Fraud incidents are rising worldwide. In Southern Africa, the Fraud Prevention Service reported a 32 percent increase in fraud cases for 2024. However, advanced software solutions can effectively combat this growing threat, enhancing profitability and supporting operational growth by streamlining processes to help companies bring products to market faster.
A notable example is Bitventure’s smart digital onboarding solution, which saved Telkom R71 million while facilitating growth, as documented in a 2018 case study. According to Nicho Gosebo, Executive Head of Commercial at Bitventure, this is just one example of how the company has helped clients mitigate the escalating threat of fraud.
Telkom faced significant challenges as fraudsters exploited its systems, using fictitious or stolen banking and identity details to acquire devices and services. This issue was further complicated by a paper-based onboarding process, which delayed fraud detection by 25 to 30 days when collection attempts failed. This lag cost Telkom an estimated R84 million annually in its retail stores due to fraudulent applications.
Bitventure addressed this problem by implementing biometric and bank account verification services at the first point of customer contact, helping Telkom verify identities instantly. Portable solutions, such as pop-up store authentication for customer ID numbers, enabled real-time validation.
Bitventure’s digital approach streamlined statement distribution, multi-system operations, and dispute resolution, further enhancing Telkom’s security. By digitally verifying emails and reducing reliance on postal mail, Bitventure created a more efficient and unified platform.
This solution transformed Telkom’s onboarding process in two keyways:
- It virtually eliminated third-party fraud by requiring biometric verification against Home Affairs records, deterring fraudulent attempts.
- It digitised the customer journey, creating a frictionless onboarding experience in retail stores and efficiently processing up to 100,000 customer applications each month.
The real-time bank account verification ensured the provided banking details matched customer accounts and confirmed account age and debit capabilities. Incorporating DebiCheck technology improved collection rates for subscriptions and monthly instalments, resulting in 58 percent revenue growth within a year and bolstering Telkom’s compliance with regulatory requirements.
“We not only significantly reduced fraud, saving Telkom millions annually, but also facilitated growth through an omni-channel approach,” Nicho states. “We decreased application abandonment, making the process more manageable.”
Bitventure designed this solution to minimise operational disruption and ensure staff could seamlessly adapt, allowing Telkom to expand its network. Within a year, Telkom gained 4.5 million new subscribers through a digital onboarding process that takes only six seconds from application to approval. This is just one example of how Bitventure helps clients reduce fraud while streamlining operations.
“We are proud of the increased customer base our solutions bring, which translated to substantial revenue growth in the year following implementation,” Nicho adds. “Our Facial Recognition, Liveness Detection, and AI engine enable remote verification, allowing end users to complete onboarding online, eliminating the need for in-store visits.”
Bitventure empowers businesses to thrive by delivering secure, seamless, and innovative digital solutions that reduce risk, increase revenue, and foster sustainable growth, embodying our commitment to reliability, integrity and technological advancement.
