Page 27 - Cyber Defense eMagazine March 2024

To effectively counter fraud, businesses need to gain a deep understanding of their trusted customers.
This empowers organizations to enhance the digital experience for legitimate customers while focusing
their efforts on scrutinizing other activities to spot potential attacks. Achieving this goal entails augmenting
fraud intelligence by developing a comprehensive perspective of each customer's journey and fostering
collaboration and information exchange with other entities.

360-Degree View of Your Digital Customer Base

A 360-degree view requires gaining a comprehensive and holistic understanding of customers by
incorporating risk insights from various touchpoints throughout their digital interactions with a business.
The objective is to seamlessly integrate and analyze seemingly disparate information from diverse
sources to construct a unified customer profile. This includes information gathered from websites, mobile
apps, social media, email communications, customer support interactions, online purchases and other
digital channels.

As an illustration, financial institutions often draw a distinction between digital banking risk and Card-Not-
Present (CNP) transaction risk assessments, even though there is no inherent necessity for this
differentiation.

According to findings from the LexisNexis Risk Solutions Cybercrime Report, an average of 82% of
consumers who engage in online shopping with their credit cards are also active users of online banking
services provided by the same bank. This presents an opportunity to share digital identity intelligence
seamlessly across channels, fostering trust and preventing more intricate forms of fraud.

Consequently, this approach enables a comprehensive understanding of each customer's interactions,
preferences and behaviors, irrespective of the channel they choose.

Ensuring precision in the digital intelligence gathered from these diverse channels is paramount. This
involves seamless integration of information collected from each touchpoint rather than
compartmentalizing it within disparate systems. In the realm of ecommerce, this also entails leveraging
the same digital intelligence for risk assessments across digital channels and extending its use to physical
stores where customers can access digital payment methods via an app.

The real-time amalgamation of offline and online insights can prove instrumental in identifying potential
attacks during their nascent stages, enabling swift responses. Furthermore, organizations should
transition from single, point-in-time risk assessments to developing risk profiles that encompass all three
pivotal stages of a customer's lifecycle, including new account creations, logins and payments.

Crafting a comprehensive customer profile serves as a deterrent to fraudsters seeking to exploit
vulnerabilities through multi-channel attacks. For example, delivering a real-time, in-app message to the
end-user or customer can confirm an unusual payment, verify that no coercion is involved and facilitate
a final sanity check to thwart attacks. By maintaining a holistic perspective on customer interactions,
businesses gain the ability to detect potentially fraudulent behavior in its infancy at every juncture of the
customer's journey.

Cyber Defense eMagazine – March 2024 Edition 27
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