Covid-19 has changed the marketing world and opened new opportunities for multiple firms. Along with generating profitable revenues, companies are falling prey to the attack of fraudsters more frequently. Online businesses are getting affected due to a significant spike in chargebacks and returned shipments. Products were getting delivered at the wrong doorstep or at places where those particular individuals are not residing anymore. Due to these prevalent issues, digital retailers are looking to enforce robust verification solutions for onboarding their clients safely.
For uplifting a brand’s reputation, address verification can play an integral role. While extracting details about the address will help firms to protect themselves from misplaced deliveries causing financial loss. Thus, it is feasible for companies to establish an address verification service. It provides them with an ultimate way of distinguishing bad actors before any suspicious activity is carried out. When businesses avoid implying an address verification solution, they would be more prone to the attack of fraudsters.
Demonstrating the Workflow of Verifying Address Digitally
Address verification services are liable to validate addresses of the individuals before they are provided with access to run digital transactions. Multiple online enterprises are utilizing address authenticating systems as a threat management tool. It helps in assessing the risks of fraud and in enrolling legitimate entities. Verifying an address of an individual digitally is easy and effective for deterring chargebacks and misconducted deliveries. The following procedure is used to verify address of a customer:
Recognizing the Facial Aspect
The client has to place their face in front of the smartphone camera or webcam so that the system maps out facial details. By using live detection technology, the facial expressions of a user are also detected. The face imprints of an individual are cross-matched with the picture on the individual’s official document submitted for verification.
Submitting Secondary Documents as Proof
Additionally, the clients are required to provide a secondary document consisting of data about their residential or business address. It may be a utility bill, water or electricity bill, or any government-issued document.
Dispatching the Verification Results
Using the OCR extraction tool, necessary details are extracted and compared to determine any errors. Moreover, the document undergoes various authentication checks as well. Verification results are displayed in front of the client and are stored in the back office using an API call.
Necessary Document Checks used for Verifying Addresses
It is mandatory for businesses to validate addresses and determine that the necessary document checks are performed. This will help to detect fraudsters at the initial beginning of the process before any harmful activities happen. ID documents are verified by undergoing stringent authentication checks which are listed below:
- The full name of the customer should be mentioned without any mistakes.
- Analyze any signs of alterations or modifications used in the document.
- A precise format should be used according to the established standards.
- The identity picture on the documents and the selfie submitted by the user should not be blurred. In addition to this, a clear image will be acceptable as compared to an image containing dark spots.
- The documents should not consist of any crumbled edges otherwise they will be unacceptable.
Key Benefits of Implying an Address Verification System
Combating Fraudulent Activities
With the surge in suspicious activities in the e-commerce sector, it has become crucial to find adequate solutions for keeping scammers at bay. Products are getting misplaced while delivering them and it is causing problems for the businesses. Not only additional costs are required for sending back the parcel to the legitimate owner, but also it ultimately delays for customers to receive their product. This disrupts their interests in the company. Startups or small-scale firms cannot afford to lose customers or any monetary loss. Therefore, it is vital for them to execute services that will address verify the client accurately. It will also help in preventing fraudulent activities occurred during the e-shopping experience.
Regulatory Compliance and Enhancing Customer Experience
Online businesses should comply with the regulatory measures to avoid any hefty penalties. This will allow them to run their financial operations smoothly without facing any trouble. Moreover, a trusted company, in compliance with the regulatory laws, will create a positive impact on its customer’s minds. The more the customers feel secure with the company, the more they will stay loyal to the firm for a longer time.
Wrapping it Up
Online frauds in the marketing sector are increasing exponentially at an alarming rate. Chargeback hoaxes, misplace deliveries and many more prevalent frauds are taking over the world. Adequate measures are required to deter them effectively. Online address verification can help companies combat these crimes and deduce them accordingly. They are essential as it empowers online retailers and businesses to validate the customer’s address information before they are onboarded.
