Chargebacks911 has introduced tools to address a growing challenge for merchants: legitimate artificial intelligence shopping agents being misidentified as fraud by detection systems. This misclassification has led to significant revenue loss for retailers, the company noted in a press release on April 30.
The rise of agentic commerce, supported by major corporations, has outpaced the capabilities of existing fraud detection systems. These systems, originally designed for earlier technologies, are increasingly misclassifying legitimate agents as malicious bots, as stated in the release. “As agentic commerce scales, merchants face a clear choice: adapt their detection and evidence infrastructure now, or watch a growing share of legitimate revenue get declined by their own systems,” said Chargebacks911 Founder and CEO Monica Eaton.
Chargebacks911 specializes in chargeback prevention and remediation technology, offering solutions tailored for agentic commerce through its Unified Dispute Management System (UDMS) and ResolveLab platforms. These tools leverage artificial intelligence and machine learning to navigate agentic transactions, capturing comprehensive consent and permission trails. This allows merchants and financial institutions to better differentiate between legitimate transactions and fraudulent automated activities.
“The organizations that build that capability now will not only reduce false declines; they will have a structural advantage as AI-driven purchasing becomes the norm,” stated Donald Kossmann, Chief Technology Officer of Chargebacks911.
A recent report by PYMNTS, titled “Agents of Change: How Agentic AI Is Redefining Commerce,” highlighted that agentic AI is transforming commerce through autonomous transactions, redefining customer trust, and presenting a $1.7 trillion opportunity for proactive businesses. The report found that 43% of retailers are currently piloting autonomous AI solutions, with 81% expressing confidence in the technology’s ability to function autonomously if appropriate safeguards are implemented.
“Agentic AI-driven retail is no longer theoretical — it’s here and already beginning to transform commerce,” the report stated. It emphasized that businesses that act swiftly will set new benchmarks for trust, speed, and customer experience, while those that hesitate risk being overshadowed by early adopters shaping the future of the digital economy.
Another PYMNTS report, “The Hidden Costs of ‘Good Enough’: Identity Verification in the Age of Bots and Agents,” identified inadequate digital identity systems as a significant revenue trap. These shortcomings hinder onboarding processes, alienate customers, and limit expansion into new markets, adding further urgency for merchants to address their fraud detection frameworks.
As the landscape for AI-driven transactions evolves, the response from merchants and service providers like Chargebacks911 could significantly influence how commerce operates in the future. The integration of advanced detection systems not only aims to safeguard revenue but also to foster the trust necessary for consumers to embrace AI in their shopping experiences.
See also
Tesseract Launches Site Manager and PRISM Vision Badge for Job Site Clarity
Affordable Android Smartwatches That Offer Great Value and Features
Russia”s AIDOL Robot Stumbles During Debut in Moscow
AI Technology Revolutionizes Meat Processing at Cargill Slaughterhouse
Seagate Unveils Exos 4U100: 3.2PB AI-Ready Storage with Advanced HAMR Tech
