Motorola Wipes Out Chargebacks & False Declines in Mexico With ClearSale

As the inventor of the first mobile phone, Motorola single-handedly launched the mobile communications industry, later creating the first phone that supported iTunes®. Today, Motorola continues to dominate the industry, with $8.17 billion in sales in 2021.

The Challenge: Approve More Legitimate Sales, Especially During Peak Sales Periods

The busiest online sales day in Mexico has traditionally been Black Friday. But in 2011, the Council of Business Coordination created El Buen Fin (The Good Weekend). Occurring the third weekend of November, El Buen Fin offers another popular shopping weekend with special promotions.

While the increased revenue potential during these sales is critically important for Mexican merchants, ecommerce retailers also face substantial risks:

• 50% false decline rates aren’t uncommon among Mexican ecommerce businesses.
• The chargeback rate in Mexico is three times higher than the global average
• 56% of Mexican credit card holders have been the victim of fraud.

Motorola knew their risks were even higher since their products are highly targeted by fraudsters due to the strong brand recognition, small size, high resale value, and big profit margins.

To make matters worse, order volume typically grew tenfold during this peak sales time, which made it nearly impossible to keep pace with accurately screening and flagging suspicious transactions.

Motorola needed to implement a fraud protection solution that would integrate seamlessly with their ecommerce platform, provide prompt reviews of transactions, and let Motorola quickly and confidently approve orders during not only these high-volume sales periods but all year long.

The Solution: ClearSale’s Total Guaranteed Protection

In September 2017, Motorola partnered with ClearSale to manage all ecommerce fraud protection in Mexico.

With ClearSale’s 16 years of fraud protection expertise and a team of 700+ experienced analysts, this was the right choice to enable Motorola to stay on top of emerging fraud patterns and innovative cyber criminals in the Mexican market.

The ClearSale Total Guaranteed Protection solution stops potential fraudsters in their tracks and defends Motorola against the financial and reputational effects of fraud by:

• Using advanced machine learning to screen every order and flag suspicious activity
• Reviewing each flagged transaction manually, establishing contact with buyers as needed to verify transactions
• Providing detailed, real-time reporting on orders, approval rates, and chargeback rates
• Offering the round-the-clock support that reassures Motorola they have a trusted partner in fraud management
• Covering 100% of all fraud-related chargebacks

The Results: Major Reductions in False Declines & Chargebacks With Fast Customer Service

Within just three months of working with ClearSale — including during the peak sales days of Black Friday and Buen Fin — Motorola realized:

• 40% reduction in false declines
• 99.6% response rate within 24 hours by ClearSale

Most notably, the improvement in the chargeback rate came at no extra cost to Motorola. The entire updated fraud management strategy ensured Motorola was able to quickly approve transactions with greater confidence than ever before, all while delivering a seamless end-user experience.