Shopify is one of the biggest and most robust eCommerce platforms for merchants to build a successful online store. But that success comes with a dark side — these honest, unsuspecting business owners can very quickly become a target for cyber thieves.
Even worse, this often happens right when all the hard work is starting to payoff. Fraudsters know scaling a business is chaotic, and take advantage by striking when merchants’ thoughts are elsewhere. Too often, the excitement of increasing order volumes and values quickly turns into the horror of dealing with huge chargeback bills, processing fees, and even the potential loss of processing abilities all together.
The problem is so bad that Shopify itself started offering fraud protection to merchants last year via Shopify Fraud Protect. This built-in program is a welcome gesture and definitely better than nothing, but it is far from perfect.
First, it remains unclear if Shopify Fraud Protect is rule or machine-learning based. That means there is no transparency into if there is a “one size fits all” order evaluation process, or if individual merchants’ needs are taken into account. Second, the final decision to approve or decline an order still falls to the merchant, forcing them to use resources to make tough fraud prevention decisions they aren’t even sure of.
Fortunately, merchants do have a way out of this problem. Merchants looking for better eCommerce fraud prevention with less hassle can choose from a number of third party Shopify fraud prevention tools available through the Shopify apps marketplace. These tools work seamlessly with the Shopify platform to provide an added layer of security — and peace of mind.
Here are seven of the most known and trusted Shopify fraud protection apps:
- FraudBlock Fraud Prevention
- Fraud Scanner
- NoFraud Fraud Protection
- Fraud Filter
- Fraud Labs Pro
- Spotrisk [NEW]
FraudBlock Fraud Prevention
App Store Rating: 5.0
Description: FraudBlock automatically cancels, restocks, and refunds fraudulent orders that have been marked as “high risk” by Shopify. This saves time by eliminating the need to manually comb through open orders to spot fraudulent ones. It also prevents merchants from getting hit with chargeback fees, because the app immediately cancels fraudulent orders when they come in.
FraudBlock is a useful addition to Shopify’s existing anti-fraud mechanisms, saving time and eliminating chargeback fees.
– Automatically cancels, refunds, and restocks “high risk” orders
– Simple single-click setup
– Ability to whitelist known customers and view canceled orders
– Fixed monthly fee instead of percentage-based pricing
FraudBlock has four (4) plans: a free, basic, scale-up, and pro plan. During the 14-day free trial, all merchants start on the free plan, which is made for shops that process up to 30 orders per month. The basic plan comes in at $4.95 per month and includes 200 orders per month. The scale-up plan costs $19.95/month for a maximum of 500 orders per month. Shops processing more than 500 orders per month opt for the pro plan at $29.95 per month.
App Store Rating: 4.9
Description: The Fraud Scanner app helps merchants take the stress out of dealing with fraudulent orders by automatically cancelling any order labeled high-risk by Shopify. This eliminates the need to sort through orders to identify fraud — eliminating chargebacks and saving time.
The Fraud Scanner also avoids chargebacks by blocking fraudulent and spam orders sent by scammers, decreasing fraud related chargeback costs.
- Automatically cancel orders marked as High Risk of Fraud
- Get more control over your orders
- Easy 10 second installation
- Activate/Deactivate settings
Fraud Scanner app has four (4) plans: the starter plan, basic plan, advanced plan, and plus plan. The starter plan is free and lets merchants screen up to 25 orders per month. The basic plan is $4.95 per month, and allows merchants to screen 150 orders per month. The advanced plan costs $9.95 per month, and allows screening of up to 500 orders per month Finally, the plus plan costs $19.95 per month and allows merchants to process over 500 orders per month.
NoFraud Fraud Prevention
App Store Rating: 5.0
Description: NoFraud is an e-commerce fraud prevention system that uses an advanced algorithm to reduce chargebacks significantly while without any merchant involvement. The company uses a large pool of continuously updated data to analyze fraudsters effectively and make instant approve/decline decisions while reducing fraud to as little as 0.01% of online orders.
NoFraud also offers live cardholder verification for potential transactions. In addition, this Shopify Fraud Prevention solution is managed and automated by in-house experts, with zero merchant input required. It is compatible with Gift Wizard, Once Click Upsell, Carthook, Recharge, and Payments.
- Chargeback protection
- Flexibility on which orders to screen
- Customer managed whitelist and blacklist
- Customized review process
- Phone and email support
- Ability to cancel fraudulent orders before it is processed by a third party
- Detailed reports on fraud attempts, review results, statuses, and more.
NoFraud offers merchants two week’s free trial. The app is free to install and their pricing is based on the percentage of sales.
App Store Rating: 3.4
Description: Fraud Filter is a fraud prevention solution by Shopify that allows you to set up custom filters to prevent certain customers from placing fraudulent orders. In addition, it uses rule-based functionality to let you set up warnings for suspicious orders or block them entirely. This is the ‘baked-in’ version of Shopify’s own fraud protection solution – so you don’t have to utilize it if you choose not to. However judging from some of the comments and the ratings it still falls short of some more robust solutions. The app is simple and easy to install and integrates directly with your store’s admin.
