GoFoodservice serves restaurateurs, hotels, care facilities, and other hospitality customers with the commercial kitchen equipment, dining room furniture, and supplies they need to meet their guests’ needs. With a huge online product catalog and an extensive resource library, GoFoodservice is a go-to for new hospitality owners as well as repeat customers who rate the company highly for service and selection.
To adapt to the changes the Covid-19 pandemic inflicted on their industry, GoFoodservice started dramatically expanding its online product catalog in 2020, going from fewer than 30,000 SKUs to more than 40,000 in 2022.
The addition of more online products exacerbated a long-standing issue for GoFoodservice. The company relied on an outdated basic fraud detection tool that often missed fraudulent orders and generated false positives. As a result, the order team spent hours each day manually reviewing most orders and hoping they were making the right decisions. After getting a recommendation for ClearSale from GoFoodservice’s buying group, General Manager Chris F. wanted to know more.
99.31%
monthly average approval rate
Hours
saved every day on in-house secondary reviews
0.29%
monthly average chargeback rate
The Challenge: Find a Cost-Effective Way to Reduce Chargebacks, Increase Order Approvals, & Free up Order Team’s Time for Fulfillment
Because a single piece of commercial kitchen equipment can cost thousands of dollars, avoiding chargebacks is critical for suppliers like GoFoodservice. That’s why his order team devoted so much time to secondary order reviews, “which took a very long time to complete and was not always accurate.”
Chris knew that GoFoodservice’s order screening process wasn’t sustainable, but he was also sensitive to the potential costs of switching to a new fraud control provider. After he got the ClearSale referral, “I watched one of their webinars and felt that they might be a good fit. I reached out, and between ClearSale’s pricing and the help they provided, I decided to give them a try.”
The Solution: ClearSale Total Guaranteed Protection
GoFoodservice started realizing the benefits of working with ClearSale almost immediately. “Very shortly after we started using ClearSale to approve our orders, we found ourselves saving hours of order verification research, every day,” Chris said. “We’ve also had far fewer chargebacks on our account since ClearSale started reviewing our orders.”
From January through July 2022, GoFoodservice only had two chargebacks, and because they were using ClearSale, they cost the company nothing. ClearSale Total Guaranteed Protection covers the cost of any fraud-related chargebacks.
At the same time, ClearSale’s per-approved-order pricing helped GoFoodservice keep its fraud-management costs visible and under control.
ClearSale gives GoFoodservice:
⦁ Fast order decisioning, so orders go out to customers sooner.
⦁ Fewer chargebacks, so GoFoodservice keeps more revenue.
⦁ More order approvals and more revenue.
⦁ Fast, responsive support from the ClearSale team.
The Results: 99.31% Average Monthly Approval Rate, Fewer Chargebacks, Better Customer & Employee Experience
Now that GoFoodservice has ClearSale as its fraud prevention partner, the company brings in more revenue, approves orders faster so customers don’t have to wait for decisions, fulfills those orders more quickly, and lets the order team focus on what it does best.
With ClearSale, monthly order approval rates averaged 99.31% over seven months. The order team was able to handle the higher order volume because they no longer had to screen incoming orders for signs of fraud.
“ClearSale has dramatically reduced our cost to process orders by eliminating large amounts of time spent on secondary approvals. Also, ClearSale has reduced the stress on our order processing team, since they no longer have to worry about whether they made the right order-approval decisions,” Chris said.
ClearSale has also prevented thousands of dollars’ worth of fraud attempts and protected GoFoodservice from the financial impact of chargebacks, even when overall order volume was higher than average.
⦁ 99.31% monthly average approval rate
⦁ Hours saved every day on in-house secondary reviews
⦁ 0.29% monthly average chargeback rate
For other businesses that are wondering whether outsourcing fraud prevention is worth it, Chris F. offered his own perspective. “In most cases, our orders are now approved within a matter of seconds. If an order takes a little longer than expected, we reach out to ClearSale's amazing support team, and they try to prioritize their review. I wish I’d reached out to ClearSale sooner, as we would have been more profitable in years past.”
