So I just received a large purchase order (over $1000), where the customer's shipping and billing address are a match, but the names associated, do not. Here is an example of what it looks like:
Customer name: Morgan Wellington
Shipping address: Hikari Suzuki
Billing address: Morgan Wellington
As mentioned, the address on each do match, exactly - but the names are not only different, they don't even seem related. The phone numbers are also different for each name, with different area codes.
On the positive side, the Fraud analysis report is "LOW". The CVV is correct. IP address is same city as provided address. All the other ticks are checked.
Would you recommend cancelling the order? Or could I be protected, in case of a potential chargeback?
Thanks in advance!
No one but you is the best judge whether or not to process an order since you should know who your typical customers are.
If you have both phone numbers you can quickly give a courtesy call to both numbers to make sure they have intended to make the order you can ask if this is a business-related purchase.
In terms of protection, there is none unless you are already signed up for Shopify's chargeback protection.
If you do not want to risk a possible chargeback within 1 - 6 months, then it's recommended you cancel the order.
Hyde here from Shopify.
When it comes to risky orders, you're absolutely right to look at the addresses, names, and phone numbers if you have any suspicions.
While Shopify's own fraud analysis hasn't flagged this order, this is certainly no guarantee of its validity. Fraud recommendations are powered by machine learning algorithms that are trained on historical transactions across all Shopify stores. The recommendations give you the benefit of years of fraud detection experience. Shopify continuously improves these algorithms to better identify fraudulent orders, but if the details used are all new and we have no history of the potentially fraudulent customer to use as a benchmark, then it could still slip through the system.
Our own risk analysis uses the following indicators:
So there are a few more suggestions on how to verify the order better here. There is some security available for eligible merchants called Fraud Protect which is outlined here, but it cannot protect you retrospectively, meaning if you are eligible it may protect going forward but still wouldn't be much use to you with this particular order.
The bottom line is: if you've done your due diligence and checked, and feel confident that the customer is genuine, then fulfill. If you have any doubt at all... well... $1000 is a lot of money.
Hope that helps!
All the best, Hyde.
I just want to offer an alternative to guessing an order's validity based on signals like Shopify and other apps provide.
You can send an ID check to the customer with Real ID.
The customer can securely submit a photo of their government issued ID, then a headshot with their mobile phone. The app will collect and share these photos with you, in addition it will verify the authenticity of the ID & analyze the faces in both photos to make sure it's a match.
It only costs $0.50 per check, which is well below 0.1% of the cost of the whole order. Worth it for the peace of mind!
The first 10 checks are free. The app is already processed $4 million in sales and 0 reported chargebacks thus far.
You can download it here: https://apps.shopify.com/real-id
Happy to answer any other questions you might have.