According to McKinsey, big data and advanced analytics will affect almost every part of the global economy, especially financial services. They estimate that payment providers stand to increase revenue from existing customers by 10 to 15% through upselling, cross-selling and better checkout experiences.
Online payment processing is no different, as AI solutions deliver value at various stages in the payment value chain – from increased approval rates to enhanced fraud detection and checkout experiences.
When last did you evaluate your checkout processes? If your approval rate is below 90%, it’s time to act. Think of this scenario. A customer is ready to check out. He initiates the transaction by submitting his credit card details. It’s declined!
When the credit card issuer declines this legitimate transaction, it’s called a false decline. It’s one of the most costly ecommerce mistakes. At this point, a customer is more likely to abandon his cart and buy from a competitor.
How can AI help you reduce cart abandonment?
Although ecommerce merchants often use advanced analytics in determining churn rates and lifetime values, AI algorithms can identify and flag true anomalies. It replaces the rule-based system with a more elegant, robust solution.
You need to ask yourself why so many transactions are failing. Truevo payments can help you gain insight into the reasons. Our online portal enable merchants to keep track of transactions, perform refunds, compare your month-to-month transaction history and allows simple reconciliation.
Improve fraud detection and authentication to enhance the shopping experience
Information security and data privacy are the most integral elements of any online payment system. Authentication plays a vital role in both. Truevo’s SCA (Strong Customer Authentication) makes online and offline payments more secure. It also reduces incidents of fraud across electronic payments.
Enhancing your site’s shopping experience whilst keeping it secure can be a balancing act. As we mentioned above, some of the more conservative security systems end up blocking genuine transactions. Nothing breaks a merchant’s heart like doing all the hard work to lead a customer down the customer journey, only to fall at the last hurdle when they are ready to convert their interest into a payment.
If you choose a payment provider with a sophisticated approach to security, like Truevo, you can rest assured that we process transactions seamlessly without compromising payment security. By using AI to monitor online transactions, we reduce the risk of potential losses due to fraudulent activities while providing customers with a secure payment experience.
We also use the latest in authentication technology, like biometrics and multi-factor authentication. By leveraging machine learning, companies can quickly identify fraudulent transactions and take preventative action to stop them from occurring.
Use data analytics to report and track your payment processing
Finally, AI and data analytics have transformed tracking payment processing trends. A payment solution that’s worth its salt delivers reports and dashboards showing payment data across different stages of payment flows. Merchants can draw various reports on the Truevo portal through our Reporting API. They include – transaction report data, refund and chargeback reports, consumer payout and subscription transaction reports.
Reports track sales and help you compare month-to-month transaction history to see consumer and buying trends. Effective reporting helps you plan for spikes like Black Friday, Cyber Monday and festive seasons.
Data analytics, AI and machine learning are here to stay. It will become part of every aspect of the digital experience, including payments and online shopping. Its endless capacity to learn, adapt, and process volumes of data much faster than before will ensure AI plays a decisive role in securing digital transactions and optimising payments. Its impact will touch every aspect of the payments value chain, improving transaction speeds, online security and payment processing. Leveraged correctly, AI can transform how you run your business and how your customers experience it.
Why don’t you speak to Truevo about effortless payment processing? We make money flow so your business can grow. Switch to a payment provider that delivers simple, secure online payment processing that works.