DeliveryDefense
What is DeliveryDefense?
DeliveryDefense is a UPS tool that allows retailers to access confidence scores for every shipping address and identify addresses with a higher risk of loss or theft.
Working with UPS, HubBox has integrated DeliveryDefense technology into our Shopify app, so that retailers can access address scoring for every delivery to a US address and dynamically alter the shipping price for UPS Access Point, mitigating high risk orders.
How it works
- Address Check: When a customer enters a US shipping address at checkout, DeliveryDefense quickly analyzes it.
- Risk Score: The system assigns a risk score to that address. This score helps us determine if it's a very low, low, medium, high, or very high-risk address.
- Discount Applied (Optional): Based on the risk score and the rules you set, a discount is automatically applied to the shipping cost for UPS Access Points. For example, a very high-risk address might get a larger discount for using a UPS Access Point over home delivery. This incentivises customers with high-risk shipping addresses to use secure UPS Access Point locations.
Why Use DeliveryDefense? (Use Cases)
- Mitigate Fraud Risk: By subtly adjusting shipping costs for higher-risk addresses, you can encourage these customers to use UPS Access Points (a secure and guaranteed delivery service).
- Data Insights: For internal tracking, DeliveryDefense also adds a tag to your Shopify orders indicating the risk level (e.g., "Medium Risk") and the precise score, giving you more insight into your orders.
Understanding DeliveryDefense Scoring
Every time a US shipping address is used for a Shopify order, DeliveryDefense evaluates it and assigns a confidence score. This score helps you understand the assessed risk level of the delivery.
How you'll see the score in Shopify
- Order Tags: For every Shopify order with a US address, a tag will be added indicating the Risk Level (e.g., "Very Low Risk," "Low Risk," "Medium Risk," "High Risk," "Very High Risk").
- Note Attributes: The precise score (a number between 1 and 1000) will also be added to the note attributes of the order for more detailed tracking.
Confidence Thresholds
The DeliveryDefense system categorizes its confidence scores into the following levels:
| Confidence Score | Confidence Level | Risk Level |
|---|---|---|
| 100 - 299 | Very Low | Very High |
| 300 - 449 | Low | High |
| 450 - 599 | Medium | Medium |
| 600 - 799 | High | Low |
| 800 - 1000 | Very High | Very Low |
You have the option to disable these tags if you prefer.
How to Apply Shipping Rate Discounting
With DeliveryDefense, you have the power to define how much discount is applied based on the risk level of an address and even the total value of the customer's cart.
Here are the key decisions you'll need to make:
1. Risk Level Discounts
For each risk level, you decide the discount amount you want to offer. You don't have to offer discounts for every risk level; for example, you might choose to only apply discounts to high and very high-risk addresses.
The risk levels are:
- Very Low Risk: Very high confidence in the address.
- Low Risk: High confidence in the address.
- Medium Risk: Moderate confidence in the address.
- High Risk: Low confidence in the address.
- Very High Risk: Very low confidence in the address.
If a discount would make the shipping cost negative, it simply becomes free ($0).
2. Cart Total Tiers (Optional)
You can also choose to have different discount amounts for high-value carts versus low-value carts. This lets you tailor your discounts even further depending on how much your customer is spending.
- High Cart Total Threshold: If you want to use this, you'll set a specific dollar amount (e.g., $800). Any cart total above this threshold will use your "high cart total" discount rates.
- High Cart Total Discounts: These are the discount amounts for each risk level when the cart total is above your set threshold.
- Low Cart Total Discounts: These are the discount amounts for each risk level when the cart total is below your set threshold.
If you only want one set of discounts for all cart totals, just let us know and we'll set it up so that one set of discounts applies to all orders, regardless of their total value.
Important Notes for Shopify Retailers
- US Addresses Only: DeliveryDefense only works for shipping addresses within the United States.
- HubBox Shipping Method: To use the shipping rate discounting, you must be using the HubBox custom shipping method. This is how we can dynamically control the shipping prices.
What We Need From You to Get Started
To implement DeliveryDefense for your store, the HubBox team will need the following information from you:
Do you want to use cart total tiers (high value/low value)? If yes, what is your desired high cart total threshold (e.g., $800)?
For High Cart Total Orders (if applicable):
- What discount amount do you want to apply for Very Low Risk addresses?
- What discount amount do you want to apply for Low Risk addresses?
- What discount amount do you want to apply for Medium Risk addresses?
- What discount amount do you want to apply for High Risk addresses?
- What discount amount do you want to apply for Very High Risk addresses?
For Low Cart Total Orders (if applicable):
- What discount amount do you want to apply for Very Low Risk addresses?
- What discount amount do you want to apply for Low Risk addresses?
- What discount amount do you want to apply for Medium Risk addresses?
- What discount amount do you want to apply for High Risk addresses?
- What discount amount do you want to apply for Very High Risk addresses?
Once we have this information, our team will configure DeliveryDefense for your store.
Ready to get started with DeliveryDefense, or have more questions about how it can benefit your business? Speak to your HubBox Integrations or Account Manager.