# Solve Chargebacks & Invalid Deductions at the Source Automatically recover lost dollars and prevent future losses by identifying patterns, pinpointing root causes, and addressing the issues that drive revenue leakage across your supply chain. ## The Problem #### You’re Losing Revenue Without Knowing Why Suppliers and brands lose 5–7% of their revenue to retailer chargebacks. These deductions and fines are often difficult to explain, validate, or dispute before dispute windows close — leaving teams reacting after money is already gone. #### Manual Processes Hide what Matters Teams spend hours logging into retailer portals, pulling proof documents, and following retailer-specific dispute workflows. These repetitive tasks slow recovery and make it difficult to see patterns across deductions. #### You Keep Seeing the Same Deductions Even when money is recovered, the underlying cause is often unclear. Without visibility into what went wrong upstream, the same deductions continue to appear month after month. ## Why This Problem Exists Running a modern supply chain means coordinating retailer rules, timelines, platforms, and partners while managing carriers, warehouses, and internal teams. Without shared visibility, deduction issues are easy to miss and difficult to resolve. #### Every Retailer Works Differently Each retailer has its own portals, timelines, documentation rules, and dispute steps. Some dispute processes require dozens of clicks per claim, while others rely on email or third parties. There is no standard process. This variability makes it difficult to apply consistent logic or learning across disputes. #### Processes Are Disconnected Most suppliers and brands are still tracking deductions in spreadsheets, emails, and disconnected portals. Proof documentation has to be gathered by hand, one dispute at a time. Disconnected tracking prevents teams from seeing trends across retailers and time. #### The Rules Change Constantly Compliance requirements, penalties, and dispute rules change frequently without warning. Many suppliers and brands only find out after money has already been deducted. Without early visibility, teams only learn about changes after revenue is already lost. #### Visibility is Fragmented Deductions are visible in financial systems, while the underlying causes live elsewhere across the supply chain. Without shared visibility across finance and operations, root causes remain unresolved and deductions persist. ## How SPS Commerce Solves Chargebacks and Deductions #### Connect **Foundation Layer** Connect the data needed to identify, explain, and dispute deductions across trading partners. Create early visibility so issues can be addressed before revenue loss escalates. So you can: - See all your chargebacks and deductions in one place - Get your proof documents automatically retrieved and attached to each deduction - Direct integrations with retailer and carrier portals ensure accurate, timely data #### Orchestrate **Workflow Automation** Automate retailer specific deduction workflows, so invalid deductions are identified, disputes are submitted accurately, and outcomes are tracked consistently across retailers. So you can: - See potentially invalid deductions flagged for review - Automate dispute submissions with required documentation - Access end-to-end dispute tracking in one place #### Optimize **Intelligence Layer** Apply network intelligence and expert insight to understand why deductions occur, identify repeat patterns, and prevent issues from happening again. So you can: - See deduction trends organized by type, retailer, and reason - Understand deduction patterns by retailer, reason, and process breakdown - Receive ongoing guidance from retail and supply chain experts ## Measurable Results When deduction intelligence improves, recovery accelerates and repeat issues decline. 33% Reduction in compliance fines per case $2B+ Recovered for suppliers and brands ## Real Results From Real Customers #### “Really helped us to dispute deductions efficiently and timely. The application is so user-friendly that with the time savings, we are able to focus on root cause problem solving rather than deduction research and disputing.” **Eagle Foods | Grocery Supplier** #### Key Results - +130%+ increase in their deduction recovery rate - +16.7%+ increase in average monthly prepaid On-Time scores - 92% dispute win rate for deductions #### “We were able to clean up the old deductions within a very short period of time. The dispute ratio in terms of recovery of monies was excellent.” **E.T. Browne | Consumables Supplier** #### Key Results - $1.11M approved and paid back deductions - 48%+ increase in dispute rate - 591%+ increase in dollars recovered ## Related Supply Chain Issues That Drive Deductions #### Disconnected Data & Failed Integrations When order, shipment, and invoice data don’t flow cleanly between systems, retailers flag discrepancies that turn into deductions. Reliable integrations reduce data mismatches and prevent avoidable revenue loss. #### Fulfillment Errors Drive Deductions Late shipments, incorrect labels, and documentation errors often originate in fulfillment workflows. Improving coordination between orders, inventory, and shipping reduces downstream penalties and repeat deductions. #### Item & Product Data Misalignment Inconsistent or outdated product data can lead to unauthorized items, pricing discrepancies, and compliance failures that result in deductions. Keeping item data aligned across partners helps prevent avoidable revenue loss. ## Ready to Solve Chargebacks and Invalid Deductions? Let’s review your deduction patterns and discuss how SPS Commerce can help reduce revenue leakage over time.