Preventing Return Fraud

Using anti-theft devices can be an effective tool to preventing return fraud in stores with return policies geared toward providing good customer service. Return fraud has been and continues to be a major problem in retail security. ORC (Organized Retail Crime) groups target merchandise that is valuable and easy to steal, which typically is merchandise lacking anti-shoplifting devices. The groups take non-tagged merchandise in order to appear legitimate when making a return of the merchandise they had previously stolen.

 Return fraud, when conducted in ORC situations, will usually occur in several visits to the store. When dealing with a chain of stores, these visits may occur one after another as they travel a central interstate or highway. The first visit may only involve a subject staging merchandise in a specific and secluded area of the store. The merchandise will probably be the highest valued, easiest to conceal, non-tagged merchandise that they can find. This subject may stage the merchandise in bags prior to leaving. The second visit will consist of the concealment and/or theft of the merchandise that was previously staged for them. This visit will probably take no longer than five minutes in the store and is difficult to detect. The third visit is where the fraudulent return takes place where the subject will return the merchandise that was previously stolen. These visits will often consist of several different subjects, and all three steps may happen simultaneously with several sets of merchandise. The easiest way to combat return fraud is to protect your merchandise with anti-theft devices. 

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