Claims and dispute management

Claims and dispute management

Year

2021

Role

Senior Product Designer

As a member of the Payments and Risk team, my role involved working with merchants to prevent, manage and fight chargebacks. Chargebacks refer to a transaction that is disputed by a customer, and the payment is returned to the customer's account. Chargebacks can occur for various reasons but for this case we decided to focus on product-related disputes. This means disputes raised by a customer because they are unhappy with the product they received, such as receiving damaged or defective products, incorrect orders, or products that do not meet their expectations.

01 /

The problem

  • Shopify's chargeback win rate is just below 20%, way below industry-standard

  • Building compelling cases against chargebacks still involved manual input from merchants

  • Product-related disputes made up for 41.8% of all chargebacks

  • The current out-of-the-box customer-merchant communication solution is very generic and is not tailored towards resolving issues

02 /

The hypothesis

The origin of a product-related dispute is a buyer claim.

An improved communication experience between merchants and customers designed to resolve issues should lead to fewer chargebacks.

The origin of a product-related dispute is a buyer claim.

An improved communication experience between merchants and customers designed to resolve issues should lead to fewer chargebacks.
The origin of a product-related dispute is a buyer claim.

An improved communication experience between merchants and customers designed to resolve issues should lead to fewer chargebacks.

03 /

The opportunity

A product for merchants to effectively manage claims from various sources within the admin, reducing the number of chargebacks.

The initial goal of this project was to redesign the web checkout. To gain insight into the issues and pain points of our current checkout, we conducted 4 months of user research. Our research findings supported the insights we had previously gathered from data analysis. This provided us with a unique opportunity to completely revamp the checkout experience for our users. However, after this research, it was decided that we would shift our focus to building an iOS app. This change in direction allowed us to apply our research findings and utilise native features to deliver a modern checkout experience for our users.

04 /

The solution

Our solution involved integrating with Inbox, Shopify's own chat application, to facilitate the capture and presentation of customer claims to merchants for action. This solution was designed to consolidate conversations between merchants and their customers into a single, centralised view.

Customers use the Shopify Inbox chatbot to file in a complaint regarding an order. The process is designed to capture all the information a merchant might requires to take action.

The claim appears as a new conversation in the merchant's Shopify Inbox dashboard

The claim appears as a new conversation in the merchant's Shopify Inbox dashboard

Oscar Lozano

©2023

Oscar Lozano

©2023

Oscar Lozano

©2023