A recent report by PYMNTS shows something many travel merchants might already suspect: consumers are leaning heavily on digital wallets when booking trips, but hardly using them when they buy groceries. In fact, they’re 2 to 4 times more likely to tap a wallet like Apple Pay or Google Pay for travel purchases.
Why does this matter?
Because travel payments are loaded with risk, especially when paired with digital wallets.
Why Wallets and Travel Are a Fraud Magnet
The travel sector has long been a hotbed for fraud and chargebacks. Add in mobile wallets, and the risk curve bends even sharper. Here’s why:
- Delayed fulfillment: Unlike groceries, travel purchases often happen weeks or months in advance. That delay gives fraudsters time to vanish—and opens the window for real customers to change their minds and file disputes.
- Device switching: PYMNTS notes that wallet users frequently shop across devices. A booking may start on a laptop, but payment might happen on a phone. This makes it harder for merchants to connect user behavior and verify legitimacy.
- Disputes are rising: Travel wallets may offer convenience, but they also shorten dispute windows and speed up the chargeback process. Customers expect a fast refund, and often bypass the merchant entirely.
Travel Wallets Signal a Growing Dispute Trend
According to the same PYMNTS report, 24% of travel purchases now happen through digital wallets. For groceries, it’s just 6%. That means wallets are no longer just a payment method—they're a behavioral signal.
When a digital wallet is used for a high-ticket, future-dated product (like airfare or hotels), merchants should treat it as a potential flag for:
- Non-delivery claims
- Friendly fraud
- Buyer’s remorse disguised as fraud
What Merchants Can Do Now
Travel merchants in particular should rethink their chargeback strategy around wallet payments. That includes:
- Tracking wallet usage across channels and devices
- Monitoring fulfillment delays and adjusting refund policies
- Using alert tools to respond to disputes before they escalate
- Tightening verification on high-risk wallet transactions
Digital wallets are here to stay—but without proactive protection, they’ll keep leaving a paper trail of losses.
Stop Wallet Disputes Before They Happen
Chargeblast helps merchants spot risky wallet behavior early, before it turns into a chargeback. With real-time alerts, automated response tools, and a fraud signals engine tuned for digital wallet patterns, you can protect your travel business without adding friction.
