Mastercard (NYSE: MA) and Salesforce (NYSE: CRM) have announced a strategic integration aimed at enhancing trust and efficiency in the transaction dispute process. This collaboration seeks to expedite the resolution of transaction disputes and reduce associated costs for financial institutions and merchants.
Disputes and chargebacks, where consumers request refunds for unrecognized transactions, present a significant challenge in the payments industry. Projections indicate that by 2026, chargebacks could reach 337 million annually, marking a 42% increase from 2023 levels. This new partnership addresses these challenges head-on.
The integration will streamline how issuers, such as banks and financial institutions, manage transaction data related to disputes. It aims to provide a quicker, more efficient, and transparent response to dispute inquiries by merging Salesforce’s Financial Services Cloud (FSC) with Mastercard’s dispute resolution services.
Mastercard’s dispute resolution suite includes Ethoca Alerts, which offers near real-time notifications when a chargeback is raised, and Ethoca Consumer Clarity, which provides detailed merchant and purchase insights to issuer back-office teams. By feeding this data into FSC, bank agents and team members will gain enhanced visibility from start to finish, improving customer experience.
FSC is powered by the Einstein 1 Platform, which integrates customer relationship management (CRM), artificial intelligence (AI), merchant and consumer data, development, and security capabilities into a single platform. This unification is expected to revolutionize the way transaction disputes are handled.
Johan Gerber, Executive Vice President, Security and Cyber Innovation at Mastercard, commented: “Technology is crucial in speeding up and improving the checkout experience, especially online. Every disputed transaction can cause stress for consumers and resource pressures for merchants and financial institutions. Through this partnership, we are adding tools that make it easier and faster for banks and merchants to resolve disputes, further enhancing trust in the ways people choose to pay.”
Eran Agrios, Senior Vice President and General Manager for Financial Services at Salesforce, added: “Our partnership with Mastercard underscores our shared vision of using trusted data and innovative technology to streamline processes and deliver excellent customer experiences through the Einstein 1 Platform. Together, we’re reimagining the transaction dispute process, combining Salesforce’s CRM, data, and AI with Mastercard’s dispute resolution to provide an end-to-end solution benefiting our joint customers.”
This collaboration between Mastercard and Salesforce represents a significant advancement in resolving transaction disputes, ensuring a more seamless and efficient process for all parties involved.