Asked to select among trends that “have the most significant impact on your company today,” 53% of US respondents chose returns fraud, followed by returns policy abuse (42%) and high operational costs (36%). Loop defines fraud as behaviors like lying about products not arriving or purchasing with a stolen credit card, then getting the refund applied to another card Among behaviors it defines as returns abuse are wardrobing—ordering something intending to wear it, then returning it—and claiming items are defective when they’re not, in the hope of getting a refund or discount.
Industry Insights Blog
Retailers say returns misbehaviour is their biggest concern
Asked to select among trends that “have the most significant impact on your company today,” 53% of US respondents chose returns fraud, followed by returns policy abuse (42%) and high operational costs (36%). Loop defines fraud as behaviors like lying about products not arriving or purchasing with a stolen credit card, then getting the refund applied to another card Among behaviors it defines as returns abuse are wardrobing—ordering something intending to wear it, then returning it—and claiming items are defective when they’re not, in the hope of getting a refund or discount.
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