- Latency: measures response time in executing a payment means increases could result in timeouts, disputes and lost customers.
- Authorization and decline rates: measures how many submitted transactions are approved for payment by the issuer.
- Fraud detection rates: counts how many submitted transactions successfully make it through the fraud screening process and go on to be processed for payment. Fraud is much more common in gaming than in goods and service payments. In gaming there are likely to be more first-time customers using the digital channels, resulting in higher fraud detection rates online as well.
- Payment processing costs: higher credit and debit card processing fees apply to gaming transactions and additionally rates are higher, so credit card processing fees per transaction are likely to increase. These costs include interchange fees that are paid to the issuing bank, gateway and processor fees, fraud detection costs etc.
- Chargeback rates: According to statistics collected over the past few years, a large percentage of successfully processed transactions are later disputed by the cardholder. This has resulted in demands for refunds and are largely due to security breaches, card ID theft and other issues outside of the service providers control.
- Refund rates: it is a common risk because attitudes towards customers disputing a transaction through their bank are generally to agree to a refund, if only to avoid higher chargeback rates and to retain customer loyalty.
- Gaming costs: related directly to volumes processed. Gaming service providers are likely to have been positively affected by the COVID-19 pandemic, so are, dealing with a higher volume of transactions.
Fraud models have been challenged by the shift to digital and other behavior changes due to COVID-19. The shift to digital during the pandemic has greatly increased the need for artificial intelligence (AI) and machine learning techniques to maximize market penetrations and minimize costs. New and revised reports and analytics are helping gaming sites to better understand the impact to their business and their payment processing as a result of COVID-19.
The flow of payments in a gaming business is totally dependent on the degree of digitization that has overtaken the internet service sector over the past decade, and has been radically affected by the impact of the COVID-19 pandemic. Service providers and gaming websites depend on the easy management of funds transfer from their customers. The customers require a simple, fast and efficient interface to make the gaming experience
