Summer Ticketing Fraud Leading to Rising Chargeback Costs
Global Risk Technologies, Europe’s premier chargeback remediation specialist and owner of Chargebacks911, recently released a new ticketing fraud white paper addressing the rising trend of ticket-related fraud and chargebacks.
UK residents have been plagued with fraudsters taking advantage of online payments for premium tickets, leaving the victims completely empty handed and confused.
The UK experienced a 55 percent rise in ticket fraud in 2015, losing in the process approximately 5.2 million pounds to online ticket fraudsters in 2015, compared to the 3.35 million back in 2014.
Based on findings from the UK’s Local Government Association, over a quarter of fake tickets sold online in 2015 were for major sporting events, such as England’s Rugby World Cup tournament as well as the English Premier League.
The age group of the majority of fraud victims fell in the 20 to 29 ranges.
“Venue operators and ticketing companies are unfortunately no less prone to the problem of chargebacks than retailers from any other sector,” explains Monica Eaton-Cardone, Co-Founder, Chargebacks911 and Global Risk Technologies. “The problem today is that the chargeback process is heavily weighted in favour of the cardholder, to the extent at which it is being abused.”
Working with an online ticketing company, Chargebacks911 secured a 14 percent reduction in chargeback origination, increased the win rate from 15.8 percent to 58 percent and helped bring about a 50 percent reduction in chargebacks form the cardholder.