friendly fraud

A Latest Survey Reveals: 40% of Everyday Shoppers Admit to First-Party Fraud

A recent survey has uncovered that a whopping 40% of everyday shoppers in Europe confessed to committing first-party fraud in the past year. But don’t mistake them for professional fraudsters or members of criminal gangs. These are people you know—your friends, family members, and colleagues.

Shoppers Are Unleashing a Variety of Fraudulent Activities

Consumers have become experts at gaming the system and finding ways to commit fraud. They exploit policies, attempting to take advantage of promotions, returns, or refunds, all in pursuit of gaining more without paying their fair share. Here are just a few examples:

Exploiting Offers :

26% of consumers are happy to use vouchers more than once or for goods outside the specified terms. 19% admit to setting up multiple user accounts to repeatedly enjoy new customer offers and vouchers.

Basket Manipulation :

25% of shoppers fill their baskets with items they don’t need or want, only to benefit from “high spender” offers like free shipping and free returns. Once they’ve saved on shipping, they return the unwanted items, attempting to play the system to their advantage.

Generous Refund Policies :

17% of consumers capitalize on lenient refund policies. They claim refunds for delayed items and then hold onto the items when they finally arrive.

Daring Fake Returns :

7% of shoppers engage in fake returns, returning different or inferior goods, empty boxes, or even dummy return items. By doing so, they keep the original item and still receive a refund.

Second-Party Payment Fraud :

A small but concerning group of 5% admitted to pushing the boundaries of fraud by making online purchases using someone else’s card details without their permission.