ModDeals & 10DollarMall Case Study
Client Overview
ModDeals, a subsidiary of ModMerica, is an apparel company that caters to the
fashion and budget-conscious shopper. With more than 12 years of in-store retail
experience operating 15 stores, ModDeals.com represents their venture into the
e-commerce space. Since their launch, their online sales have dramatically
increased.
10DollarMall, another subsidiary of ModMerica, is an online apparel website that
also appeals to consumers who have contemporary style but limited budget.
10DollarMall sells overstocked and discontinued items that it procures from other
well-known retailers. Low markup allows 10DollarMall customers to enjoy high-value
products at affordable prices.
Challenges
Both ModDeals and 10DollarMall saw rapid growth within a short period of time. To prevent chargebacks and handle high-risk online transactions, both e-tailers turned to fraud detection filters to identify potentially fraudulent orders. As these are rather simplistic tools, thousands orders were declined without truly verifying that they were, in fact, fraudulent. ModDeals and 10DollarMall did not want fear of risk to inhibit their growth, so they looked for a time-saving solution that could handle their rapid expansion, without compromising on the quality of the review process.
Objectives
Both ModDeals and 10DollarMall wanted a solution that would support growth and expansion and reduce the amount of time their customer support team was spending reviewing orders and responding to angry customers whose transactions were declined.
Solution
ModMerica e-tailers ModDeals and 10DollarMall decided to outsource their risk management process to Riskified. They opted for Riskified's Shop Protection Plan, which automatically submits every transaction to Riskified for review, approval, and guarantee.
Results
Since using Riskified's services, both ModMerica e-tailers have experienced tremendous growth in sales conversions. They were able to accept more orders, reduce the time spent internally handling high-risk transactions, and increase revenue.
Results Since Implementing Riskified:
- Overall order approval rate now 99%
- ModDeals and 10DollarMall have paid $0 in chargebacks
- 0.11% of fulfilled orders are chargebacks,
down from 1.2% in previous years - 30% of customer service operations outsourced to Riskified,
allowing the team to focus on customer inquiries
-
17%
Approval rate
from 84.6% to 99%.
-
90.8%
Chargebacks
from 1.2% to 0.11% and pay
$0 in chargebacks & fees
-
12%
Revenue
-
81%
Review time