Merchant
Merchant refers to an individual or a company that sells goods or services for profit. Merchants support customer transactions and shape the buying experience. The term applies to any industry as long as the activity involves selling for monetary gain.
In chargeback processes, it is helpful to understand the different types of merchants. This knowledge supports a more effective response to disputes and helps manage them with fewer delays.
Types of merchants:
- E-commerce merchant. Sells products or services online and manages inventory, payments, brand, and promotion.
- Retail merchant. Buys goods from wholesalers and sells them to end-users with a focus on sales and customer service.
- Wholesale merchant. Purchases goods in bulk from manufacturers and distributes them to retailers or other businesses.
- Affiliate merchant. Uses affiliate programs or networks to drive traffic and sales through partner links."