The origin of e-commerce dates back to 1948 when address verification was purely manual. Customers placed orders either through mail or telex – the most widely used methods back then. However, the chances of inaccurate entries and failed deliveries are increasing. With the advent of digital transformation, the situations are predicted to worsen as failed deliveries can bring various consequences.
From extra shipping fees to chargeback, e-commerce is facing a rise due to inefficient measures. Therefore, digital businesses need to tick out manual methods while employing effective address verification solutions. These provide accurate results by verifying an address digitally. These AI-driven solutions analyze geo-location while validating the information by accessing databases. The blog covers the ways digital solutions help the e-commerce industry.
Online Address Verification – Helping E-Commerce Improve Deliveries
In the simplest sense, address verification refers to the method where e-commerce platforms validate the information. This is to make sure the order reaches the right customer. The online address verification solutions are providing e-commerce platforms with tools to validate addresses accurately. Upon registration and placing an order, the system asks the customs to fill in their information. The system then carries out analyses of the information by assessing the geo-location and validating supporting documents. Further benefits of address verification are discussed in the next section.
Seamless Package Deliveries
The foremost point e-commerce platforms need to consider is the accurate delivery of orders. Customers are less likely to order from the same platform that delayed their order once. This requires online businesses to bring in effective measures for address verification. This way they can ensure that the order reaches the right customers on time.
Due to typographical errors, e-commerce platforms, as well as courier services, face several challenges. These mainly include difficulty in finding the address, false deliveries, and ultimately reputational damages for the brands. Therefore, e-commerce platforms require robust address verification online solutions to ensure deliveries within the expected time frame.
Minimizes Chargeback Costs
Address verification solutions help e-commerce platforms to validate the information customers provide in real-time. In case of failed deliveries, the legit customers file for chargeback claims. Moreover, fraudsters often use fake addresses to claim false reimbursement or say that the parcel never arrived.
Therefore, e-commerce platforms require AI-powered solutions that come with API to mitigate the chances of inaccurate or fake entries. While verifying an address, the online solutions provide more accuracy.
Cross-Verification of Address
The digital solutions to verify address are capable of accessing global databases that make international shipping easier. These cross-verify the information in the official registers. Therefore, if fraudsters from another region are using fake addresses, the online verification of addresses can still identify them. This way e-commerce platforms can save themselves a fortune.
Moving further, the address verification solutions help e-commerce platforms to hold information of their customers in digital databases. This allows the buyers to auto-fill the spaces up to their next arrival. Global e-commerce sales are expected to increase by over $31.5 trillion by 2025. The digital solutions are also capable of tagging geolocation which further streamlines the order placing process.
For customers, this provides a hassle-free experience that they won’t have to fill in the spaces every time. For e-commerce platforms, this can minimize the chances of customer drop-off.
The digital address verification systems are automating the processes by producing AI-driven tools. However, previously, the platforms were using manual methods that involved several errors. Hence, the online address verification solutions hold this advantage over manual methods. It further minimizes the delay and hassle that they face in the case of traditional verification.
Moreover, the online solutions to verify address do not require manual interpretation making them preferable. The system validates information as the customer enters it to avoid future delays or failed deliveries.
Promotes Better Shopping Journey
To address the customer’s concerns regarding failed deliveries, e-commerce platforms mostly have designated teams. However, to prevent this from happening in the first place, online businesses should employ digital solutions to validate address. This will help the industries ensure a smooth and secure shopping experience. For customers, this will add to an enhanced on-site journey. They will not have to face the hassle of repeated entries.
Furthermore, the verifying address solutions prevent typo, entry, and formatting mistakes. This way online businesses can improve customers’ experience while providing them with a hassle-free journey.
In the End
Inaccurate entries and fake addresses open e-commerce to various challenges such as chargeback fraud, false reimbursement claims, and others. In the case of fake information, the fraudsters quickly steer clear of the address verification checks. Furthermore, if customers make a typo mistake, it also leads to additional shipping charges. Therefore, e-commerce platforms need to employ better address verification systems to mitigate the chances of any loss. Hence, digital businesses can provide faster checkout, accurate deliveries, and enhanced customer experience.