Human + machine: Winning chargeback management in 2024
Fraud managers and analysts know how much work it can take to win a chargeback dispute. In addition to curating evidence, analysts spend their time manually consolidating and organizing data, divvying up work, formatting and submitting evidence, and tracking status. And when you want to track overall program performance, there’s more manual work ahead of you.
Make no mistake, analysts can contribute significantly to winning disputes, which makes tedious tasks a waste of their expertise and insight. If menial work takes up too much of the analyst’s time, win rates suffer because they are focused on updating spreadsheets instead of applying their investigative skills.
A new survey reveals that 59% of merchants manage their chargeback disputes 100% manually.* It’s a big problem.
It’s time for a better way forward. Merchants can improve throughput, maximize team productivity, and boost revenue recovery by augmenting their approach with a more automated chargeback management system.
The challenges of chargeback management
A typical chargeback team logs in each day to a fresh batch of chargebacks awaiting review. Chargebacks come from multiple gateways, so the team ends up spending a lot of time “swivel-chairing” between them, aggregating data from different sources. After the process of manually copy-pasting credit card, customer, and transaction information, it’s on to the hunt for “golden evidence”— in CRM data, customer support interactions, delivery confirmations, and more. For a single chargeback dispute, this process can take 30 minutes, which makes it hard to scale volume while still devoting enough time to investigate and win high-impact disputes. What’s more, fragmented data makes it difficult for managers to keep a handle on their overall chargeback rates and performance.
Augment human expertise with automation — how a multilayered approach can recover 2X the revenue
By adding automation at key steps of the chargeback management workflow, fraud managers can better use their human assets, scale volume more easily, and improve win rates. A chargeback management system reduces the tedious manual work. It allows you to choose the segments with the highest impact so your team can focus their time conducting investigations, analyzing findings, and making decisions. In the meantime, automation takes care of the routine segments so you don’t have to worry about them anymore.
Even on high-value segments, automation can assist with the repetitive parts of your investigation, pulling together data for compelling evidence, tracking performance, and so on. Ultimately, automated dispute resolution tools can recover one-and-a-half to two times more revenue by streamlining operations and optimizing chargeback responses. (Riskified’s Dispute Resolve typically slashes the time from 30-plus minutes to just five.)
Two key elements to successful chargeback management solutions
Your chargeback management solution should serve your needs and elevate your potential for excellence. What do we mean by this?
- Your platform should be customized to your workflow. Every merchant’s chargeback ecosystem and operations are unique. If you’ve got a team, they’ve probably built a robust internal operation to handle chargeback management. You should be empowered to augment and supercharge your workflow, not rip it out and replace it.
- Automation empowers your team to do its best. With a chargeback management solution, your team’s ability to dispute chargebacks and recover more revenue gets amplified. By harnessing automation precisely when and where you need it, you can boost efficiency and scalability, all while honoring the indispensable value and insights your analysts bring to the table.
Make 2024 the year you get ahead of the chargeback workload and boost win rates by augmenting your team’s expertise with AI-powered automation. (Check out Riskified’s own chargeback management system, Dispute Resolve, to see how we can help your team recover more revenue.)
New research — does your chargeback management approach measure up?
Releasing in March 2024: Sign up to receive new global research on chargeback management* based on a survey of 300 fraud prevention specialists, along with best practices for optimizing your chargeback management approach in 2024.