Who doesn’t love an arsenal of information at their fingertips? Over the years, Connexions Loyalty has generated a plethora of information – everything from understanding consumers’ preferences to helping brands combat the growing threat of loyalty fraud.
We all make mistakes, and while most people believe that everyone deserves a second chance, brands often find that a single foul-up can result in the loss of a customer. So how can your organization fight that response? In our latest survey, we set out to answer that question, and, in particular, the role compensation plays in customer recovery.
An international travel industry leader serving 180 million customers annually in more than 300 locations, the company’s annual revenues top $40 billion, making it the largest player in the industry by both asset value and market capitalization.
Our loyalty fraud team recently partnered with Dark Web expert and Director of Security Research Jason B. Lancaster at SpyCloud to take a deeper dive into the Dark Web. As part of our loyalty fraud prevention series, this blog post will cover: the Dark Web Market, how fraudsters are selling rewards points and miles on the Dark Web, and what happens to member data after a breach has occurred.
It’s no secret that fraud is prevalent on the internet, from phishing scams to loyalty account takeovers. But what happens after a fraudulent loyalty account takeover? To start, hackers often take to the Dark Web, the often seedy underbelly of the internet where they can auction off stolen loyalty account logins, points and miles, even merchandise that they’ve fraudulently redeemed.
How much could a single instance of rewards program fraud cost your brand? The hard costs (replacing stolen points and miles) may be clear, but the hidden costs (negative word of mouth, lost customers) may be harder to calculate.
A Fortune 500 community bank nearing its 150-year anniversary has hundreds of billions of dollars in assets and operates thousands of financial centers across several states.
Fraudsters are focused on loyalty accounts for two primary reasons: rewards accounts are a high-value item (worth $48 billion in the U.S. alone), and most rewards accounts have a relatively low security threshold, making them an easier target than traditional bank accounts.
Airlines with frequent flier programs are focused on customers and profits. Profitability can come from a variety of revenue streams: better margins, higher attachment rates or more redemption options that incentivize members to earn and burn points.