based in the United States Elavon announced its Transaction Risk Analytics solution which aims to improve transaction approvals and reduce fraud at large retailers.
Transaction risk analysis comes with Strong Customer Authentication (SCA) exemption for low risk transactions up to EUR 500 across Europe, double the SCA exemption limit typical according to the company’s press release.
According to the same source, typical SCA exemptions in the payments industry range between EUR 100 and EUR 250. In addition, the average transaction value in the airline sector is around EUR 170, and between EUR 30 and EUR 50 for large retailers.
SCA was designed to make e-commerce safer in the European Economic Area. In some cases, this extra layer of protection can lead to cart abandonment and lower customer satisfaction. Through transaction risk analytics, Elavon aims to ensure a frictionless payment experience for consumers while preventing fraud using real-time risk analytics and scoring.
By improving transaction approval rates, TRA aims to reduce cart abandonment and increase merchant revenue while improving customer user experience. The solution has the most impact on entities that process high volumes of low value transactions, such as large retailers and airlines.
Speaking of large retailers, official Puma representatives said in the company’s press release that Elavon’s solution brings an innovative technical approach to cover the drawbacks of PSD2 regulations.
According to the same source, TRA has helped the German brand keep its authorization rates at high levels and ensured that transactions are processed in a PSD2 compliant manner while reducing friction for payments that have been validated as being secure.
Other Elavon Developments
In December 2021, Elavon partnered with integrated finance solutions company Liberis to offer financing to small and medium businesses in the UK. Through this partnership, Elavon’s SMB customers were able to apply for a trade cash advance from Liberis for customized financing based on their projected sales.
Funding decisions could be made within 24 hours from 2,500 GBP up to 300,000 GBP. Funding could be repaid at a pre-agreed rate and percentage of their monthly card transactions. According to research from Elavon and Opayo for July 2021, 72% of UK small businesses saw their overall revenue increase, up from just 46% in April 2021. Despite this progress, many SMEs have struggled to secure the financing they need. needed to develop.