A chargeback is the formal process initiated when a cardholder disputes a payment, often leading to the cardholder being reimbursed directly by their issuing bank, which then obtains the funds from the merchant. Since the disruption seen during the COVID-19 pandemic the travel industry has witnessed a significant rise in chargebacks, with one in every eight chargebacks now related to travel purchases.
Given the rise in disputes, some travel companies lack the resource and data insights to handle the process efficiently, with many disputes automatically resulting in favour of the cardholder, often without challenge. That’s why Amadeus is launching Amadeus Chargeback Management, powered by Chargebacks911, which provides airlines with an automated and fully outsourced service to better manage chargebacks at scale.
Airlines can now see a detailed overview of chargebacks by accessing the existing Xchange Payment Platform (XPP). Increased automation is achieved with Amadeus’ unique travel information, which provides a clear view of whether a traveller received the service in question. This is combined with detailed payment information to help airlines automate their response to each dispute, reducing instances of fraud and the overall cost of managing chargebacks.
Chargeback’s officials stated that unfortunately, if passengers miss a flight or if their plans change, some decide to raise an illegitimate chargeback. Periods of recent disruption have increased awareness of chargebacks amongst travelers, and the ease with which disputes can be raised via mobile banking apps mean high volumes are a significant issue. Their partnership with Amadeus lifts the burden, so airlines can focus on their core business.
The Amadeus Xchange Payment platform is used by more than 100 airlines to analyse, manage and optimise their complex global payment flows, across multiple sales channels. In line with its strategy to provide a one-stop-shop payments platform to the travel industry, Amadeus is progressively adding new in-house and partner developed payments capabilities to XPP. XPP users can now easily access fintech services like Buy Now, Pay Later, multi-currency pricing, alternative payment method acceptance, and now, specialised chargeback management.
Travel powers progress. Amadeus powers travel. Amadeus’ solutions connect travellers to the journeys they want through travel agents, search engines, tour operators, airlines, airports, hotels, cars, and railways.
It has developed its technology in partnership with the travel industry for over 30 years. The company combines a deep understanding of how people travel with the ability to design and delivers the most complex, trusted, critical systems its customers need. In 2019, it helped connect over 1.9 billion people to local travel providers in over 190 countries.
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