Case Study

Protecting High-Risk eCommerce from Sophisticated Fraud

For an eCommerce client, FraudNet reduced fraud, false declines, and saved thousands in fraud losses.

Company Profile

Leading Adult Products Retailer

Founded in 1971, this North Carolina-based company has grown from a mail-order contraceptive business into one of the nation's largest, oldest, and most trusted sources for adult products. Serving millions of customers worldwide, they have built a reputation for honesty, reliability, and quality.

Mid-size retailer with 200-500 employees
Operates in the digital commerce/eCommerce space
Specializes in adult products and wellness items

The Challenge

Combatting Industry-Targeted Fraud Attacks

Operating in the adult products industry meant facing disproportionately high fraud rates. Criminal actors specifically target this niche market, and when the company first sought a solution, they were experiencing over $100,000 per month in fraud losses. Their primary goal was to reduce fraud rates while achieving meaningful monetary decreases in fraud losses to protect their business and maintain customer trust.

The Solution

Custom ML Models with Consortium Intelligence

Fraudnet deployed a comprehensive fraud prevention solution combining custom machine learning models, intelligent rules engines, and proprietary consortium data to create a tailored defense system.

Analytics and Reporting Dashboard

Customizable dashboards provided complete visibility into fraud trends, transaction patterns, and system performance, enabling data-driven decision-making and continuous optimization of fraud prevention strategies.

Real-Time Transaction Monitoring

Advanced rules engines monitored transactions in real-time, leveraging both historical patterns and emerging fraud trends. This comprehensive approach ensured no suspicious activity went undetected while avoiding friction for legitimate customers.

Intelligent Risk Segmentation

The platform categorized transactions into five risk groups—Very High, High, Medium, Low, and Very Low, enabling automated approvals for low-risk transactions while flagging high-risk activities for review, improving operational efficiency.

Custom ML Risk Scoring

FraudNet developed a custom model trained on the client's transaction data and enriched with consortium intelligence. It analyzed email addresses, IPs, physical addresses, and service IDs from similar businesses to identify patterns unique to the company's sector.

Results at a Glance

6-Month Performance

Fraudnet's custom ML solution and consortium-powered intelligence enabled the company to dramatically reduce fraud losses while improving operational efficiency across their eCommerce platform.

65%

decrease in fraud rate.

80%

reduction in false declines.

$60,000

saved per month in fraud losses.

Testimonials

Fraudnet's solution has been transformative for our business. The custom machine learning model understood our unique risk profile in ways generic solutions never could, and the consortium data gave us intelligence we couldn't get anywhere else. We've cut our fraud losses by more than half while actually improving the customer experience.

Head of Risk Management

Why FraudNet

Industry Intelligence with Advanced Technology

Fraudnet's combination of advanced AI technology, consortium data, industry experience, and dedicated customer support offered a comprehensive solution tailored to unique market challenges.

Real-time monitoring with adaptive fraud detection.

Intelligent automation reducing manual review burden.

Collective intelligence from FraudNet data consortium.

Custom ML models trained on industry fraud patterns.

See the FraudNet Difference