Address Verification Solutions – Providing a Secure Hand to E-Commerce
E-commerce is introducing new technologies to best serve customers. Address verification enables them to guarantee that the right customers receive deliveries.
Customers used a variety of methods to make remote purchases long before e-commerce took control. Through printed catalogs, comic books, and newspapers, customers have been urged to place mail orders. Consumers’ attitudes are shifting as e-commerce enters the fast-expanding world. But for both methods to work, specific address verification is needed to make sure that packages are sent to the right people.
Every sector is developing at a rapid rate in today’s digital environment while encountering significant hurdles on the way to improving the consumer experience. No matter how much progress is made still the failures will be there as good and bad are part of everything. Among them are fraudulent chargebacks, botched deliveries, incorrect addresses, criminal threats, and other problems. This necessitates the e-commerce business to develop stronger procedures for consumer identification. The blog discusses the issues that the e-commerce business faces, as well as how Verification services solve them.
Address Verification Online – Reducing Frauds in E-Commerce Platforms
As technology is increasing and providing unlimited benefits with its reliability and efficiency. But at the same time fraud, people are also trying to make purchases in a fake way and they continue providing the wrong address just to betray you. E-commerce’s unceasing expansion is allowing both customers and retailers access to new markets. E-commerce is likely to grow faster than expected because of its features, such as instant verification, remote purchases, online payments, and direct communication between buyers and sellers. Over $4.9 trillion in sales were made through e-commerce in just 2021. This demonstrates the need for efficient address verification mechanisms in e-commerce to reduce fraud attempts.
The address verification solutions provider then assists companies in extending their offerings to customers around the world. The most crucial factor, however, is that they deliver it to the right address. These companies use proper tools and systems to enhance the security that you need. In any other case, they risk harming their reputation and losing customers. Because customers can be fed up with all such security and might stop using your service. Verification solutions offer e-commerce platforms quick tools for quickly verifying addresses. Below is a list of the main problems that arise from incorrect addresses and how address verification tools can be useful to tackle this situation:
Increase in Shipping Charges
It is anticipated that retail shipping services will increase the costs that online retailers pay for order delivery. An increase in failed deliveries is the cause of this. Two factors fall under this category: dishonest people entering incorrect information on their credit cards or fraudsters using a fake address to submit false chargeback claims. In both situations, the platform must pay expensive shipping fees.
For this reason, e-commerce platforms need reliable address verification services to make sure they are sending packages to the correct addresses. Otherwise, if companies continue to provide shipping at low charges, this will result in a total disaster. As people will continue doing bad things (giving the wrong shipment address) and the situation will get worse for any online shopping platform.
By verifying the customer’s address, Verification solutions enable online businesses to reduce the additional costs associated with shipping. These are the best AI-powered products and services that instantly verify customers. This increases the security of a system and people will trust such customers more that follow proper methods rather than relying on weak security. The system evaluates customer geolocation to validate addresses. As a result, Verification services enable e-commerce platforms to ship orders to the appropriate residential or commercial addresses for the predetermined price.
High Rate of Failed Deliveries In E-commerce
Wrong deliveries are a second serious growing issue facing the e-commerce sector. Every unsuccessful order results in a significant cost to the e-commerce platform, which can total millions of dollars annually. Inaccurate data entry or fraudulent use of real ones to obtain reimbursement are the main causes of failed deliveries. This will harm the reputation of the relevant e-commerce platform in addition to causing financial loss.
Because of this, online businesses need reliable address verification tools to make sure their customers are providing accurate data. As a result, e-commerce platforms can more easily deliver orders to the correct addresses. Due to the systems’ ability to automatically extract data from documents, these solutions reduce the likelihood of discrepancies.
Accelerating Demand for Free Shipping
Customers who shop online are more likely to frequent websites that offer free shipping. As a result, it could be advantageous for digital platforms as well as a potential deal-breaker. E-commerce websites now offer free shipping as a service to their clients. The platform will be responsible for paying the price if the order fails to reach the intended recipients as a result of a wrong address.
Because of this, digital industries must use cutting-edge Verification solutions to speed up the address validation process. This makes using address verification systems easy and safe for customers. Solutions from Verification help businesses cut out-of-pocket costs while enabling free shipping.
Excessive Fees for Address Correction
The fact that e-commerce platforms must pay additional fees for address correction presents another difficult situation. If online retailers do not use effective online address verification tools, they will keep accumulating.
The verification considered these issues and developed a solution that would produce results: a digital IDV. This assists e-commerce platforms in precisely validating customer addresses before releasing the shipments. This will not only save time but also proves to be the most secure process one can ever have. Because with all such validations, how can someone do fraud?
Why ADV is the Best Solution for an E-commerce platform?
Online businesses can guarantee that their customers receive their shipments when they have the correct address for them. If not, they will either be sent to other customers or go missing. This heightens several difficulties, including chargebacks, failed deliveries, and others. E-commerce can therefore improve customer experiences while avoiding potential additional costs. With the power of E-commerce, you wouldn’t even have to think once that whether the order is delivered and its payment is fully done. Because the AI-powered address verification services provide geotagging that analyzes the real-time location of customers in case of card-not-present payments. Ultimately, e-commerce platforms can provide legitimate buyers with a shopping experience with more security and fewer threats.
If you still think that you can face some fraud and anyone can betray you. This can be avoided by identifying fraudulent purchases, retail stores need to validate the addresses of buyers before dispatching any order. For this, the system asks end-users to submit documents including ID cards, passports, driver’s licenses, utility bills, rental agreements, and all other details as supporting evidence for secure shopping. While criminals can obtain CVVs through illicit means, real-time location analysis while verifying an address identify them.
Retail stores need to integrate online address verification solutions to identify purchases made with stolen cards or details. The process involves two types of checks, firstly validating Personally Identifiable Information (PII) such as name, date of birth, and other details. Secondly, analyzing real-time location. Hence, verifying address solutions better helps e-commerce sites to present CNP fraud.