eTailing India Workshop - Retail Track - eTailing Mumbai on Don Bush Kount

1. Making the Most of a
Fraud System

2. KOUNT CONFIDENTIAL & PROPRIETARY
Who is Kount
Founded in 2007
› Technology dating back to 1998
› Multiple patents
Created by online Merchants for online Merchants
Developed & patented core technology
Safeguard some of the world’s largest:
› Online Merchants
› Payment Service Providers
› Ecommerce Platforms
All-in-one, SaaS-based fraud mitigation platform
A 6-year old company with 15 years of experience

3. KOUNT CONFIDENTIAL & PROPRIETARY
What can Kount do?
Boost Sales, Beat Fraud
Reduce losses due to fraudulent activity, such as;
• Claims Fraud
• ID Card Scams
• Payment Fraud
• Agent / Unlicensed broker scams
• Payment Fraud / New Account Creation
• Account Takeover
Increase visibility into each transaction for better decisions
Provide in-depth marketing / sales business intelligence
Drive down fraud losses, increase visibility into transactions

4. KOUNT CONFIDENTIAL & PROPRIETARY
Goldmine in the Data
Transactions show complete customer interaction
Great deal of customer data to be harvested
Clean data
Actionable data
Are you using your data effectively?

5. KOUNT CONFIDENTIAL & PROPRIETARY
Big Data
Volume of data
• Based on transaction volume, thousands of data
points to be discovered and created
Variety of data
• Customer specifics, device, IP, proxy, location,
language, shopping cart, velocity, login, etc.
Velocity of Data
• Speed of change within data, ecommerce changes
are rapid and dynamic
What is Big Data - Defined

6. KOUNT CONFIDENTIAL & PROPRIETARY
All-in-one Solution
Setting Strategy

10. • Profiling good customers
• Language data
• Time zone
• Location
• Conversion analytics
• Customer segmentation
• Product segmentation
• Understanding performance of campaigns
• Identifying the whales from amongst the little fish
• Removing sharks from data stream that distort sales information
• Payment type
• Shopping cart
Use Cases

11. Case Study -

12. Case Study -
The Situation
Regular target for fraudsters
February 2013, chargebacks spike to 10%
High fines & losses reaching $145,000 a month
Slow international growth over 5 years
Removed e-card product from product offering
Updated internal processes did not slow fraudsters
“Even with new fraud
prevention processes in
place, fraud attacks
continued, spiking in
February of 2013,
causing us to suspend
e-card sales”

13. Case Study -
The Solution
Researched several fraud mitigation products
Kount invented Device ID
Positive feedback online
Spoke with Jagex to see how they liked the system
Custom integration for specific business goals
Launched in ‘dark mode’ before going live
“We had tremendous
support from Kount’s
technical team. We
launched in ‘dark mode’
to test the integration
before we went live one
week later”

14. Case Study -
The Outcome
Reduced chargebacks by 98% (currently 0.1% – 0.2%)
Eliminated fines and fees
Re-introduced e-cards
E-card sales now contribute $10 million USD annually
Expanded into 40 additional countries in 7 months
Increased acceptance of payments from users
“From day-one we were
able to confidently
launch e-cards and
added more than 40
countries in just over
seven months.”

15. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards
Dashboards – Early Warning / Compliance

16. KOUNT CONFIDENTIAL & PROPRIETARY
Dashboards – Big Data / BI / Reporting
Reporting & Dashboards

17. KOUNT CONFIDENTIAL & PROPRIETARY
Dashboards – Big Data / BI / Reporting
Reporting & Dashboards

18. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

19. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

20. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

21. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

22. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

23. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

24. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

25. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

26. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

27. KOUNT CONFIDENTIAL & PROPRIETARY
Reporting & Dashboards

28. KOUNT CONFIDENTIAL & PROPRIETARY
Summary
Segments they belong to
Categories they purchase from
Channels they are most responsive
Device they prefer to use
Member of loyalty program
Average purchase size
Creating Customer Personas

29. KOUNT CONFIDENTIAL & PROPRIETARY
Summary
Gold is in the data

30. KOUNT CONFIDENTIAL & PROPRIETARY
Questions?