CASE STUDY
CD Baby Cuts Manual Reviews and Chargebacks with Kount
CASE STUDY
CD Baby is the world’s largest online distributor of independent music. The company helps independent artists sell their music on cdbaby.com, iTunes, Amazon, Facebook and more — as well as on compact disc and vinyl records.
THE PROBLEM
CD Baby was hit by recurring fraud attacks that drove chargebacks up to 2.6% of transactions. The fraud was occurring in three areas:
Eighty percent of my time, seven days a week, was spent trying to contain fraud. It was like whack-a-mole.
— Christine Barnum, Controller, CD Baby
THE SOLUTION
When chargebacks and losses totaled over $26,000 in a single month, CD Baby knew they had to get fraud under control. After implementing Kount, chargeback activity immediately dropped.
Before Kount, a dedicated team member spent hours trying to contain fraud — constantly creating new rules that fraudsters found ways to bypass. But with Kount, that manual labor nearly disappeared.
THE RESULTS
After implementing Kount, CD Baby’s chargeback rates dropped from 2.6% to less than 0.1% — eliminating risk of enrollment in a chargeback monitoring program. Meanwhile, revenue held steady, with no complaints from legitimate customers of orders being rejected.
And the best part is that manual reviews dropped dramatically. No longer does one team member spend hours and hours managing fraud.
Kount makes things so much faster and easier. For instance, I can quickly implement special rules when we’re having a new artist recruitment drive in order to maximize sign ups. Kount has made my life infinitely easier. I’m back to doing my job instead of spending my entire work week battling fraud.
— Christine Barnum, Controller, CD Baby
GET STARTED TODAY
Let Kount’s technology do what it does best, so you can get back to what you do best.
