Subscription Fraud

Grow your customer base whilst minimising fraud risk

The cost of activating new subscribers in the pay TV sector can be substantial due to the need to supply specialist equipment.  One of our satellite TV customers estimates that each new activation costs them around US$700.  Therefore, the ability to identify fraudulent applications at the outset is vital to ensure return on initial investment and keep losses to a minimum.

The MinotaurCloud Fraud Management solution has a variety of techniques to identify fraudsters at application stage.  Two key components are:

Neural Predictive Analytical Models
Neural predictive analytical models utilise many forms of information in order to recognise the characteristics of subscription fraud and have the ability to constantly learn and adapt this pattern to changing circumstances.

Organisations can have multiple models to cover all types of products and services offered, or utilise one to cover all aspects. The models are tailored to each organisation's business practice, giving them greater accuracy in detecting fraud.

Link Analysis
Link analysis allows application details of new subscribers to be compared with those of a population of other subscribers to any identify similarities and highlight potential risk of fraud or bad debt:

• Identifying repeat offenders by comparing new subscriptions with known fraud or bad debt cases
• Discovering multiple related new subscriptions by comparing new subscriptions with recent subscriptions
• Uncovering fraud rings by comparing suspects with the general subscriber population

One of our satellite TV customers saved more than US$60m in a ten month period through the identification of fraudulent subscriptions.

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