- As part of Advent International’s investment, MANGOPAY acquires fraud detection and prevention company Nethone to provide platforms with a holistic payments and risk management solution.
- This acquisition gives marketplaces advanced capabilities to detect and counter complex fraud activities allowing them to create a safer environment and increase conversion rates.
- Hubert Rachwalski von Rejchwald, Nethone CEO, joins MANGOPAY’s executive committee. Nethone will remain a standalone company serving online merchants and financial institutions with sophisticated along-the-user-journey fraud prevention.
Paris, 29 November, 2022 -MANGOPAY, the platform-specific payment infrastructure provider, is acquiring AI fraud detection and prevention company Nethoneto develop and offer anti-fraud solutions designed specifically for marketplaces. Faced with surging online fraud rates, this solution will allow any type of platform to transform threats and challenges posed by malicious activity into accurate, profitable business decisions.
Marketplaces account for over two thirds of global e-commerce transactions, making them a prime target for fraudsters. As third-party intermediaries, platforms are even more vulnerable to fraud than classic digital commerce. To better detect and prevent threats in real time, and predict future patterns of increasingly sophisticated malicious activity, platforms require enhanced security features with augmented data-centric capabilities. MANGOPAY and Nethone are creating the first fraud prevention solution on the market built specifically for platforms and marketplaces.
Transforming threats into accurate and profitable business decisions
Nethone’s proprietary machine-learning powered solution incorporates behavioral data collection, hardware, software, network intelligence, as well as behavioral biometrics to allow platforms to make informed decisions and secure every point of the user journey, both on mobile or desktop. With a wide range of mobile-native attributes analyzed, the solution is accurate in identifying fraudulent activity within the growing number of transactions carried out on mobile devices. Based on Nethone’s current use cases, in a single integration this solution will:
- Allow platforms to operate in a safe environment by preventing over 95% of account takeovers (ATO), reducing fake accounts, fraud rates, chargebacks and unauthorized transactions;
- Support business growth by unlocking upsell potential, increasing conversion rates by 9%, and approval rates by 26%, as well as reducing false declines due to suspected fraud;
- Help build an operationally efficient and scalable platform by reducing manually-reviewed traffic by 60% through well-explained recommendations.
Enhancing MANGOPAY’s pay-in, payout authentication and seller onboarding capabilities with deeper Know Your User intelligence protects marketplaces from sophisticated fraud and abuse, while offering both their buyers and sellers a frictionless experience. MANGOPAY and Nethone’s collaboration already allows platforms to improve conversion rates thanks to the optimization of pay-in transaction scoring, better 3DS2 exemption management and ID check validation.
Romain Mazeries, CEO, MANGOPAY, comments: “Every platform must have a deep understanding of its users in real time throughout their entire customer journey to reduce fraudulent activity. We’re delighted to welcome Nethone to the group and offer a unique set of anti-fraud capabilities on top of our existing infrastructure. This is a key step in our mission to provide marketplaces and platforms with the best solution to drive their success.”
“We are excited to have Advent International as our new majority investor and to be joining the MANGOPAY rocket ship,” adds Hubert Rachwalski von Rejchwald, CEO and co-founder, Nethone. “Going forward, on top of accelerating Nethone’s own dynamic expansion according to our standalone business plan, we will work on the tremendous potential identified among MANGOPAY’s 2,500+ existing platform customers. Together we will take our unique Know Your User technology and further refine it to be the best-in-class platform-specific solution.”
Nethone will continue to serve companies worldwide, led by its current CEO and co-founder, Hubert Rachwalski von Rejchwald, who joins MANGOPAYs Executive Committee. The company pursues the vision to build the best-in-class anti-fraud platform preventing online payment fraud and securing entire user journeys, from registration to use of service.
ABOUT MANGOPAY
MANGOPAY empowers the platform economy with its unique and comprehensive payment infrastructure. Created in 2013, MANGOPAY serves 2,500 + leading platforms and marketplaces. Built around its programmable e-wallet solution, MANGOPAY’s end-to-end infrastructure covers all platform payment needs with total integration flexibility and workflows for every business model.
www.mangopay.com
ABOUT Nethone
Nethone is a machine learning-based fraud prevention SaaS company founded by data scientists, developers and security experts in 2016. Nethone empowers eCommerce merchants and financial institutions to holistically understand their end-users (good and bad) with award-winning Know Your User (KYU) profiling technology. Already used by BlaBlaCar, Farfetch, Booksy and Grover, the native mobile solution is proven to be the most time and cost-effective means of efficiently neutralizing the top three fraud risks to platforms: payment fraud, account takeover and friendly fraud.
www.nethone.com
