Building guardrails for online commerce and transaction processing
India, a land of a billion plus people is witnessing one of the fastest internet users’ growth in the world. By the end of 2021, India’s active internet user base is expected to reach 650 million which will be more than the entire population of G6 countries. Add to that, the fact that we are on course to becoming the third-largest consumer economy in the world by 2025 with consumption expenditure projected to reach $ 4 trillion. [1]
Online payment fraud, whilst acknowledged, needs laser sharp focus from e-commerce businesses. According to Juniper research, Online sellers will lose $130 billion to online payment fraud between 2018 and 2023 and cost global businesses 1.8% of their revenue. The extra costs of fraud for businesses include chargeback fees, merchandise distribution, fraud investigation, legal prosecution and software security. Even in India, online fraud continues to be a major worry. In fact, cyber criminals managed to steal INR 1.2 trillion from Indians in 2019 as per a NortonLifeLock survey finding.[2]
Any untoward incident with respect to data security could maim the reputation of a brand overnight. As more and more new customers, especially first-time users adopt online payments, brands need to be more conscious of creating consumer awareness.
Remember: There are no second chances when it comes to winning the trust of your customers.
With majority customers storing card and VPA (Virtual Payment Account under UPI) details online, a robust online payment processor is much needed to ensure adequate levels of data encryption and prevention of identity fraud which is the most common type of online fraud. For the average fraudster, buying card details on the dark web is the easiest and fastest way to get card information. The Breach Level Index reported over 14 billion data records that have been leaked since 2013.
Thus at Pine Labs, we have robust guardrails in place to ensure secure processing of our online and offline transactions. The trust of over 150,000 merchant partners that we have received over the two decades of us leading the offline payments space is a testament to our capabilities. We have brought in our Hardware Security Module (HSM) built on PCI-DSS compliant environment to the online payments world too. Our refined rules engine, with information across consumers’ online and offline payments and continued investments in identifying and managing new fraud scenarios, make sure that your business and more importantly your payments processing remains safe.
For merchants, it pays to invest in fraud detection and prevention to minimize the risk of chargebacks. Payment providers with fraud detection services can offer online merchants security and the reduced risk of losses.
We understand what it takes to build robust processes, execute faster, and leave no room for any unauthorized transactions. Your online credibility matters to us and with our payments processing platform you can deliver to your customers a highly secure and scalable checkout experience.
Online shopping has become a way of life for customers in India. The power of ordering products, big or small, in just a few clicks and taps has India’s rising and aspirational middle class all ready to adopt. Businesses online or about to go online have an opportunity here to impact their bottom line and reach newer markets, get more customers in a cost-effective manner.
Integrating a robust and dependable payment processor is an important consideration, one that will keep your brand reputation intact in an otherwise vulnerable online world.
(The author of this article is Tanya Naik, Head — Online and Omnichannel Business, Pine Labs)
[1] https://www.investindia.gov.in/sector/retail-e-commerce
[2] https://economictimes.indiatimes.com/wealth/personal-finance-news/cyber-criminals-stole-rs-1-2-trillion-from-indians-in-2019-survey/articleshow/75093578.cms
