Retailers have invested heavily in frictionless, flexible return experiences as a means of attracting larger order volumes and greater lifetime value. Higher customer satisfaction scores are directly linked to the provision of instant refunds, return tracking, and boxless/printerless returns. This had led to a rise in returns abuse. While 63% of shoppers admit to engaging in bracketing in 2022 (buying the same item online in multiple sizes or colors with the intention of returning most items), the challenge for retailers is to correctly distinguish between genuine and fraudulent returns.
- Use cases from retailers: Wardrobing, bracketing, excessive returners, manipulation of shipping labels – returns fraud has taken on many shapes.
- Implementation of controls to prevent or allow future purchases by abusive returners.
- Tracking all refund requests by employing technology.
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