Case Study: Mouseflow Identifies 13 Fraudulent Orders Worth More Than $2000+

Imagine you run a small business, primarily online. Every sale is critical and it’s painful leaving money on the table. It’s vital that you capture as many leads as possible and ensure a smooth conversion process. However, when individuals purposely attempt to circumvent your system and steal your goods, it can be a nightmare for small business owners.

About the Company

Esource Parts, an electronic parts distributor based out of Ontario, has been in business since 2009. Primarily an online business, Esource Parts sells thousands of electronics to private individuals, large vendors, and shops. From cell phone parts, to computers, to consoles — Esource Parts sells it all.

The Problem

Frady Yacoub, the owner of the business, recently noticed an unusually large order in the system. This is what he had to say:

“We got this purchase in our system for about $2,000…..I look at the customer’s name and I don’t know who this is…..I talked to my staff and they didn’t know who he is. Paypal actually approved the order and said I could ship it.”

It’s important to note that even Paypal, one of the largest payment companies in the world, failed to detect the fraudulent order. Frady noticed that the order was being sent to a mailing address in a completely different city and province than the billing address. Red flags started popping up in Frady’s head — and it didn’t sit right with him. So, he investigated further.

How Mouseflow solved the issue

With the customer name failing to appear in any of their in-house systems, Frady took to Mouseflow to further investigate the order. Here’s what Frady had to say:

“I pulled up the Mouseflow video and noticed the behavior of this particular purchase didn’t seem natural…..they’re sorting everything by price point. Right away, that’s a flag. They sorted highest to lowest price point and added the expensive items to their cart. Using Mouseflow really put some flags up in terms of how the shopper was shopping — which was the number one flag.”

With the odd behavior identified in the Mouseflow recordings, Frady dug even deeper:

“I looked up the IP address of this particular customer to see if there were any other interactions — low and behold — there were 13 other fraudulent transactions with the same IP. This is where Mouseflow really helped me out. I wasn’t able to search the name in our system, since they used different names. It (the in-house billing system) wouldn’t have given me more than one order.”

Mouseflow’s IP tracking made it incredibly easy for Frady to watch a video of every order by the fraudulent users, identify which were confirmed orders, and cancel all existing orders.

“The IP was the common denominator. I wouldn’t have identified these fraudulent orders without using your system (Mouseflow). We immediately called PayPal and were able to go ahead and cancel these orders,” said Frady.

As a result of this Mouseflow search, Esource Parts was able to detect and prevent more than $2500 in fraudulent activity. With Mouseflow saving the company more than $2500, the $99 subscription cost for Mouseflow was clearly worth it.

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