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Return Risk and Abuse: How to Protect Profits

Understanding the different types of return abuse and return fraud schemes can often be a great first step in defense. Each fraudulent or abusive return, regardless of its form, contributes to the substantial losses retailers have to sustain annually. The widespread nature of return abuse and return loss reinforces the need for a focused defense strategy.

Learn more about the most common return abuse and fraud schemes, including:

• Renting/wardrobing
• Returning stolen merchandise
• Price arbitrage
• Employee collusion and loss

Discover the ten signals of return loss due to return policies, including:

1. Your shrink rate is larger than the average shrink rate for your direct competitors.
2. Your return policy has not been reviewed in the last 12 months.
3. The percentage of returned merchandise you are able to resell has declined.

Tagged with:

• organized retail crime
• retail finance
• retail loss prevention
• retail operations
• specialty retail