As e-commerce fraud surges in Brazil, RS2 and ACI Worldwide call for urgent investment in AI and payment orchestration to reduce disputes and protect digital growth.
Fraudulent e-commerce transactions in Brazil averaged 60 per cent higher in value than legitimate ones during the first half of 2024, according to Visa Acceptance Solutions.
These disputes can be costly and time-consuming for all parties involved, from merchants and payment processors to banks and card networks. With credit cards accounting for 34 per cent of online transactions in Brazil, the most popular payment method is also the most frequently exploited by bad actors.
RS2 and ACI say the solution lies in adopting advanced technologies like artificial intelligence, machine learning and orchestration layers to detect fraud in real time and streamline dispute management. Without swift industry-wide modernisation, they caution, payment disputes will continue to erode profits and stall digital progress.
Call for action
“Advanced technologies such as artificial intelligence and machine learning are essential for detecting fraud in real time and optimising dispute management in e-commerce,” said Vlademir Santos, head of Brazil at ACI Worldwide. “Automating these processes not only reduces operational costs but also enhances the consumer experience and strengthens security in the sector.”
While Florian Heuberger, senior product manager at RS2, added: “The balance between innovation and security will be crucial for the future of e-commerce worldwide. The adoption of advanced technological solutions protects both merchants and consumers while boosting trust in the digital market.”
Heuberger and Santos describe AI and machine learning as key to preventing fraud and streamlining dispute resolution, enabling early detection of suspicious activity and automating evidence submission. They also highlight orchestration layers as a vital tool for unifying systems and cutting dispute management costs by up to 38.5 per cent.
Without modernisation, RS2 and ACI warn, disputes will keep undermining profits and trust, but smart tech investment now can secure long-term resilience.
