact, the majority of merchants surveyed in the MRC's 2015 Global Fraud Survey cited 'lack of sufficient internal resources' as one of the top three eCommerce fraud challenges they faced in the past year.

In addition, there is a chasm between merchants' perception of their order decision accuracy and reality. While 65% of merchants surveyed in the MRC's 2015 Global Fraud Survey believe that less than 5% of the transactions they declined due to fear of fraud were valid, Riskified's data shows that in fact, 40-70% of orders typically declined by merchants are legitimate and should have been approved.

"Time and again, when speaking with fraud and payments professionals, we hear that they lack the resources to optimize fraud management. A major issue is that it's incredibly challenging to "sell" the idea of investing more funds and resources in fraud management internally to executives within their organization," says Eido Gal, CEO & cofounder at Riskified. "The Cost of Fraud Calculator provides a clear picture of the business impact of fraud operations."

The Cost of Fraud Calculator is currently available to all online retailers and eCommerce merchants via the Merchant Risk Council website (http://www.merchantriskcouncil.org ), and can be used free of charge.

To try the calculator, please visit: calculator.riskified.com/login?cof=true&mrc=true

About The Merchant Risk Council 

The MRC is a global forum providing a platform for eCommerce fraud and payments professionals to come together and share information. As a not-for-profit entity, the MRC's vision is to make commerce safe and profitable everywhere by offering proprietary education, training and networking as well as a forum for timely and relevant discussions. The MRC was launched in 2000 at the start of the eCommerce boom by a small group of industry professionals from leading consumer brands, with the ultimate goal of combating online fraud in the card not present space. Since its inception, the MRC has also added online payments to its portfolio, expanding its presence further into eCommerce.

About Riskified 

Riskified ( http://www.riskified.com) is a leading eCommerce fraud management solution trusted by hundreds of brands across the world. Headquartered in Tel Aviv with offices in the US, Riskified utilizes machine learning models, behavioral analytics, device fingerprinting and other fraud detection methodologies to accurately analyze and approve eCommerce orders. Thanks to the exceptional accuracy of its fraud review process, Riskified can identify and prevent fraud while ensuring good customers are not turned away. With full chargeback insurance on approved orders and a pay-for-performance model, Riskified is an economical and effective solution that helps merchants fight fraud and improve their top- and bottom-line sales.

Contact:
Andy Freedman
Tel: (+1)-617-290-8179
[email protected]

SOURCE Riskified