How Kobie and Transmit Security are shaping the future of secure, seamless loyalty experiences
In a world where points are currency and loyalty is earned with every swipe, click, and interaction, fraud has quietly become one of the most formidable threats to customer trust.
By design, loyalty programs incentivize repeat engagement. That same engagement, however, has increasingly attracted bad actors who exploit these systems for personal gain: from synthetic accounts and credential stuffing to high-value point theft and insider abuse. These threats are certainly damaging from a financial perspective, and they erode the trust that brands work so hard to build with their most loyal customers.
That’s why fraud prevention cannot be an afterthought. It must be designed into the loyalty experience from day one.
Why Loyalty Fraud is Rising and Why It Matters Now
Loyalty programs represent billions of dollars in stored value, often with fewer safeguards than traditional financial accounts. At the same time, consumers expect loyalty programs to be easy to join, simple to use, and tailored to their preferences. This tension creates an opening for fraud:
- Fake account creation to collect sign-up bonuses
- Credential stuffing and account takeovers (ATO) for point theft
- Insider abuse or coordinated fraud rings disguised within legitimate behavior
And while these schemes can be difficult to detect with rule-based systems alone, their impact is unmistakable: revenue leakage, lost customer trust, and reputational damage.
A Better Way Forward: Kobie + Transmit Security
To meet this moment, Kobie and Transmit Security have come together with a shared belief: loyalty and security shouldn’t compete. Brands can deliver seamless, emotionally resonant loyalty experiences and ensure those experiences are secure, trusted, and protected from fraud.
Security has always been a core design principle in Kobie’s technology. As fraud tactics grow more advanced, so does our approach to protecting member data and experiences. That’s where our partnership with Transmit Security comes in. While Kobie brings the strategic, operational, and technology backbone that enables some of the world’s most successful brands, Mosaic, by Transmit Security, brings a unified enterprise-grade platform that includes best-of-breed identity verification, device intelligence, and real-time fraud detection in a single platform. Together, we help brands stay ahead of emerging threats and proactively guard against loyalty fraud without compromising experience.
Four Pillars of Loyalty Fraud Protection
- Frictionless Enrollment, Fraud-Free Foundations: Loyalty starts with enrollment. Bots, fraud farms, and synthetic identities are increasingly exploiting onboarding flows to collect points at scale. By combining Kobie’s ability to design and manage intuitive enrollment experiences with Transmit Security Mosaic’s unified platform delivering identity verification, behavioral biometrics, and device intelligence, brands can be confident that new members are real people, not just new accounts. This leads to higher-quality member acquisition and fewer fraud issues down the line.
- Real Time Risk Detection at Redemption: Redemptions are one of the most common targets for loyalty fraud, particularly in industries like travel and retail, where points can be exchanged for high-value rewards. Transmit analyzes real-time risk signals such as unusual behavior patterns, IP anomalies, and transaction velocity before redemptions are processed. Kobie ensures legitimate members continue to experience smooth, uninterrupted redemptions, while suspicious activity is identified and stopped. This approach helps protect point balances, maintain member trust, and limit potential brand exposure.
- Journeys for Fast, Secure Innovation: Whether launching a new promotion or updating how members authenticate, brands need the ability to move quickly without compromising security. Mosaic’s orchestration layer, as part of a single platform, makes it possible to build and adjust identity flows without relying on lengthy developer cycles. When paired with Kobie’s real time engagement capabilities and experience design, brands can bring secure, personalized journeys to market faster.
- A Single, Trusted Member Identity: Effective personalization starts with trustworthy data. Kobie captures rich behavioral and transactional signals that help tailor each member’s experience. Transmit strengthens that foundation by ensuring the data is tied to verified, legitimate identities. Together, this makes it easier for brands to target the right members, reduce fraud risk, and deliver more relevant engagement that drives long-term value.
Industry Use Cases: Where the Stakes Are High
Fraud doesn’t always look the same across industries, but its impact is equally damaging:
- Travel & Hospitality: Fake accounts exploiting loyalty miles, insider redemptions masked by shared IPs, ATO attacks targeting premium rewards
- Retail & Grocery: Flash fraud during point-based promotions, bots draining limited inventory rewards
- Financial Services: Abuse of point-based credit card rewards, synthetic ID creation during loyalty linked onboarding
With Kobie and Transmit, brands in these sectors can deploy layered protection that adapts to their unique risks, all while enhancing the customer experience.
What Brands Can Expect
Brands that integrate Kobie and Transmit Security’s joint solution can expect meaningful impact across both customer experience and risk reduction. Together, we help reduce loyalty redemption fraud by as much as 70%, speed up the launch of secure, loyalty-linked customer journeys, and eliminate bot-driven sign-up abuse. By strengthening trust throughout the member experience, this approach also supports improved satisfaction, loyalty, and long-term retention.
Loyalty Can’t Exist Without Trust
Loyalty and trust go hand in hand, both built one interaction at a time. In today’s threat landscape, brands still need fraud detection, and they also need fraud prevention. Both should be woven into every layer of the customer journey. That’s the promise of Kobie + Transmit Security: Secure loyalty, without compromise.
