Improving the credit authorization customer experience in Latin America | Visa

Improving the credit authorization customer experience in Latin America

Financial institutions invest millions of dollars every year to create digital customer experiences and grow electronic payments in their markets. However, in Latin American countries, our data suggests a general lack of focus on a key piece of the digital customer journey–credit authorization.

In certain Latin American countries, three out of 100 “Card Present” (face-to-face) transactions are declined, yet a surprising two out of 10 “Card Not Present” (e-commerce) transactions are declined1. This can result in customers no longer actively using that card.

Transaction approval rates in Latin America (overall)1

*Denotes only cross-border spending authorizations for Mexico

Credit authorization declines are caused by a variety of issues ranging from high-risk transactions and credit limits to operational problems. Whatever the cause is, we can help you identify and optimize your authorization performance for a better customer experience.

There is an opportunity to increase payment volume and cardholder engagement by improving online transaction authorizations. By increasing the number of transactions, you may also increase card usage, as transactions declines impact the relationship a cardholder has with the product.

Keys to success

We can help you improve authorizations by creating a multifunctional team that will identify, analyze and design actionable recommendations including risk algorithms, a process gap analysis and best practices and industry benchmarks.

We customize and deliver our solutions in several forms that go beyond management dashboards: from one-day executive workshops to multi-week engagements. The solutions cover a wide variety of the most important topics and opportunities in authorizations, such as:

Strategy

Alerts
Segmentation
Shared goals
Customer Relationship Management (CRM) – A/B testing

Risk

Credit line algorithms
Credit policies
Risk scores (transaction based)
Software
Collections policies
Operations
Product set-up
VIP policies (i.e., select cardholders that require special treatment)
Contact center
Real-time messaging