- Protecting above and beyond what is provided by the built-in fraud analysis
- Review potentially risky orders before capturing fulfillment and funds
- Restrict checkout to only certain customers
- Prevent customers from a particular referring site from ordering
- Prevent certain brands of credit cards from checking out
- Warn merchants of potentially fraudulent orders or cancel orders outright
Fraud Filter fraud prevention app is free to install and there are no charges associated with using it.
App Store Rating: 4.3
Description: FraudLabs Pro is a fraud detection app that analyzes order transactions and reports results in real time. It applies blacklist rules and machine learning algorithms to screening order, determining a risk score based on patterns of transactions, IP address, physical address, email address, credit cards, and device fingerprints.
It is also possible to automate the fraud prevention decision process by enabling one of 48 rules to trigger an alert by email or phone.
The FraudLabs Pro mobile app allows merchants to review all orders and receive notifications anywhere. The app uses an open API, so it works for any shopping carts that allow an external API call, and provides ready-made add-ons for over 15 shopping carts.
- Fraud analysis and scoring
- Email address validation
- Proxy validation & IP address geolocation
- Device transaction validation
- Transaction velocity validation
- Export controlled country validation
- Blacklist validation
- Custom rules trigger
- Malware exploit validation
- FraudLabs Pro Merchant Administrative Interface
- FraudLabs Pro Merchant Network
- Mobile app notification of fraud orders
- Email notification of fraud orders
- Social Profile query
FraudLabs Pro is free if you need to screen less than 500 orders per month. There are three (3) premium plans merchants can choose from: the Mini plan, Small plan, and Medium plan. The mini plan allows you to screen up to 1,500 queries per month. The small plan costs $99.95 per month, and it allows you to screen up to 5,000 queries per month. The medium plan allows merchants to screen up to 25,000 queries per month, and costs $249.95.
App Link: https://apps.shopify.com/signifyd
App Store Rating: 4.3
Description: Signifyd’s app helps to generate a fraud score after automatically reviewing order information like mailing addresses, phone numbers, and IP addresses. Merchants then use this score to decide whether they want to accept or decline an order. We’ve profiled Signifyd previously in our Top eCommerce Fraud Prevention Solutions article so if you want to read about additional features you can do so there.
Signifyd leverages domain experience, machine learning, and big data to deliver 100% financial guarantee against fraudulent chargebacks on every approved order. The app can also review orders and then offer you an approve/decline decision.
- Machine learning
- Automatically send orders to Signifyd for chargeback protection
- 100% financial guarantee against fraudulent chargebacks on every approved order
- Automatic reviews of orders
- Automate your back office
- Zero fraud liability
Signifyd offers a free trial for 14 days and there are two main pricing plans available: small businesses plan and mid-market plan. All approved orders from the small business plan are charged at 1% of the total order amount. It features complete fraud protection, access to Signifyd console, auto fulfillment, expert re-review, online knowledge base, and 48hr reimbursement.
The Mid-Market plan cost $1,000 per month, and features complete fraud protection, access to Signifyd console, auto fulfillment, expert re-review, access to a customer success team, and 48hr reimbursement.
App Store Rating: 5.0
SEON allows Shopify merchants to accept more orders and reduce chargebacks with no impact on the customer journey through advanced device fingerprinting and data enrichment technology.
Through automated data checks and assigned risk scores – all in real-time – merchants can utilize open-source intelligence to truly understand a customers’ digital footprint and whether the order is legitimate before fulfilling them.
With no need for technical or risk knowledge, the integration can be set up in one click and acts as a layer of security that your customer doesn’t have to worry about.
Trusted by a range of pioneering and innovative companies such as Afterpay, Patreon, Revolut, SEON is providing Shopify merchants of any size access to enterprise-grade fraud prevention solutions.
- Digital profiling analysis of over 30 online platforms
- Automatically approve or decline orders including refund and restock
- Email, phone number, IP lookup
- Enterprise-grade device fingerprinting
- Plug & Play Installation
- Risk scoring
- Accept more transactions deemed ‘risky’ by chargeback guarantee models
Flexible tiered-based pricing model starting at $0 for 50 checks, $99 for 1500 checks, and $299 for 5000 with varying levels of support based on your choice.
A free trial is also available.
App Store Rating: 5.0
Description: With Spotrisk, merchants can feel confident knowing that each order they ship is to a genuine customer. Spotrisk flags risky orders and automates the buyer verification process so that teams can return to focusing on fulfilling orders – not manually reviewing them for fraud.
The actionable insights bring clarity to risky orders, meaning legitimate customer orders are shipped faster, resulting in happier customers and no chargebacks.
- Automatically flag high risk orders based on your stores unique profile
- Verify buyers identities with a click of a button with automated buyer verification
- Permanently block bad actors across a range of data points
- A simple, digestible UI that educates merchants about what’s happening in their store
Spotrisk has a free forever plan as well as a paid monthly subscription that provides advanced features depending on your order volume and risk requirements.