Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
Your 2026 D2C Calendar mapped day by day - Powered by real data from India’s biggest D2C shopping network
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Online Fraud Detection By GoKwik: Safeguarding Your eCommerce Brand’s Bottom Line
03 Mar 2024
04 Min Read
Atul leads marketing at GoKwik, championing D2C brand building, growth strategies, scalable GTM for e-commerce, and data-driven customer acquisition. A former Amazon leader and IIFT MBA alumnus based in Bengaluru, he brings 15+ years scaling business across e-commerce, and fintech.
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In recent times, eCommerce brands have been witnessing an alarming surge in fake orders being placed by fraudulent people and bots on their websites. Such people employ various malicious tactics, like using the same phone number for multiple orders, adding fictitious addresses or gibberish details to place deceptive orders. To combat this rising concern, GoKwik, through its network intelligence, has proven to be a robust and reliable solution for online fraud detection and prevent a significant chunk of these fraudulent activities across many eCommerce sites.
Online Fraud Detection: Gibberish Addresses and Invalid Data
Filing in gibberish details along with selecting cash on delivery as a payment option is one of the most common forms of deception. To tackle this concern, GoKwik, through its RTO intelligence suite has designed a special mechanism that quickly detects gibberish addresses.
This involves identifying orders with,
- Invalid pincodes
- Incomplete or meaningless addresses
- Address lengths that are less than 20 characters.
This activity helps weed out high-risk orders that showcase suspicious patterns in shopper data and contact information, including scenarios where shoppers are unaware of orders being placed using their phone numbers.
Online Fraud Detection: Leveraging Machine Learning
Machine learning algorithms serve as the cornerstone of GoKwik’s success in successful online fraud detection. Through this advanced tech, GoKwik has set a series of predefined rules which help scrutinise multiple identifiers associated with an order.
These identifiers include past fraud orders linked to a shopper’s email address, phone number, billing or shipping address, and even IP address.
The algorithm smartly analyses a shopper's order history and looks for elements like failed transactions, especially if they were cash on delivery orders. It also checks and validates the likelihood of repeat orders, considering the shopper’s historical shopping data and the context of their current order.
Enhancing Security Measures For An Anti-Fraud Checkout Experience
GoKwik has rolled out a series of online fraud detection measures to strengthen its anti-fraud checkout experience. These primarily include detecting,
- Phone numbers placing unusually high number of COD orders
- Gibberish names and email addresses based on a shopper’s historical purchase data,
- Fraudulent orders being placed from common IP addresses and pincode clusters.
By strictly enabling these measures, GoKwik aims to empower merchants to stay one step ahead of fraudsters and safeguard their bottomline in every manner possible.
Online Fraud Detection: Quantifying The Impact & Precision
Owing to the ever increasing number of fraud orders being placed on eCommerce websites today, the magnitude of this epidemic must not be underestimated. According to GoKwik’s internal data, 1400 plus brands across the Indian eCommerce landscape have witnessed these issues. Over a week, about 2-10% of total orders were identified as fake orders, reaching as high as 15-20% for some eCommerce brands.
Here, GoKwik, through its intelligent online fraud detection model, has been able to accurately detect an impressive 90% of fake orders till date, saving its partner merchants lakhs of rupees. Furthermore, the model has also identified customers with high order velocity and detected gibberish addresses and names, indicating GoKwik's ability to catch over 80% of attempted fraudulent orders.
Implementing Medium To High-Degree Interventions
GoKwik is not only helping its partner eCommerce merchants effectively and efficiently identify fraudulent activities on their websites but is also actively suggesting interventions to mitigate the risk further down.
One such measure involves enabling OTP verification for COD orders. A GoKwik exclusive intervention, it helps weed out shoppers with low buying intent and impulsive buyings. This intervention has successfully helped many eCommerce brands eliminate as high as 95% of fraud orders.
To give you an example, a leading sports destination was experiencing over 200 API hits with gibberish addresses from a single customer. GoKwik, through its online fraud detection model, helped the brand quickly identify these orders and block the customer from placing more fake orders.
Wrapping It Up!
As the eCommerce landscape continues to evolve, so will these fraudulent tactics. GoKwik, through its network intelligence, acts as a security guard. It employs advanced algorithms and proactive measures to safeguard eCommerce brands from facing such malicious activities. With a commitment to constantly learn and evolve, GoKwik, through its online fraud detection techniques, strives to build and enhance its technology so that eCommerce brands can run their business without any worry, and clock in high revenues.
AUTHOR
Atul Bansal
Head of Marketing
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