Fraud-prevention technology company Riskified rolled out the newest iteration of Deco, which is a live technology for recouping orders lost to card-not-present (CNP) payment authorization failures, according to a Tuesday (May 4) announcement emailed to PYMNTS.
“Payment authorization failures are a significant, often hidden, source of revenue loss for eCommerce merchants,” Riskified CEO Eido Gal said in the announcement. “Deco enables merchants to address payment authorization failures in an automated fashion. We believe that Deco represents a key step forward for merchants looking to address the challenge of payment authorization failures.”
Once a payment failure occurs, qualified customers immediately get a pop-up that requests that they input their credit card details again with Deco. The technology then harnesses Riskified’s artificial intelligence (AI)-fueled decisioning system and the scope of its merchant network to determine the legitimacy of the customer behind the transaction. After the shopper is confirmed as legitimate in real time, the transaction is “intelligently submitted” for payment authorization to bolster the overall approval for the retailer, according to the announcement.
Riskified built-out Deco with design partners such as The Level Group, which develops and controls digital experiences for fashion, design and high-end brands.
“High authorization failure rates are a common pain point in cross-border sales, especially for non-U.S. merchants that have growing U.S. sales volumes,” The Level Group CEO and Co-founder Andrea Ciccoli said in the announcement. “It’s an even bigger pain point for brands with high average order values, and Riskified allowed us to recover significant amounts of revenue that would otherwise have been needlessly declined while also gaining a cohort of loyal, repeat customers.”
Deco is presently available from Riskified for U.S. retailers and retailers outside the U.S. that have a sizable amount of U.S.-based sales.
As PYMNTS previously reported, eCommerce has been on the rise for the better part of three decades, but it got a huge boost from the pandemic as safety measures dramatically reduced physical store retail traffic and made consumers shop through the web.