Mastercard and Worldpay’s partnership introduces Ethoca Alerts to streamline transaction dispute resolution, reducing chargebacks and enhancing fraud prevention efforts for merchants worldwide. This collaboration underscores a commitment to delivering seamless transaction experiences and safeguarding the integrity of the global digital economy.
27 March 2024 – Mastercard and Worldpay have joined forces to streamline the resolution of transaction disputes, aiming to provide merchants with faster resolutions and fewer chargebacks, ultimately enhancing the overall transaction experience for consumers.
Chargebacks, which occur when consumers dispute transactions on their accounts, pose a growing challenge for the industry, with anticipated volumes expected to reach 337 million by 2026, representing a significant increase from 2023 levels.
Through this partnership, Worldpay, a leading global payment technology and solutions provider, will integrate Mastercard’s Ethoca Alerts service into its offerings for its 1 million merchants worldwide. Ethoca Alerts serves as an early warning system, empowering merchants to prevent disputes from escalating into chargebacks and mitigating potential financial losses resulting from fraud.
Mastercard’s Ethoca Alerts operates seamlessly across all payment brands, delivering actionable insights that enable merchants to halt the fulfillment of goods and services in response to potential disputes. Importantly, merchants can leverage Ethoca Alerts without the need for alterations to their existing infrastructure or processes.
In addition to enhancing dispute resolution, this collaboration is poised to improve authorization rates for merchants, facilitating the successful completion of transactions within Worldpay’s extensive $2.3 trillion total transaction volume.
Johan Gerber, Executive Vice President of Cyber and Intelligence at Mastercard, emphasized the importance of fostering safe and seamless transactions in the thriving ecommerce landscape. Gerber noted that the partnership with Worldpay extends Mastercard’s technology to a broader merchant base, bolstering fraud prevention efforts and building trust in the global digital economy.
Gabriel de Montessus, Executive Vice President of Global Enterprise at Worldpay, echoed Gerber’s sentiments, expressing Worldpay’s commitment to delivering value and innovation to its clients. Montessus highlighted the collaborative effort to create accessible, flexible, and seamless solutions for fraud reduction, ultimately safeguarding consumers and merchants while accelerating commerce.
The impact of Ethoca Alerts is already evident, with the service preventing $1.6 billion in fraud between 2022 and 2023, providing significant protection to retailers against fraudulent chargeback claims.
