FORTER

Flexible Policies,

Risky Business.

Navigating Policy Abuse & Striking a Balance to Safeguard CLTV

Economic uncertainty has turned everyday purchases into high-stakes decisions, motivating consumers to seek out the best deals from the most flexible brands. But when “flexibility” becomes a free pass, retailers face the difficult choice between enforcing stricter policies to protect eroding profit margins – or accepting losses from policy abuse to protect customer experience and a customer’s lifetime value (CLTV).

To better understand these dynamics, Forter commissioned The Harris Poll to conduct a survey of over 4,000 consumers across the U.S. and U.K. to uncover how often shoppers bend the rules and what it takes to keep CLTV intact.

52%
of consumers
in the U.K.
admit to
abusing
retailers’
policies
in the last
12 months

45%
of consumers
in the U.S.

Return of the Returns

When Customers Turn

Flexibility into Vulnerability

Flexible returns policies have become a hallmark of customer-centric shopping experiences. However, with consumers now used to free and flexible returns, some see it as a chance to “try” high-value items without committing, overbuy to meet free shipping minimums, or commit practices like wardrobing.

Retailers that remain too lax risk facing spiraling logistical and financial costs, while those that clamp down too severely risk alienating honest shoppers who truly rely on flexible returns to comfortably shop online. The data shows that consumers often rationalize returns abuse if they believe it’s an accepted norm or built into the retailer’s policies.

48%
of consumers say they buy more from retailers with more lenient return policies due to financial concerns (49% U.K., 47% U.S.)

21%
of consumers admit to deliberately over-purchasing to qualify for free shipping, intending to return the extra items (22% U.K., 19% U.S.)

18%
of consumers create their own unauthorized “try before you buy” service through bulk purchasing and using free returns (21% U.K., 15% U.S.)

68%
of consumers say retailers make it easy to abuse flexible return policies (70% UK, 67% US)

30%
of consumers take it a step further and use flexible return policies to wardrobe – use and then return – expensive items they couldn’t otherwise afford (31% U.K., 30% U.S.)

48% U.K., 46% U.S.

this number spikes to nearly half when looking at younger consumers (aged 18-34)

Identity

Overload

Battling a Rise in Multiple Accounts

Promotions, loyalty perks, and sign-up incentives have traditionally fueled brand engagement and customer acquisition. However, some consumers now game these systems by creating multiple accounts to reap the rewards — undermining their effectiveness. Instead of building loyalty, retailers are grappling with escalating promo abuse, inflated acquisition costs for customers who aren’t truly new, and compromised analytics that obscure real growth and customer behavior.

Stricter verification or limits on account creation can help, but retailers must ensure they aren’t creating friction for legitimate customers. Ultimately, mitigating abuse without sacrificing a smooth user experience is essential for protecting revenue and brand reputation.

12%
of consumers admitted to opening multiple accounts with the same retailer to take advantage of promotions and perks (12% U.K., 11% U.S.)

58%
of consumers say retailers make it easy to open multiple accounts to take advantage of promotions (60% UK, 56% US)

63%
of consumers said they rely on promotions or free perks more frequently now than in the past (63% both U.K. and U.S.)

Motivation

Unmasked

Why Shoppers Are

Crossing the Line

Retailers may ask why consumers risk their reputation or convenience for short-term gains. The reality is that economic strains, rising costs, and the perception that “everyone does it” all play a role. Some see it less as “cheating the system” and more as a necessary tactic to make ends meet or avoid overpaying.

By understanding the root causes of these behaviors, retailers can craft strategies — such as tailored loyalty programs or dynamic discounting — to address consumer concerns while discouraging misuse.

29%
of consumers who have abused companies’ policies when shopping online in the last 12 months say they exploited policies to avoid paying full price (29% both U.K. and U.S.)

25%
of consumers cited rising costs due to inflation as a motivator (22% U.K., 29% U.S.)

The End Game

Striking a Perfect Policy Balance

Retailers face a pivotal choice: clamp down too hard and risk losing honest customers, or stay lenient and absorb the hit. The stakes are high — and although shoppers noted feeling “guilty” about taking advantage of a retailers’ policies (58%), nearly 1 in every 5 consumers admit that they’ve completely stopped shopping with a brand that initiated more strict return policies.

Yet striking the right balance is possible. With technology that differentiates genuine shoppers from abusers, retailers can preserve CLTV while fending off exploitative tactics. By pairing flexible policies with smart safeguards, retailers become the heroes in their own story — boosting long-term loyalty, fortifying margins, and ensuring their brand remains strong in the face of shifting consumer expectations.

16%
of consumers have stopped shopping with a retailer altogether because they made stricter return policies (18% U.K., 15% U.S.)

FORTER®

This survey was conducted online by The Harris Poll on behalf of Forter between March 20 - 24, 2025, among adults ages 18+ in the UK (n=2026) and US (n=2010). The sampling precision of Harris online polls is measured by using a Bayesian credible interval. For this study, the sample data is accurate to within + 2.4 percentage points for UK and + 2.5 percentage points for US, using a 95% confidence level.

For complete survey methodology, including weighting variables and subgroup sample sizes, please contact forter@inkhouse.com.