News by Topic
- Search Marketing
- Email Marketing
- Loyalty Marketing
- Mobile Marketing
- Social Marketing
- Viral Marketing
- Trends & Ideas
- Internet Marketing 101
Return fraud may cost retailers
The 2013 holiday shopping season may have seen retailers earn 10% more than in 2012, but return fraud may still cost them. According to a survey by the National Retailer Federation return fraud could cost retailers $3 billion; nearly $9 billion in return fraud can be expected for the year as a whole.
Nearly all businesses say they've experienced return fraud based on in-store buys - or theft - while just over 15% say they've experienced e-receipt return fraud as well.
According to the NRF survey:
• 9.4% of retailers have experienced the return of stolen items over the past year
• 69% of retailers say they've experienced item returns purchased on stolen/fraudulent tender
• 29% say people use counterfeit receipts for returns
• 93% say they've experience employee return fraud
• 49% say they've seen an increase in gift card/store merchandise credit fraud
"While coverage of this issue paints return fraud as one of the 'less severe' retail crimes, the fact of the matter is that returning used or stolen items, or even using false tender to purchase items is fraud, period," said NRF Vice President of Loss Prevention Rich Mellor. "Recent efforts to combat fraudulent activity are slowly starting to work, but criminals are becoming more savvy and technologically advanced in their methods, making it even more difficult for retailers and law enforcement to keep up with the growing problem."
To deal with the increase in return fraud, retailers are requiring receipts (73%) to process returns while 12% require those returning items to show their identification.
- Videos best for Facebook reach, but don't ditch the photos
- Mother's Day: Flowers a popular gift, but Mom wants tech
- UK: Online spending and deliveries break records
- Study: Nearly one-third say they 'don't do enough' to internationalize their business
- Millennials say the right content drives brand loyalty
- Consumers not impressed by engagement of branded apps
- Online shoppers excited about possibility of drone deliveries
- Colors affect sharing behavior on Pinterest
Featured White Papers
- Measure What Matters: Five Features to Enable Now On Google Analytics
Google Analytics is an excellent tool for gaining insights into user behavior and gathering data for site optimization. Unfortunately, in...
- A lot of what you know about email marketing could be wrong
There is a lot of email-marketing advice floating around out there. And, frankly, a lot of it is bad. Hunches...