Yesterday Paco bought a product on Wallapop and received it. Then came the problem. Paco called the bank and lied saying that it was not the product he expected or that he did not receive it, thus managing to keep the product and recover his money. Free product for him, headache for Wallapop. This is where a promising Catalan startup called Kloutit comes in.
Fictional situation, real problem. Paco does not exist as such and the situation is fictitious, but it is the reflection of a very palpable reality among e-commerce companies: many are affected to a greater or lesser extent by the so-called chargebacks or chargebacks.
Kloutit has an AI to solve it. The Catalan startup Kloutit has created an AI tool to manage these chargebacks on e-commerce platforms. Founded in 2024 by Albert Algarra (CEO), Alexis Pairetti and Adrián Algarra, the company already has almost 200 active clients and operates in nine countries, as indicated in CincoDías. Among those clients are Wallapop, Cabify, Playtomic, Factorial, or TaxDown.
A problem that they manage to mitigate. The phenomenon of chargebacks negatively impacts 30% of the gross operating profit (ebitda) of companies, according to Kloutit. However, thanks to their AI system, companies multiply the amount of money lost and later recovered by 5.5. Not only that: as those responsible for CincoDías indicate, “Reducing chargebacks not only protects income, but also improves the relationship with payment service providers, and avoids penalties for high ratios.”
They may be legitimate, but they may not be.. Unlike a normal return in which you go to the store, deliver the product and receive your money back, in a chargeback the bank withdraws the money directly from the merchant’s account and returns it to the customer while it investigates what happened. Chargebacks typically occur in three cases:
- Real fraud: someone has stolen your card and made purchases, so you notify the bank indicating that it was not you, and the bank returns your money.
- Problems with service: you bought something that never arrived, or the product that arrives is broken or the service (hotels, flights) was not as promised.
- “Friendly fraud”: This is where the problem lies for companies, and it is the fictitious case we have described.
A chargeback is not just about losing a sale. For a business it implies a double loss: both the product they already sent and the money from the sale. In fact, after the chargeback the nightmare begins, because the implications are several:
- Penalty: Banks charge a penalty fee to the merchant for each chargeback received regardless of who is right.
- Blacklist: If the store has many chargebacks, Visa or Mastercard can blacklist you and prohibit card payments.
- Expensive defense: defending against a chargeback is a cumbersome bureaucratic process: you have to demonstrate with evidence (delivery notes, screenshots, emails) that the customer did receive the service.
AI vs. obsolete systems. The platform developed by Kloutit promises a much more effective alternative to traditional systems that they describe as obsolete: manual processes, a lot of time investment and disappointing success rates. The Catalan startup’s AI system promises to automate these processes and free teams from this burden. That they have more and more clients is a promising sign that they are doing something right.
Images | Nathana Rebouças
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