Fraud is one of the biggest causes of lost revenue for online retailers. Fraugster and Riskified, two startups that operate in this space, share their insights and methods for safeguarding online retail.

Amazon Prime Day (APD) was a huge success, they say. At an estimate 60 percent increase in sales over 2016 and nearly $2 billion in revenue, it’s hard to argue otherwise.

If you want to talk numbers though, let’s consider this. What would you say if you were told that Amazon could lose nearly 5 percent of that revenue, or $100 million, due to fraud?

That’s a lot of money. And it’s not just Amazon on its Prime Day, it’s every online retailer that is exposed to online fraud every single day.

Retail hallmarks like APD or Christmas make things worse. What can be done to prevent this? Machine learning (ML) to the rescue. ZDNet talked to fraud prevention startups Fraugster and Riskified to get their insights.

Read the full article on ZDNet