Mercator Launches Fraud, Risk and Analytics Advisory Service

Mercator Advisory Group, an independent research and advisory services firm focused exclusively on the payments and banking industries, has launched the Fraud, Risk and Analytics (FRA) Advisory Service.

Data’s growing availability and abundance are shifting how risk managers and marketing leaders make technology choices, evaluate opportunities and design programmes. As data sources increase, the potential of data analytics to minimise fraud and risk expenses offers improved cost control in cost-sensitive areas such as debit card issuing and e-commerce retail.

The effectiveness of the analytics, however, is dependent on myriad technical and soft factors such as database technology, process integration, regulatory and industry compliance and shifting behaviour patterns among fraudsters and legitimate customers. The need to critically evaluate such factors within a rapidly evolving environment led Mercator Advisory Group to develop the new FRA Advisory Service.

The FRA Advisory Service will focus on the use of analytics in controlling fraud risk in various payments products lines, uncovering new opportunities, monitoring developments that impact growth, and highlighting regulatory and technological imperatives affecting all stakeholders.

“Financial reputation based on credit scores is merging with the reputation of online identities and social data to develop fine grained risk management,” said George Peabody, director of the FRA Advisory Service. “That intersection raises the operational, policy, and privacy issues that are a major focus for Mercator’s new advisory service.”


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