$103B in Fraudulent Returns in 2024
Appriss Retail Annual Research: Fraudulent Returns and Claims Cost Retailers $103B in 2024

The Consumer Returns in the Retail Industry Report from Appriss Retail, in collaboration with Deloitte, reveals no signs of returns fraud slowing down; total retail returns dollars reached $685 billion

Appriss Retail, a leading provider of data and analytics solutions for reducing retail losses and combating return and claim fraud, has released the annual 2024 Consumer Returns in the Retail Industry Report, in collaboration with Deloitte*.

The report reveals fraudulent returns and claims resulted in a $103 billion loss for retailers in 2024, with 15.14% of all returns deemed fraudulent, meaning a customer attempted to return an item to a retailer for a refund, knowing the item did not qualify for a refund according to the store’s policy.

The Appriss Retail research highlights that despite growing efforts by retailers to curb retail returns fraud through stricter returns policies, the problem remains prevalent. The report includes insights on the leading types of returns fraud and abuse reported by retailers in 2024 such as:

• 60% of retailers surveyed reported incidents of “wardrobing,” or the act of consumers buying an item, using the merchandise, and then returning it.

• 55% cited cases of returning an item obtained through fraudulent or stolen tender, such as a stolen credit cards, counterfeit bills, gift cards obtained through fraudulent means or fraudulent checks.

• 48% of retailers faced occurrences of returning stolen merchandise.

“It’s clear why retailers want to limit bad actors that exhibit fraudulent and abusive returns behavior, but the reality is that they are finding stricter returns policies are not reducing the returns fraud they face,” said Michael Osborne, CEO, Appriss Retail. “Our annual research highlights the serious problem of returns fraud, and why an AI-powered, data-driven approach to loss prevention can reduce fraud and keep consumers loyal.”

To learn more, download the report. apprissretail.com


'It’s Catch & Release': Best City to Steal In?
Portland shoplifters often evade prosecution, continuing city’s reputation as good place to steal
A months-long investigation by The Oregonian/OregonLive found significant and ongoing problems with Multnomah County’s efforts to beat back the scourge of shoplifting.

The Portland Police Bureau’s regular hour-long blitzes — known as retail theft missions — have resulted in hundreds of shoplifting arrests but few convictions.

A state bail reform law that took effect in 2022 has encouraged jails to release an array of defendants — including shoplifters — within hours of their arrests and before they ever see a judge. And even if judges are asked to decide whether to continue holding them pending trial, concerns that retail theft doesn’t warrant a long-term jail stay or there won’t be enough public defenders to represent them lead judges to set them free. That’s true even in cases where defendants have punched, bitten or pointed a gun at store staff or broken into businesses during closed hours, elevating the crime of mere theft to felony robbery or burglary.

More often than not, defendants who are released blow off court dates. Some have histories of failing to appear more than 10 times but still are let go.

And in cases where defendants do show up and they’re proven guilty, critics say the sentences they receive commonly lack the bite that comes with jail time or the power to instill change through drug and mental health treatment that might address the root of their problems.

The result? After major retailers Walmart, Target, REI and Nike shut down stores in 2023 and 2024 and Mayor Ted Wheeler and Texas Gov. Greg Abbott publicly sparred over whether Portland is a city that has “refused to enforce the rule of law,” shoplifting is still unfolding at a dizzying clip. The frequency and volume at which people steal also has led to higher prices for consumers and dramatically transformed the shopping experience, with merchandise locked to racks with cables or behind plexiglass cases and retailers in some instances hiring security guards who carry guns.

Even so, shoplifters hit stores daily to lift the most coveted products, dashing out with bulging pockets, armloads and hefty bags full of hundreds or thousands of dollars worth of merchandise. oregonlive.com


Crime & Security Measures Blamed for NYC Drug Store Closures
NYC lost nearly half of all drugstores in past decade — with 10% closing just this year — as shoplifting and crime run rampant
Nearly 10% of New York City’s drugstores have closed this year — a dramatic drop following a decade of retreats that has slashed their number by 40% as shoplifting continues to run rampant, according an explosive study.

The number of Walgreens, Duane Reade, CVS and Rite Aid stores across the city shrunk to 395 locations in 2024. That’s versus 435 last year, and down sharply from a peak of 656 in 2014, according to The Center for an Urban Future’s annual report titled “State of the Chains.”

Walgreens Boots Alliance, which owns Duane Reade, was the worst hit. The Big Apple’s largest chain closed 22 stores – leaving it with 189 locations in the city, according to the report.

CVS, meanwhile, shuttered 10 stores leaving 160 locations. Rite Aid, which filed for bankruptcy protection last year, closed eight stores this year and now operates just 46 in the city.

Experts blame not only crime but also drugstores’ stepped-up security measures — most notably locking merchandise behind plexiglass, forcing customers to call and wait for store clerks for everything from shampoo to painkillers.

To avoid hassles, shoppers are skipping drugstores altogether and buying more essentials online. aol.com


California's Retail Crime Crackdown Takes Effect
California’s fight against rampant retail theft gets a boost in 2025
Police and prosecutors in California will have new tools to combat smash-and-grab theft and other types of property crime once the calendar turns to 2025.

A series of laws enacted by the legislature and signed by Gov. Gavin Newsom took effect on Jan. 1. They include new methods for calculating the value of stolen goods to meet felony charges, lowering the threshold for police to make arrests for shoplifting, and increasing sentences.

