What OTAs need to know about travel payment fraud
A new research report carried out by Edgar, Dunn and Company identifies a dozen best practices for OTAs and other intermediaries to implement as part of their strategy to minimise their exposure to payment fraud, including a look at how to make payments to suppliers more secure.
All ecommerce verticals have attracted the attention of fraudsters. The nature of travel commerce compounds the prevalence for consumer-to-business payment fraud, while the important role of intermediaries in the value chain adds B2B to the industry’s risk profile.
Benefits to travel intermediaries from controlling payment fraud include financial benefits, such as lower direct losses and lower indirect costs from fraud, and can include broader based benefits from keeping legitimate customers happy and protected.
Intermediaries includes OTAs, offline travel agents, consolidators and aggregators.