Best Practices for Recurring Digital Goods Transactions

Sydney VaccaroDigital GoodsLeave a Comment

Best Practices for Recurring Digital Goods Transactions

Digital good merchants face more challenges than merchants selling physical goods when it comes to fraud. Especially when you add the recurring billing model on top of digital good sales. So it’s imperative for subscription digital good merchants to be aware of and implement best practices.   To make sure merchants are giving their customer the best transaction experience and preventing disputes, we will go through some of those key guidelines for recurring merchants. There are … Read More

4 Evidence Gathering Tips for Digital Goods Subscription Dispute Responses

Sydney VaccaroDigital GoodsLeave a Comment

4 Evidence Gathering Tips for Digital Goods Subscription Dispute Responses

Subscription billing can be a wonderful way for merchants and customers to experience a frictionless checkout. But there are elements of digital goods and the subscription billing process that puts merchants at a higher risk for disputes. If you’re a merchant who provides digital goods on a recurring billing model, this post is for you. Read on to find out 4 specific pieces of compelling evidence required by the card networks for subscription digital goods disputes … Read More

Types of Fraud in the Digital Goods World

Sydney VaccaroDigital GoodsLeave a Comment

Types of Fraud in the Digital Goods World

Digital good merchants face more challenges than others when it comes to disputes. This is simply because of the nature of digital goods. Digital goods are mostly bought in a card-not-present environment, they are delivered instantly, they are able to be stored and sold conveniently, and other factors that make digital goods a target for malicious fraud and non-malicious fraud alike. We will go over what types of fraud digital good merchants need to be aware … Read More

CNP Losses – A Digital Subscription Perspective

Sydney VaccaroDigital GoodsLeave a Comment

CNP Losses - A Digital Subscription Perspective

When it comes to disputes, digital subscription merchants are faced with more challenges than most. Merchants that sell subscription digital goods have three factors that increase the chance of receiving disputes. We will break down the three main reasons why digital subscription merchants are receiving disputes and what can be done to prevent them. Fraudsters are drawn to digital goods. True fraud is when a fraudster uses a stolen credit card number to make a purchase, … Read More

How Real-time Resolution Helps Digital Subscription Merchants

Sydney VaccaroDigital GoodsLeave a Comment

How Real-time Resolution Helps Digital Subscription Merchants

Digital subscription billing models are amazing. This model allows merchants to have continual transactions without putting the customer through any friction or a checkout process. Everything about that model seems wonderful—until the chargebacks hit. The same frictionless checkout that makes this business model tick is susceptible to customer disputes. But digital merchants can curb losses and stay a step ahead of disputes with Real-time Resolution. We will go over some of the challenges digital subscription merchants … Read More

Dispute Response Templates for Digital Goods Transactions

Sydney VaccaroDigital GoodsLeave a Comment

Dispute Response Templates for Digital Goods Transactions (1)

As we talked about earlier this month, the cost of fraud for digital good merchants is higher than physical good merchants. To help digital merchants, we have created templates specifically for responding to digital good disputes. In this post, we’ll show you some of the main pieces of evidence needed in the dispute response, along with links to downloadable templates. Downloading the template will guide you through what you need to show to disprove the cardholder … Read More

Growing Cost of Fraud For Digital Goods

Sydney VaccaroDigital Goods1 Comment

Growing Cost of Fraud for Digital Goods

The LexisNexis 2018 True Cost of Fraud study surveyed 703 risk and fraud executives at targeted U.S. merchants. The respondents represented all channels, company sizes, industries, and payment methods to fully understand the cost fraud. This report found the overall cost of fraud and the number of fraud attempts is continuing to increase. For digital good merchants, those costs and fraud attempts are even higher than the average. In the True Cost of Fraud study, they … Read More

What Transaction Modifiers Affect Digital Goods?

Alex ForbessChargeback Responses, Digital Goods1 Comment

There’s always a criteria when responding to disputes. The reason code explains what compelling evidence is needed while the issuer checks if merchants properly formatted all of the documents within their  response. Any infringement could put yourself in jeopardy of receiving a chargeback. And that’s not the only requirements you should be aware of. Some reason codes will have what are called transaction modifiers. This is a crucial, underestimated element that  impacts what evidence you should … Read More