Companies like arbitration because unlike in a civil lawsuit, the plaintiff cannot compel discovery. Paying for an arbitrator is cheaper than going through discovery, especially if the discovery unearths facts materially damaging to the business.

It’s also not public record either. So, when an individual wins a case, others in the similar situation are not notified or can be made aware of it.

Make it a public record with other bindings like one ruling applies to all customers etc. then at least it’s a system with transparency.