Transaction statuses in webhook notifications

When setting up a webhook notification on a relayer there are 7 different statuses to choose from. There is a "failed" status, but I'm unclear what it means and the documentation neglects to mention it.

For example, this transaction fails and has execution reverted but it's reported as confirmed and nothing beyond that. Of course it's true that it's confirmed, but the transaction did fail too.

So what does "failed" mean in this context then? And how can I monitor for a failure like the one above?

Looking for some insight here still.