As you run a business, always understand that from time to time, you can be a victim of various forms of return fraud. If you don’t want your business to be a joke, then you have to know how you can prevent this kind of fraud from happening. One of the most common types of return fraud that many businesses encounter is wardrobing. Many merchants still don’t know what the term is all about even if the fraud scheme is already happening across establishments. Unfortunately, wardrobing victims are often these merchants who have no idea what this type of fraud is all about. Before you can prevent wardrobing from happening to your business, you have to know what it is all about and things to do to stop it.
When it comes to wardrobing, it is vital that you understand that it is a name provided to a fraud scheme that happens to apparel boutiques. The scheme begins with the customer buying apparel that is expensive from the boutique like a prom dress or an evening gown. They wear the said item for one event and afterward decide to return it to the store and get a full refund. The scheme appears very real, affecting a lot of establishments for many years. When you don’t have any stringent return policy for your store, you may end up becoming a rental agency and not making profits. Although returns are a part of running any business, when all of your customers return your items, then you will not be making money out of them leading your store to close down. Thus, how can businesses put an end to this scheme through proper return fraud prevention methods?
If you want to save your busines from wardrobing, be sure to utilize reliable return tags. You can find a lot of return tags for sale that effectively help with return fraud prevention. Of course, you have to make sure to choose the best products in the market like the 360 ID tag. It is important to note, though, that the use of return tags is not the only way to combat wardrobing.
When it comes to practicing effective return fraud prevention, you have to start looking into your return policy and update it as much as applicable. Providing your return policy to your customers can be done by directly speaking with them, putting it up on your store signage, and printing it on your receipt. For effective prevention of wardrobing, be sure to apply these methods. It is important that your return policy is clear that you only accept returned items if they still have their return tags. Furthermore, you have to state in your policy that there must not be any evidence of tampering on the tag and the product.
As you use return tags to secure your merchandise, make sure that you place them following instructions from the manufacturer.