Every time someone makes a payment, there’s an algorithm that runs in real time to detect whether it is fraud or not. The exponential growth of online transactions created a risk for traditional fraud detection methods, which were becoming insufficient. Nexi, Europe’s leading PayTech company, therefore sought a solution that could enhance fraud prevention capabilities while ensuring seamless transaction experiences for customers.
The challenge:
The solution:
In collaboration with KPMG, Nexi deployed an innovative AI-powered payment fraud prevention solution. Leveraging advanced machine learning algorithms and data analytics, the solution analyses vast amounts of transaction data in real-time to identify fraudulent patterns and anomalies.
Instead of being a rule-based algorithm, the new solution now identifies transactions based on how much they deviate from the norm. The implementation involved integrating AI algorithms into Nexi’s existing payment infrastructure, enabling proactive fraud detection and prevention at every stage of the transaction lifecycle. KPMG provided expertise in AI technology and tailored the solution to meet Nexi's specific requirements, ensuring optimal performance and reliability
The results:
The AI-powered solution delivered remarkable results for Nexi:
- Significantly reduced instances of payment fraud by 40%, safeguarding both Nexi and its customers from financial losses.
- Enhanced operational efficiency by automating fraud detection processes, reducing manual intervention and associated costs.
- Improved customer trust and satisfaction by minimising disruptions to legitimate transactions and maintaining a seamless payment experience.
- Positioned Nexi as an industry leader in combating payment fraud, strengthening its competitive edge and reputation in the market.
By harnessing the power of artificial intelligence and machine learning, Nexi and KPMG successfully transformed payment fraud prevention, demonstrating the effectiveness of cutting-edge technology in addressing evolving cybersecurity challenges. The collaborative effort not only fortified Nexi' defenses against fraud but also underscored the importance of strategic partnerships in driving innovation and business resilience in an increasingly digital world.
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