1、Retail reflections&protectionsIndustry insights and how to limit return abuse in 20251Preface301 Challenges for retail risk leaders402 Be in the know:Abuse propagated in the dark web703 Risky product categories804 Strategies to expand the customer view1005 Introducing the Appriss Retail partnership1
2、2Table of contents2Retail reflections&protections 3Retail reflections&protections PrefacePrefaceAcross diverse retail categories,Riskified captures and analyzes data related to millions of customer identities and retail orders processed across our vast merchant network.Incorporating exclusive resear
3、ch and intelligence gathered from the dark web and other fraud forums,this analysis provides crucial insights into patterns and trends impacting retailer profitability.This briefing focuses on policy abuse and,specifically,returns fraud and abuse;areas of growing concern and cost for global retailer
4、s.401Challenges for retail risk leadersBalancing returns and abusive behaviorIn addition to the$48 billion problem of payment fraud,retailers worldwide are increasingly investing in efforts to mitigate returns policy abuse,in which a full spectrum of bad actors;from dark web scammers to regular cons
5、umers themselves;knowingly exploit or manipulate a merchant,s terms and conditions for personal gain.The abuse involves behaviors such as returning clothing as if it were unworn to get a full refund(wardrobing),keeping a product until the last day of a return window to then returnfrepurchase it at a
6、 lower price point(pricing arbitrage),or purchasing items to show off on TikTok or Instagram before returning them(haul culture).Abusive purchasers may also falsely claim(item not received)(INR)or(did not arrive(DNA).A report by the National Retail Federation(NRF)expected returns in 2024 to amount t
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