“California’s new laws tackle today’s biggest emerging challenges head-on,” Newsom said in a statement on Monday. “We’re strengthening public safety, building more housing, and providing more resources for our communities. These practical reforms protect what matters most while creating more opportunities for all Californians.”

Retail theft is estimated to cost California businesses $20 billion annually. ktla.com

   More Coverage of California's Retail Theft Crackdown

   • Gov. Gavin Newsom doubles down on opposition to Prop. 36
   • Governor Newsom bolsters public safety in 2025 with new laws and more enforcement
   • Prop 36 making immediate impact in Antioch, police say
   • As Prop 36 goes into effect CA Attorney General Bonta issues info bulletin to law enforcement
   • Crackdown on retail theft continues after passage of Prop 36 in California


Businesses Buying Stolen Goods to Meet Financial Demands
Retail Crime Rates Are Up, With Even Small Businesses Buying Stolen Goods
Over the course of two years, retail crime rates have gone up, costing $7.79 billion in just Australia alone during the 2024 financial year. Employee theft, shoplifting, fraud, and customer aggression have skyrocketed to record levels.

Customer theft, primarily through concealment and spur-of-the-moment tactics, is the number one driver of external losses, with employee theft right on its heels. Employee theft accounted for millions in annual damages, and insider knowledge significantly magnifies its effects. It appears that all aspects of retail crime are increasing at alarming speeds.

“Before COVID, crime was slowly rising, but when a lot of shops closed due to lockdowns, we saw a bit of a pause, and crime went down,” said Michael Townsley, a professor at Griffith University.

“Since then, it just got picked up again, and with added cost-of-living pressures, police-recorded instances of shoplifting and employee abuse have gone through the roof.”

According to Townsley, there has been a surprising trend among small businesses to buy stolen goods. Almost every societal group is feeling financial pressure these days. As the demand for cheap food grows, small businesses are trying hard to meet those demands.

“When cafés and restaurants are doing it tough and their cost of goods has doubled, but they’re unable to double their own prices, they’re beginning to contemplate things they previously wouldn’t have thought about,” said Townsley.  chipchick.com


Backlash from Progressive Publications to Walmart's Body Cam Pilot
Walmart Is Using Body Cams to Force Employees to Snitch on Shoplifters
The latest hostile move the retail giant has been testing out with a pilot program at select US locations is body cams. That’s right, Walmart is outfitting its employees with bodycams like they’re cops.

They say it’s to enhance employee safety, especially during this hectic holiday season. And the company assures people that it is not doing it as a method of reducing theft. Even though that’s the reason some major retailers have recently started outfitting their workforce with body cameras.

Even that claim is, in itself, pretty dubious as the recent corporate freakout over shoplifting is largely bullshit. Mostly because these retailers have confusing and piss-poor definitions of what “shrinkage” is. That’s the term used to describe the general loss of products that results from tons of stuff—from theft to food rotting before it’s sold. Even local law enforcement in cities with supposedly high retail theft have a hell of a time figuring out exactly how these retailers are defining shoplifting.

Major retailers, from Walmart to Walgreens to Target, are almost single-handedly responsible for states and cities passing big sweeping laws regarding retail theft based on little to no actual publicly available data. It’s all just vibes fueled by some persistent “trust me, bro” messaging from major corporations. vice.com


Cities on High Alert After New Orleans Terrorist Attack
NYPD ‘closely monitoring’ New Orleans terror attack that killed 15
The NYPD is “closely monitoring” the investigation into the New Year’s Eve terror attack in New Orleans that left 15 dead — a massacre that President Biden is calling “an act of terrorism.”

NYPD cops are “coordinating with federal and regional partners” probing the 3:15 a.m. attack in the city’s famed French Quarter where a man rammed a pickup truck into a crowd of people, NYPD Deputy Commissioner of Intelligence and Counterterrorism Rebecca Weiner said in a statement.

Fifteen people were killed in the attack and more than 30 injured. The driver was killed in a firefight with police following the attack along Bourbon St. near Canal St. in an area teeming with New Year’s revelers, the FBI said.

One suspected improvised explosive device was recovered at the scene, prompting a bomb sweep of the area, federal officials told The Associated Press. So far the NYPD has not uncovered any links between New York and the New Orleans attack. nydailynews.com


Canada Experiencing Retail Theft Surge
NSLC sees 55% increase in thefts compared to last year
The Nova Scotia Liquor Corporation had a 55 per cent increase in thefts across all retail stores in the province during 2024. In an email, spokesperson Terah McKinnon said the NSLC is seeing "a similar trend to what other retailers are seeing across Canada." McKinnon declined to be interviewed.

Numbers released by Statistics Canada show that shoplifting crimes nationwide rose in 2023, with theft of $5,000 or under increasing by 18 per cent. The same report shows Nova Scotia had the highest shoplifting rates nationwide, with 7,167 reported cases of shoplifting in the same year.

McKinnon said the NSLC has a security team and "processes in place" to monitor theft. cbc.ca


California Store Turned Into 'Glass Cage' to Prevent Shoplifting
A Ralphs grocery store in Burbank, California, has added glass partitions to an aisle containing frequently stolen items, requiring customers to pay for goods and receive a "paid" sticker before exiting.


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