The impact of e-commerce fraud in reverse logistics

Abstract

This thesis investigates the rising threat of fraud within the reverse supply chain. Fraud is a growing concern within e-commerce, as it continues to expand and supply chains become increasingly complex. Fraudulent practices such as product swaps, wardrobing, regulation policy abuse have created significant challenges for businesses, leading to financial losses, operational inefficiencies, and strained customer relationships.

As companies work to secure their reverse logistics processes, fraudsters are developing increasingly sophisticated methods which are often exploited by underground black markets worth billions. This thesis explores these evolving tactics, illustrating their complexity through real-world case studies and examples.

Mitigating fraud within the reverse supply chain is an ongoing challenge for e-commerce businesses, especially in the face of customer-friendly policies and shifting consumer behavior. With the help of insider reports, industry publications, interviews, and practical testing, this research offers actionable insights into how companies can work together and strengthen their return processes, reduce fraud, and make more informed operational decisions.