Pablo Vargas, Risk and Compliance Manager at FanDuel, discusses fraud risk management in the gaming industry, the balance between consumer privacy and data tracking, and the importance of analyzing fraud behavior from different perspectives. They also explore the challenges of data analysis within the gaming industry and its parallels with other sectors like insurance and e-commerce.
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Quick takeaways
Understanding the evolving behavior of consumers and adapting current fraud models to the pre and post-pandemic situations is crucial in the gaming industry.
Collaborative efforts among gaming companies, government bodies, and regulators are essential to establish efficient processes and apply data-driven approaches for fraud detection and prevention in the gaming industry.
Deep dives
The Evolving Fraud Landscape in Retail and E-commerce
In this podcast episode, Pablo Vargas discusses the changing landscape of fraud in retail and e-commerce. He highlights the need to consider the pre and post-pandemic situations when addressing fraud in the most recent history. With the behavior of consumers evolving and data collection becoming more extensive, understanding the changes and adapting existing models becomes crucial. Vargas emphasizes the importance of balancing the collection of data with privacy concerns and the customer experience. He also discusses the impact of artificial intelligence (AI) and machine learning in fraud detection and prevention, stressing the need for intelligent application and human expertise.
Challenges in Managing Fraud Risk in the Gaming Industry
Pablo Vargas specifically focuses on fraud risk in the gaming industry. He explains the unique challenges faced by gaming companies, especially in the online and brick-and-mortar sales domains. Vargas highlights the complexity of working with multiple stakeholders, including government bodies and regulatory authorities. The industry's rapid growth and the lack of cooperation among companies create inefficiencies in data sharing and processing. Vargas emphasizes the importance of collaborative efforts to establish efficient processes and apply data-driven approaches, including AI and machine learning, to detect patterns of fraud and ensure a sustainable gaming industry.
The Value and Limitations of Data in Gaming
The podcast explores the value and limitations of data collection in the gaming industry. Vargas highlights the importance of obtaining customer information in the online gaming space to enhance fraud detection and prevention capabilities. However, he notes that gathering clean and reliable data remains a challenge, especially in the brick-and-mortar gaming sector. The balance between acquiring data and maintaining a positive customer experience requires careful consideration. Vargas discusses the need for collaboration among gaming companies, government entities, and regulators to establish standardized processes and ensure data quality for effective fraud risk management.
Today’s guest is Pablo Vargas, Risk and Compliance Manager at FanDuel. FanDuel is a fast-growing company in the gaming industry, with over 1,500 employees working with state regulators and other industry partners to bring high-quality entertainment, gambling and sports news experiences to their users. Pablo joins us on today’s podcast to talk about managing fraud risk in the gaming space and the unique challenges gaming leaders face for both online and in-person sales domains. Throughout the episode, Pablo pulls from his larger experiences in financial services to frame how to think of customer journeys in the gaming industry as the sector begins to sense its longevity. This episode is sponsored by Riskified. Learn how brands work with Emerj and other Emerj Media options at emerj.com/ad1.
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