Twenty years ago, modern listings marketplaces began to appear online. While this new peer-to-peer platform for buying and selling goods and services was hailed as disruptive, close observers noted that pioneering sites were following the same business model playbook as the age-old classifieds industry. Worldwide revenue for sites offering the ability easily list and purchase goods and services is now expected to hit $17.1 billion by 2016.* Unfortunately, scammers and fraudsters are just as attracted to these communities as legitimate users.

TeleSign provides identity assurance and account security solutions to marketplaces and classifieds businesses to help them securely connect verified sellers with verified buyers.


Two-Sided Fraud Plagues Marketplaces & Classifieds

Fraud enters marketplace and classifieds online communities in the form of both malicious “buyers” and malicious “sellers.” These bad users negatively impact a business’s revenue and brand reputation.
Common Marketplace & Classifieds Fraud Includes

Fake accounts & listings

Fraudulent transactions

Account takeover

Scammers pose as genuine sellers and post fake ads with the goal of collecting payment without ever providing the goods or service. On the other side of the issue, fraudulent buyers will manipulate sellers into sending funds back to them before payment clears. On both sides, account takeover is a risk as it often results in fraudulent transactions and theft of confidential information.

Block Scammers With Fraud Risk Intelligence & Account Verification

Requiring a new user to provide a valid phone number before they can post an item for sale or make a purchase enables businesses to first assess the risk of that user.
Users Can Be Flagged For

Suspicious phone type

Known history of fraud

Anomalous traffic patterns

TeleSign’s fraud risk scoring helps prevent fraudsters from creating fake accounts and misrepresenting who they are and what they intend to do. When combined with phone verification, businesses can also protect the accounts of legitimate buyers and sellers through two-factor authentication.