According to the Market Statsville Group (MSG), the Global Chargeback Management Software Market size is expected to grow at a CAGR of 20.6% from 2024 to 2033.

Chargeback management software tools help businesses to efficiently and effectively tackle the chargeback process, which occurs due a customer disputes for credit card transaction and requests a refund via their issuing bank. This tool streamlines and automates the complex and time-consuming procedures of chargeback solutions. Chargeback management software offers documentation management, real-time monitoring of transactions, quarrel tracking, and communication tools to cooperate with customers and banks. It allows businesses to carefully address chargebacks by identifying issues, collecting necessary evidence, and submitting feedback within the required timeframes. This decreases the burden on customer support teams, the risk of revenue loss, and penalties for excessive chargebacks. Further, these tools analyze and report insights into chargeback causes and prevent individual fraud and process optimization practices. Through these tools, businesses can protect their financial interests, maintain good customer relationships, and strengthen their overall operational efficiency in order to increasingly complex payment landscape.

The increasing proliferation of e-commerce and online transactions has upsurged payment disputes and chargebacks, owing to unauthorized transactions, fraud, or dissatisfaction with products and services. This significantly increasing payment dispute necessitates the demand for the chargeback management solutions market. The evolving regulations and compliance in the financial and payment industries, such as in 2015, Europe adopted the second Payment Services Directive (PSD2) imposing in all retail payments in Europe, euro and non-euro, domestic and cross-border. Thus, businesses have to follow such regulations to avoid penalties and protect their financial stability, thereby boosting the chargeback management software market demand. The rising sophistication of fraudsters and cybercriminals results in constant threats to various businesses is another factor that contributes to the market’s growth. For instance, in May 2023, the Indian government witnessed a significant increase in UPI fraud as 84,000 cases were reported in 2021-22, and 77,000 in 2020-21. Also, as per the UK Finance Organization, over £1.2 billion (USD 1.46 billion) were stolen through fraud with over 80% of online App fraud cases witnessed in 2022. Thus, the increasing demand for payment fraud across the world has accelerated the demand for chargeback management software to detect and combat fraudulent activities, minimizing the financial losses associated with chargebacks.

The initial cost of administering chargeback management software can be challenging for some businesses, mainly for smaller enterprises. This initial cost encompasses the software licensing fees, integration with existing systems, and staff training may restrict the market’s demand. The complexity of this tool's operations and the lack of skilled professionals further limit the market’s growth. This complexity can slow down the chargeback management software adoption rate, especially for organizations with limited technical expertise. The market is saturated with numerous vendors offering different solutions which makes it challenging for businesses to select the right software for their specific needs.  On the other hand, the integration of AI algorithms in chargeback management software creates a lucrative opportunity for market growth. AI offers real-time datasets to identify suspicious patterns, minimizing the number of chargebacks and saving businesses resources and time. Further, the implementation of blockchain technology provides an immutable and transparent ledger, enhancing the security and transparency of payment transactions. Thus, creates a tamper-proof record of transactions, minimizing the risk of fraud and upgrading accountability in the payment process, significantly fostering the chargeback management software growth over the forecast period.

Chargeback Management Software Market Segmental Analysis, 2024-2033

Based on application, the market is divided into large enterprises and SMEs. The large enterprises segment accounted for the largest market share in 2023. Large enterprises particularly have a higher revenue and transaction volume, leading to a huge number of chargeback incidents. As a result, large enterprises have a huge capital to invest in chargeback management solutions to safeguard their financial landscape. Large enterprises typically have operations in multiple regions and markets, handling a diverse customer base and various payment methods, driving the demand for chargeback management solutions to navigate different regulatory environments and ensure compliance with various regional rules and requirements. Also, the enterprises need to maintain their brand value and have to come clean in front of their customers thereby creating a positive outlook for the market.

Based on the regions, the global chargeback management software market has been segmented across Europe, North America, the Middle East & Africa, Asia-Pacific, and South America. North America is projected to grow with the largest market share in 2023. The developed market of e-commerce in North America increases online transactions, which, in turn, escalates the risk of chargebacks. Also, North America has strict regulations such as the Payment Card Industry Data Security Standard (PCI DSS) and consumer protection laws for data security, payment processing, and consumer protection, which accelerates the demand for advanced chargeback management software to ensure compliance. The region is an early adopter of technological innovations such as AI and blockchain in chargeback management software solutions that create a positive space for the market.

Report Scope of the Global Chargeback Management Software Market

This market research study categorizes the chargeback management software market-based on type, and application area at the regional and global levels.

By Type Outlook (Sales, USD Million, 2019-2033)

• Cloud Based
• On-premises

By Application Outlook (Sales, USD Million, 2019-2033)

• Large Enterprises
• SMES

By Region Outlook (Sales, USD Million, 2019-2033)

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • Italy
  • France
  • UK
  • Spain
  • Poland
  • Russia
  • The Netherlands
  • Norway
  • Czech Republic
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Indonesia
  • Malaysia
  • Thailand
  • Singapore
  • Australia & New Zealand
  • Rest of Asia Pacific
• South America
  • Brazil
  • Argentina
  • Colombia
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • South Africa
  • Egypt
  • Rest of MEA

Chargeback Management Software Market Key Players, 2023

The major players operating in the global chargeback management software market are:

• Riskified 
• SEON Technologies 
• Kount 
• Midigator
• Chargeback Gurus
• MidMetrics
• Chargebacks 911
• ChargebackHelp
• iNymbus
• Sift

Recent Developments:

• In October 2023, nSure.ai, an innovator in AI-driven fraud prevention, entered into a partnership with an innovator in smart chargeback automation Justt. This partnership offers unparalleled fraud protection and chargeback management capabilities for high-risk digital transactions in gift cards, gaming, and cryptocurrency.
• In September 2023, Justt, a trailblazer in smart chargeback automation, today entered into a partnership with Forter's Program to help automate and streamline chargeback management within a single platform. This new partnership allows both companies to use artificial intelligence (AI) and machine learning to automate the manual aspects of digital commerce for further improving win rates and recovering lost revenue.
• In July 2022, Equifax acquired Midigator LLC, a provider of post-transaction fraud mitigation solutions to expand its global presence in digital identity and fraud prevention. The acquisition will combine Midigator's highly automated platform with Equifax’s Kount Identity & Fraud solutions to expand its global footprint in fast-growing digital identity solutions.