Hemper Case Study

Hemper is on a high with NoFraud.


Chargeback losses eliminated


Annual overhead eliminated



The Company

Founded in 2015, Hemper designs, manufactures, and sells smoking accessories and subscription boxes for the cannabis industry. Now grossing seven figures annually, Hemper is rapidly expanding its market share and was recently featured as a 2019 Inc. 5000 company.

The Challenge

As a fast-growing eCommerce business, Hemper relied on Shopify, its eCommerce platform, to screen for fraud.

When purchases were flagged as potentially fraudulent, Hemper didn’t have efficient systems in place to handle them — their six-person customer service team had to manually review the orders with limited information on the transaction’s risk factors, place them on hold, and reach out to customers for verification. This laborious process put a strain on manpower and customer relations.

The catalyst to make a change occurred in the summer of 2018. Hemper’s third party checkout system was being targeted by a massive card testing attack. Scammers were using their website to test stolen credit cards. Because Hemper was growing so quickly, they didn’t have time to keep track of all the fraud attempts that did get through the processor, and chargeback losses kept mounting.

By midsummer, Hemper’s chargeback losses ballooned to 20K/month in one month. They knew they needed a better solution that would not only prevent all fraud attacks, but also relieve their customer service team from the arduous manual review process they had in place.

The Solution

To combat the company’s growing problem with fraud, Hemper turned to Shopify for support, who recommended using a fraud prevention app with a focus on automation.

Hemper chose the app with the highest ratings in the Shopify app store and decided to give it a try. The NoFraud installation process took only a few minutes and immediately began screening and auto-declining fraudulent orders.

The Results

Once NoFraud was installed, the chargeback losses dropped dramatically from 20K/month down to $0 nearly every month.

NoFraud worked with their third-party checkout system and advised them on different measures they could institute to stop the card testing, which were implemented successfully. All fraudulent transactions were automatically identified and canceled, or a hold was placed on the order while NoFraud completed the review for a final determination on the transaction’s legitimacy. No longer needing to manually review high-risk orders, Hemper was able to cut their six-person customer service team down to two full-time employees and one part-time employee, reducing their overhead by $140K annually.

“Since implementing NoFraud, our fraud challenges disappeared overnight. Their expert guidance was critical during the card testing attack and we rely on them for the smooth functioning of our operations. My only regret is previously insisting that the DIY approach was superior to an outsourced solution for so long. Implementing NoFraud earlier would have saved me a lot of time, money and stress.”

Angel Ferrer
CTO, Hemper

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Customer Testimonials

Praise From Some of Our
Successful Customers
“5 stars across the board! We switched to NoFraud a year ago and not only did my approval rate increase drastically but pricing was also a lot more competitive. The integration is seamless and literally worked out of the box with zero changes to our current workflow.”
marika logo
“NoFraud has been absolutely amazing. Before NoFraud, we were suffering from a barrage of fraud attempts, which resulted in tens of thousands of dollars of chargebacks. Once you install this app, fraudsters will give up hope. I think it’s a no-brainer.”
Wine Chateau Marketplace
“Implementing NoFraud has vastly improved our business operations, not only by significantly reducing chargebacks and false positives, but by turning our inefficient fraud prevention process into a simple pass/fail decision that saves us loads of time and stress.”
nixplay logo
“This is some of the best money we have ever spent. Integrating the app was quick and smooth, the support is fantastic and far superior to the service offered by some of their competitors. Our fraudulent orders have dropped by almost 60% since integrating NoFraud as compared to Signifyd and all orders that are charged-back are quickly reimbursed.”
Designer Optics Logo
“I switched to NoFraud from another guaranteed fraud prevention provider. My approval rate improved, pricing was more competitive, NoFraud customer support is superb and the user interface is intuitive and informative. My only regret is that I did not make the change sooner.”
Hak5 Logo
“Normally not one to write reviews but absolutely must applaud NoFraud. I switched over from a big name competitor that dropped the ball huge on support. I’ve had no such issues with NoFraud — their support agents has been super responsive. The sales folks answered my every detailed question — even digging into API documentation. Their onboarding team was top notch. I was up and running super quick! Very happy.”
JNA logo
“The NoFraud app is really easy to install and set up. NoFraud’s analysis has been much more effective than the standard default Shopify fraud analysis. It catches fraud missed by Shopify and passes orders that Shopify said were high risk. Best part is, you can contact NoFraud and speak with someone.”
PCmag logo
“The team at NoFraud are amazing. They have been a strong partner against the fraudsters. Right before we signed up we were hit with several thousand dollars of Mule Fraud. The addition of this app has definitely saved us money. Worth every penny. I would totally recommend them.”
Judith Leiber logo
“We can’t say enough wonderful things about the team at NoFraud. They are extremely responsive, knowledgeable, and easy to work with. The peace of mind we get from knowing that they are handling the fraud check process is invaluable. NoFraud’s system consistently delivers accurate order ratings and recommendations.”
Kaged logo
“NoFraud has been fantastic. We switched from Signifyd and haven’t looked back. Better rates, vastly simpler customer service, easier touch points for service/help, chargeback protection and filing on our behalf (this was huge — of the few chargebacks we’ve gotten, NoFraud takes care of them and we’re good to go!). Super fast verifications (if/when needed). Great staff. All in all, definitely recommend going with this app!”
UMZU logo
“Excellent communication. Easy to use service. Available to resolve and questions or concerns that arise in a timely manner.”
“NoFraud’s ability to extend internationally is great since we have no experience or knowledge in international sales. Without NoFraud, we’d have to learn everything there is to know about fraud detection in another market.”
“When I did a chargeback audit over the last 5 years before NoFraud, I saw that had I been a NoFraud customer for 10 years, I could’ve bought a boat with all the savings.”
“We didn’t realize how much money we were leaving on the table until we used NoFraud.”
“Turning NoFraud on was like a magic switch. Poof! All of a sudden our fraud problems disappeared.”

Ready to learn more?

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Ready to learn more?

Book a demo and see our accurate real-time fraud screening for eCommerce in action.

We offer Starter Plans for even the smallest sized businesses, including a free plan and plans that include chargeback protection for companies that process less than $50,000/month.

Businesses that process more than $50,000 in revenue/month qualify for custom pricing. Book a demo and see our accurate real-time fraud screening for eCommerce in action.

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