The current rapid development of Artificial Intelligence (AI) is generating a lot of noise around the subject. But while experts vie for attention, predicting how AI is going to definitively change this or that industry, Visa has been quietly deploying its capabilities in payments for more than 30 years.
And having helped shape AI so far, Visa is still one of the leaders in its development and exploring the possibilities it offers.
With human expertise at the helm and rich, relevant data as its lifeblood, AI becomes a formidable presence in payments acceptance.
Artificial Intelligence in the real world
What exactly is the function of AI in acceptance? How has it replaced past methods and what does the future hold? Some of the answers seem perfectly obvious given how AI enables the near perfect symbiosis of automation and big data.
AI helps detect and prevent fraud by:
- Analyzing huge amounts of data and identifying patterns quickly and efficiently.
- Using machine learning algorithms to learn from previous fraud cases.
- Monitoring in real time, and flagging transactions for review before processing.
- Applying predictive modelling to identify and prevent transactions likely to be fraudulent.
- Reducing the need for manual reviews, saving time and cost.
Continuing with big data, AI can also help with risk assessment by:
- Evaluating the risk associated with transactions and customers based on previous behavior, location, and other data, more accurately and faster than humans can.
- Chargeback Prediction, which analyzes historical data to predict potential chargebacks, enabling businesses to proactively address disputes and reduce losses due to chargebacks.
But here is where it gets a bit more surprising and certainly more interesting. The more data it analyzes, gleaning valuable insights into customer behavior and preferences, the more AI becomes a powerful tool.
AI can improve customers' payment experience by helping businesses to: