Visa is advancing its efforts to address the increasing volume of payment card disputes through a collaboration with ServiceNow. By leveraging the ServiceNow Dispute Management solution, the company aims to refine its dispute-handling services, ensuring quicker and more efficient resolutions for card issuers. The initiative is part of Visa’s commitment to strengthening its compliance infrastructure and enhancing customer satisfaction in a fast-evolving financial landscape.
What are Visa’s key offerings in this initiative?
The ServiceNow Dispute Management solution will bolster Visa’s existing services, including the Visa Dispute Management Service (VDMS) and Visa DPS Dispute Analysis and Support (DAS). These services are designed to assist issuers in managing disputes seamlessly while maintaining regulatory compliance. Highlighting the integration, Neil Mumm, senior vice president and general manager at Visa DPS, noted:
“Harnessing the advanced capabilities of ServiceNow’s platform will improve how we manage disputes for issuers. This engagement should accelerate the dispute resolution process, offering an unmatched level of service and speed to customers, building on the enhanced risk and compliance capabilities within our global managed dispute framework.”
How does the ServiceNow platform enhance dispute resolution?
The ServiceNow platform incorporates artificial intelligence (AI) to optimize dispute-handling processes. These AI-driven solutions enhance efficiency by streamlining contact center operations and increasing the productivity of employees involved in resolving disputes. Vidya Balakrishnan, vice president at ServiceNow, emphasized the benefits of the partnership:
“Banks worldwide are using ServiceNow to deliver frictionless, AI-powered customer experiences, ranging from onboarding and daily servicing to resolving disputes. Our AI Platform for Business Transformation is designed to help banks expand customer relationships and drive growth, all while cutting bottom-line costs.”
The collaboration builds upon a five-year strategic agreement between Visa and ServiceNow, announced last year. The partnership underscores a shared goal of enhancing the cardholder experience through innovative dispute management solutions.
Research from PYMNTS Intelligence and Banyan has also shed light on the importance of fast and efficient dispute resolution in customer retention. The findings indicate that 52% of consumers value swift resolution of disputes, while 50% prioritize accessible customer service. Among frequent card users, 86% expressed loyalty to cards with effective dispute management systems, highlighting the critical role these services play in maintaining customer trust.
ServiceNow and Visa have separately emphasized the role of AI in financial services in earlier initiatives. While Visa has focused on compliance and fraud prevention, ServiceNow has worked on building scalable platforms for enhancing customer experiences across industries. The current collaboration between the two companies combines these strengths to address the growing challenges of dispute resolution in a digitized economy.
Visa’s enhanced dispute resolution approach with ServiceNow reflects the rising demand for efficient and transparent processes in the financial sector. By integrating AI and automation, the initiative aims to reduce the friction commonly experienced during disputes while improving operational workflows for issuers. For financial institutions, adopting such technologies could translate into increased customer satisfaction, reduced costs, and improved regulatory compliance. For consumers, the promise of faster and smoother dispute handling signals a step toward eliminating a pain point in the card payment process.
