{"id":363472,"date":"2025-11-26T11:46:43","date_gmt":"2025-11-26T06:16:43","guid":{"rendered":"https:\/\/www.technologyforyou.org\/?p=363472"},"modified":"2025-11-26T11:46:43","modified_gmt":"2025-11-26T06:16:43","slug":"friendly-fraud-expected-to-increase-by-25-between-thanksgiving-and-cyber-monday-warns-aci-worldwide","status":"publish","type":"post","link":"https:\/\/www.technologyforyou.org\/friendly-fraud-expected-to-increase-by-25-between-thanksgiving-and-cyber-monday-warns-aci-worldwide\/","title":{"rendered":"Friendly Fraud Expected to Increase by 25% Between Thanksgiving and Cyber Monday, Warns ACI Worldwide"},"content":{"rendered":"<p><strong><em>ACI\u2019s Payments Intelligence approach offers merchants complete journey protection\u2014stopping friendly fraud and chargeback abuse in real time<\/em><\/strong><\/p>\n<p><em><strong>ACI expects industry leading fraud approval rate of 98% during holiday season &#8211; outperforming market averages<\/strong><\/em><\/p>\n<p>Friendly fraud\u2019 is expected to increase by 25% between Thanksgiving and Cyber Monday, according to an analysis of billions of transactions of global eCommerce businesses by\u00a0ACI Worldwide, an original innovator in global payments technology.<\/p>\n<p>Friendly fraud\u2019 or \u2018return fraud\u2019 occurs when legitimate customers dispute transactions post-purchase. Often mistaken for true fraud, these disputes are a growing industry challenge and cost retailers $103 billion in 2024 alone, according to a recent\u00a0industry report.<\/p>\n<p>The average transaction value for a \u2018friendly fraud\u2019 item during this year\u2019s holiday season is expected to reach $291, $52 higher than during the same period last year, representing a 21% YoY increase.<\/p>\n<p>\u201cThese numbers are staggering and show just how bold consumers have become,\u201d said <strong>Erika Dietrich, VP Analytics &amp; Optimization Payments Intelligence, ACI Worldwide.<\/strong> \u201cOver the past several years, refund abuse and friendly fraud have surged, driven by frictionless eCommerce and amplified by social media. Platforms spread so-called \u2018refund hacks,\u2019 making misuse appear socially acceptable, while merchants bear the operational and financial burden. Instant refunds, free returns, and omnichannel complexity create loopholes that opportunistic consumers exploit, costing businesses millions.\u201d<\/p>\n<p>Many merchants still rely on traditional methods to tackle friendly fraud, but these often fall short in today\u2019s fast-moving digital landscape. ACI\u2019s Payments Intelligence approach stands apart by offering complete journey protection\u2014stopping friendly fraud and chargeback abuse in real time. This advanced solution combines cutting-edge technology with actionable insights to safeguard every transaction.<\/p>\n<p><b>The platform\u2019s strength lies in five key elements:<\/b><\/p>\n<ul class=\"v1bwlistdisc\">\n<li>Leveraging AI and machine learning for real-time detection and prevention<\/li>\n<li>Using digital identities and profiling to distinguish trusted customers from potential threats<\/li>\n<li>Enabling secure data-sharing across merchant networks to identify bad actors<\/li>\n<li>Enforcing policies against repeat abusers through declined checkouts or fees<\/li>\n<li>Building strong evidence against false claims by reviewing transaction histories and digital identities.<\/li>\n<\/ul>\n<p>\u201cACI\u2019s AI-powered Payments Intelligence helps merchants prevent fraud in real time while achieving an industry-leading approval rate of 98% during the holiday season,\u201d said <strong>Cleber Martins, head of Payments Intelligence at ACI Worldwide.<\/strong> \u201cWe optimize every decision across the entire customer journey, from account creation and checkout to refunds and returns. By balancing risk and revenue at every touchpoint, we enable our customers to achieve higher profitability without sacrificing the customer experience.\u201d<\/p>\n<p><b>Black Friday \u2013 Cyber Monday by the numbers:<\/b><\/p>\n<ul class=\"v1bwlistdisc\">\n<li><b>27%\u00a0<\/b>transactional volume increase YOY\u200b<\/li>\n<li>Average transaction value\u00a0<b>\u200b$131 &#8211; $3 decrease YoY<\/b><\/li>\n<li><b>98%<\/b>\u00a0fraud decision approval rate \u2013 exceeding the average market rate of\u00a0<b>95%<\/b><\/li>\n<li><b>30%<\/b>\u00a0increase in mobile device shopping<\/li>\n<li>Chargebacks:\u00a0<b>0.04%<\/b>\u00a0by number of transactions;\u00a0<b>$148<\/b>\u00a0average transaction value &#8211;\u00a0<b>$54<\/b>\u00a0decrease as actors are shifting to \u2018friendly fraud\u2019 methods<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>ACI\u2019s Payments Intelligence approach offers merchants complete journey protection\u2014stopping friendly fraud and chargeback abuse in real time ACI expects industry leading fraud approval rate of 98% during holiday season &#8211; outperforming market averages Friendly fraud\u2019 is expected to increase by 25% between Thanksgiving and Cyber Monday, according to an analysis of billions of transactions of [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14083],"tags":[],"class_list":{"0":"post-363472","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-technology-industry-news"},"_links":{"self":[{"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/posts\/363472","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/comments?post=363472"}],"version-history":[{"count":1,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/posts\/363472\/revisions"}],"predecessor-version":[{"id":363473,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/posts\/363472\/revisions\/363473"}],"wp:attachment":[{"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/media?parent=363472"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/categories?post=363472"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.technologyforyou.org\/wp-json\/wp\/v2\/tags?post=363472"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}