Why SMS Verification?

A majority of internet fraudsters use bots, or programmed scripts, to make illegitimate purchases from eCommerce merchants. These fraudulent transactions are expensive and time consuming for merchants. One way to reduce the amount of fraudulent purchases, is to introduce a friction step in the process when an order is suspect. SMS verification is a valuable tool to combat fraudsters using friction.

What Does SMS Verification Do?

SMS verification requires a customer to confirm an order with a secret code sent by text message to approve the suspect order. A majority of fraudsters will be halted by the introduction of any level of friction in the purchase process, because they are looking for passive victims. However, even fewer fraudsters will be willing or able to send a text message for approval, because this requires a mobile number and completing a number of steps. If NS8 notices a specific phone number is used often for verification it will also block that phone number from future requests.

By introducing friction to the process of making fraudulent purchases, SMS verification greatly reduces the chances of approving fraudulent orders.

How Does SMS Verification Work?

When an order is flagged for SMS verification an email is sent to the address on the order, from verify @ approveyourorder.com, requesting verification. These orders will be flagged by either turning on the SMS Verification for Suspicious Orders setting or creating an Order Rule. While awaiting SMS verification, the order will be given an NS8 status of Investigate.

When the user receives this email they will be provided two links. The first link will prompt them to click and confirm the order, the second will prompt them to click if they did not place the order.

Confirming an Order

When a customer clicks on the link to confirm an order, they will be directed to a screen to enter a mobile number framed inside your website, like the sample below.

After they enter a mobile number, the screen to enter the confirmation code will be loaded.

Upon successful entry of the confirmation code the user will be given a confirmation screen.

Within NS8 Protect™ (formerly Complete Storefront Protection), the order will show an NS8 Status of Approved and the SMS Check field will show Passed and the SMS Check Number will show the phone number used to verify. It is important to note that the EQ8 Score for the order will not be changed by SMS verification.

Mistyped Confirmation Code 

If a user mistypes the confirmation code they will be given an error message, they can then use the back button in their browser to return to the entry screen and try again.

Denial of an Order

When a customer clicks on the link to deny an order they will be directed to a web page to reject the order, framed inside your website. 

If they click on the I did not place this order button, they will be given a message letting them know the order has been cancelled and the merchant notified.

The order will now show an NS8 Status of Cancel and the SMS Check field as Rejected. The order will not be cancelled until you click Cancel on the order or it is cancelled by an Order Rule. Please note, not every eCommerce platform will allow automated cancellation of an order. The Order Details section of the Suspicious Order screen will also indicate that order was rejected by the EQ8 Score as shown below.

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