June 07, 2017
Don't treat your customers like criminals: Understanding Behaviour with Machine Learning
Luke Reynolds writes for n>genuity, TSYS' Industry Insights Journal
Featurespace's Chief Product Officer, Luke Reynolds, explores how businesses can reduce fraud risk particularly with the likes of CNP fraud on the rise, without blocking genuine customers' activity? The payments industry is also facing new types of fraud, with the introduction of chip-enabled cards in the US, leading card-not-present fraud to rise in 2016.
By using machine learning technology, like the ARIC platform, to understand each customer's individual behaviour in real-time, companies can reduce the number of genuine customers prevented from transacting. At the same time, they can increase the amount of fraud detected, including even new and unknown types. People, like businesses, change over time — and their income, lifestyle and spending habits evolve, so it's important that fraud management systems evolve too.
Watch the interview with Luke Reynolds and the full article on the n>genuity website.