Monica Eaton's Latest Guest Feature for Modern Restaurant Management
Chargebacks911® Co-Founder and COO Monica Eaton recently contributed a piece to Modern Restaurant, regarding the state of anti-fraud and cybersecurity efforts in the restaurant industry.
Modern Restaurant Management (MRM) magazine is a go-to resource for on-the-go restaurant-industry professionals. Focused on all aspects of restaurant management news the online magazine posts news items on a daily basis, incorporates profiles, trends, and provides expert advice for the industry at large.
Although Monica certainly understands that the restaurant industry has had a rough couple of years, she warns all restaurateurs not to drop their guard just yet. With the rise of third-party ordering apps like Doordash and Grubhub comes card-not-present transactions, and an uptick in chargebacks and friendly fraud. In fact, readers might be shocked to know that the food and beverage industry accounts for a large share of reported fraud cases worldwide.
“Dine and dashes might not be possible when orders are made over delivery apps, but unscrupulous diners have found a way: ordering delivery and initiating a chargeback, “ Monica warns. “While calling a restaurant directly and claiming that the order didn’t arrive can be easily disputed by speaking with the delivery driver, chargebacks can be initiated days or weeks after payment.”
Although securing customer data and wifi access should be of practical concern to every restaurant owner, the number one challenge facing the industry today is chargebacks.
“There are simply more people who will regret spending on a restaurant meal than there are sophisticated hacking groups, but it is possible to reduce chargebacks and successfully contest the chargebacks that you do receive,” she says. “Given how many foodservice businesses operate on razor-thin profit margins, being able to reduce these costs by even a small percentage could make a big difference in 2022 and beyond.”