‘What the Fraud?,’ hosted by Doriel Abrahams, examines the latest trends in fraud – from expert interviews and insights to tactics and best practices.
In the latest episode of ‘What the Fraud?,’ Doriel dives into the complex world of coupon abuse, a fraudulent practice that can undermine marketing efforts and significantly impact a company’s bottom line.
After providing a brief history lesson on the origins of coupons, tracing back to 1886 with Coca-Cola, Doriel sheds light on various forms of coupon abuse – from creating multiple accounts to exploiting new user discounts to referral schemes where fraudsters invite themselves repeatedly to gain continuous discounts. He emphasizes that while these tactics may offer short-term gains to customers, they pose significant risks to businesses, diluting marketing efforts and potentially inflating user acquisition metrics with non-unique users.
Key Takeaways
- The Dark Side of Coupons: How coupon abuse manipulates marketing efforts and affects business revenue.
- Fraudulent Tactics: The various methods individuals use to exploit coupon systems, including creating multiple accounts and manipulating referral programs.
- The Challenge for Businesses: Balancing the need to attract customers with offers while protecting against abuse.
- Strategies for Prevention: The importance of understanding customer behavior and implementing measures to prevent abuse without detracting from genuine users’ experiences.
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Doriel Abrahams is the Principal Technologist at Forter, where he monitors emerging trends in the fight against fraudsters, including new fraud rings, attacker MOs, rising technologies, etc. His mission is to provide digital commerce leaders with the latest risk intel so they can adapt and get ahead of what’s to come.
Fraud Lab is a growing global community of fraud fighters where you can meet with peers and learn from experts. Fraud Lab aims to offer resources to help fraud fighters connect and further their careers.
To learn more about Fraud Lab, check out: https://fraudlab.com/
