For all of you who pay much attention to high school, you probably are well aware that winter formals are just around the corner for schools across the country. Yes, that starry time where the winter formal court walk across the gymnasium floor. Her in a stunning dress (that she will only wear once) and him in his rented tuxedo. Yes, a magical night for all indeed. If that ice queen is like thousands of teenage girls out there, your store could end up renting her that dress; unless your store is using Alpha Shark Tags.
When you think of return fraud, what do you think of? Is it a booster stealing some high end product, then returning it for store credit? Perhaps a dishonest employee comes to mind. The suburban teenage girl and her soccer mom probably don’t register too much with you. Well, I’m here to tell you that they should!
This very popular form of return fraud is quite common this time of year. A dress will be purchased for a one time venue. The wearer will carefully and meticulously hide and cover all store tags, which remain on the dress. After the venue is over, the dress, since it still has the original tags attached will be returned to your store for a refund. Often you will hear an excuse that the dance was cancelled, or maybe they found a better dress down the road. Bottom line here, you were scammed.
There is a very simple solution. Alpha Shark Tags are small, bright red devices that you can apply to any piece of clothing. It’s best to clamp the tag on a very, very visible location of the dress. Remember, they skirt around the return policy by hiding the store tags with accessories. So if you place the tag in a position where it cannot be hidden, you will thwart their attempt at return fraud. The tags are removed at home with a pair of scissors. Once removed, the dress cannot be return to the store.
Do you really need to take these measures; it’s only a few returns, right? Wrong. Let’s say you sell 100 dresses over a 6 month period. Each dress retails for $200. That’s $20,000 in sales. Of those 100 dresses, let’s say that 50% come back as return fraud. Your net sales decreased to $10,000 and you may now be in possession of inventory that will no longer sell (depending on current style trends). Why would you ever want to give away half of your profits? Remember that you are in business to sell product, not rent it. Take control of your return policy and clamp down on these losses with Alpha Shark Tags!
For more information about Shark Tags contact us or call 1.866.914.2567