Chargeback rates vary by industry and business type, with e-commerce, subscription services, and travel businesses facing higher risks. This guide offers detailed insights and strategies to minimize chargeback disputes and safeguard profits.
Industry/Business Type | Average Chargeback Rate | Key Causes of Chargebacks | Risk Level |
E-Commerce | 0.6%-0.9% | Fraud, delivery issues, dissatisfaction | High |
Subscription Services | 0.9%-1.5% | Unclear cancellation policies, recurring billing | High |
Travel & Tourism | 0.5%-1.0% | Canceled trips, booking disputes | High |
Retail | 0.2%-0.5% | Cardholder fraud, dissatisfaction | Medium |
Hospitality | 0.1%-0.3% | Double bookings, billing disputes | Low |
Healthcare | 0.1%-0.4% | Insurance claims, unauthorized payments | Low |
Food Delivery | 1.0%-2.0% | Delays, incorrect orders, dissatisfaction | High |
Digital Goods | 2.0%-3.5% | Fraudulent purchases, dissatisfaction | Very High |
Financial Services | 0.3%-0.8% | Unauthorized charges, subscription disputes | Medium |
Gaming & Online Casinos | 1.5%-2.5% | Fraud, buyer's remorse, addiction | Very High |
Education | 0.2%-0.6% | Refund disputes, service delivery issues | Low |
Automotive Services | 0.1%-0.4% | Miscommunication, fraud | Low |
Anastasia Belyh
Anastasia Belyh is a senior tech writer with over 15 years of experience in marketing, sales, and business software. Having worked in investment banking, management consulting, and founded multiple companies, her in-depth knowledge and hands-on expertise make her software reviews authoritative, trustworthy, and highly practical for business decision-makers.