Travel sector hit by 30% year-on-year surge in chargebacks

New data from travel payment solutions provider Outpayce from Amadeus, published on Tuesday (27 June), claims 70% of global travel companies have seen an increase in chargebacks, with disputes soaring by 30% year-on-year. 

Respondents say this is due to customers considering chargebacks easier to achieve than refunds as well as due to increased travel awareness. 

The study also shows that travel firms are almost always unsuccessful when they challenge a chargeback, as only 25% of companies see more than 60% of disputes awarded in their favour. 

“Our research shows travel companies are finding it hard to handle the volume of disputes they’re seeing,” said commercial senior vice-president Tania Platt.

“A requirement to invest in additional skilled resources, coupled with the difficulty collecting the travel and payments information needed to contest chargebacks are resulting in low success rates.”