The holidays' chargeback chronicles – Justt interview

Thursday 6 January 2022 08:36 CET | Editor: Vlad Macovei | Interview

Roenen Ben-Ami, co-founder and CRO of Justt, shows us how the holidays and the supply chain backup affect chargebacks and shares with us his company’s background and mission

What is the story of Justt and to which target groups does the company address?

Justt is a company that restores fairness and simplicity to the world of credit card payment disputes. We fight chargebacks on behalf of merchants to recover legitimately earned revenue that was lost due to friendly fraud. 

Justt works with merchants of record in ecommerce, travel, cryptocurrency, and other fast-paced industries where card-not-present payments dominate. We also work with acquirers and PSPs looking to assist merchants in their portfolios in improving their chargeback management practices.  

The company has been around for a little over a year and we already have grown to over 130 employees serving dozens of clients and are expanding aggressively.

How are chargebacks different during the holiday season as opposed to the rest of the year?

Just like the sales boom during the holiday shopping season, chargebacks mushroom 45 to 60 days later in January and February. This is true for both legitimate chargebacks due to true fraud and service problems, as well as friendly fraud (AKA first-party misuse). Roughly 40 percent of retailers’ annual chargebacks will come in during Q1 as a result of a holiday season hangover effect.

The holiday season chargeback effect is related to three different causes:

  • An increase in friendly fraud as shoppers take advantage of time-sensitive sales and then experience buyer’s remorse. Some shoppers also intentionally take advantage of the hustle and bustle of the season to try their luck at getting products at the expense of merchants too busy to fight most of their chargebacks;
  • An increase in true fraud as criminals seek to hide their purchases with stolen card information amid the huge volume of legitimate transactions from holiday shoppers;
  • Fulfilment problems as retailers experience difficulties in getting inventory to buyers in time for the holidays, including delayed shipments, order mismatches, and other impediments to a positive shopping experience.

As you can see from the three causes mentioned above, it’s the massive volume of commerce during the holidays that leaves the system exposed to all sorts of shenanigans. 

What is supply chain backup and how does it influence holiday season chargebacks?

The global goods supply chain has been experiencing congestion for over a year now. It started with government and corporations reactions to COVID-19, which led to a stop-go production environment and an unanticipated surge in demand for specific types of goods. Other elements like a shortage of shipping containers in Asia and a lack of truck drivers in the US and UK to carry cargo from the docks exacerbated the issue.

The impact is that the usual fulfilment problems retailers experience during the holidays have grown to an issue of massive proportions. The expected effect was significant enough that some retailers encouraged consumers to get their holiday shopping done already in September. 

In terms of chargebacks, that means we expect to see more claims with Goods Not Received reason codes. Some of these claims will be legitimate efforts by customers to recoup money on purchases they did not receive in a reasonable timeframe. However, a significant share of these chargebacks will be from customers who lose patience and dispute the transaction before the retailer exceeds the permitted timeframe for delivery.

There will, of course, also be some amount of people truly trying to game the system and using the Goods Not Received reason code as a believable excuse with their card issuers to get both the product and their money from the merchant. 

How can Justt help with this issue, what solution makes the company stand out among competitors?

Justt can help merchants deal with holiday season chargebacks as with all chargebacks in several ways. By looking at the specifics of a merchant’s Terms and Conditions and checkout process we create a customised chargeback mitigation solution for them. We don’t use generic templates like many of our competitors. Instead, for each client, we seek to understand the reason or reasons they are losing chargeback claims and tackle it head on.

In addition, unlike some solutions, we take the entire responsibility of creating and submitting evidence off merchants’ hands and automating parts of the process to allow us to scale rapidly to meet changing chargeback volumes. This is crucial for merchants experiencing a post-holiday surge in chargebacks, letting their overburdened teams focus on other aspects of customer service without letting winnable chargeback claims slip through the cracks. Having your team staff the lines and writing emails updating consumers about what is going on with their packages and when they can expect to receive them is key to saving sales during a logistics crunch. Give your customers the customer service they deserve and let us handle the chargebacks for you.  

Lastly, Justt charges customers only a success-based fee. Merchants pay no setup costs and aren’t charged if we lose a chargeback case. That means our solution is always accretive to your bottom line.

How does 2022 look like for Justt?

The last year or so was a breakthrough period for us. We raised USD 70 million, expanded into new verticals, like property rentals, and grew the team to over 130 employees. We also signed dozens of clients, helped in part by recommendations from our strong investor network.

In 2022, we expect to land more high-profile enterprise clients as we expand our sales and marketing operations in North America. Justt is also investing heavily in the machine learning aspect of our solution to optimise our already high success rates in fighting chargebacks. With our AI, I expect we will become the undisputed industry leader in terms of performance.

About Roenen Ben-Ami 

Roenen Ben-Ami, co-founder and Chief Risk Officer of, is an expert in the field of payments and chargeback mitigation. Together with co-founder and CEO Ofir Tahor, he has shaped the company’s product and vision since its founding in 2020. Previously, Roenen led the Chargeback and Merchant Risk teams at the payments service provider Simplex, which successfully recovered millions of dollars a year. He also served for nine years in an elite military intelligence unit in the Israel Defense Forces, attaining the rank of captain and spearheading the creation of an innovative operations department focused on change leadership, human resource development, and risk management.

About Justt

Justt turns a clunky and cumbersome credit card dispute process into one that’s fair, simple, and hands-free for merchants. Using machine learning and deep domain knowledge, Justt effortlessly flags incorrect chargebacks and builds  customised solutions to gather and submit evidence on merchants’ behalf. Justt today serves major clients from worlds of ecommerce, travel, payments, and crypto.

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Keywords: chargebacks, supply chain finance, ecommerce
Categories: Payments & Commerce
Companies: Justt
Countries: World
This article is part of category

Payments & Commerce


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