3 ms·
Makes perfect sense for a couple reasons. Machine learning based anti-fraud systems perform asymptotically better as you get more variety and volume of data, a
by rm999 13y ago
Makes perfect sense for a couple reasons.
Machine learning based anti-fraud systems perform asymptotically better as you get more variety and volume of data, and Sift can market it as such ("our network consists of over X merchants"). The 100 dollars of free service they are giving away is likely worth more to them in the data alone. The biggest credit card fraud solution I know of markets itself as a better solution because of its "consortium" of thousands of card issuers: http://brblog.typepad.com/files/falcon_scoring_srvr_2519ms.pdf http://brblog.typepad.com/files/falcon_scoring_srvr_2519ms.p...
This arrangement also lets Sift very naturally eases merchants into being paying customers as they grow.
- x0x0 13y agoThis crucially depends on merchants being comfortable sharing data. Data coops sometimes work and sometimes don't. I'd read the contract very carefully. And even if everything is on the up-and-up now, as the purchase of ghostery by evideon shows, it doesn't necessarily remain that way. For starters (and I haven't read sift's contracts), people tend to purchase things in spurts. Knowing someone just bought something on a merchant is incredibly valuable data. Plus this is amazing data for retargeting; amazon has built an ad business that is speculated to be well on the way to a $1B run rate [1] [1] http://www.forbes.com/sites/roberthof/2013/06/05/amazons-ad-business-suddenly-looks-real/ http://www.forbes.com/sites/roberthof/2013/06/05/amazons-ad-...