The Role of AI in Preventing Return Fraud: A Study of Amazon’s Flexible Return Policy and Consumer Behavior
Year: 2025
Type: article
Study design: Observational Study
Abstract: Purpose – The purpose of this study is to examine the role of Artificial Intelligence (AI) in identifying and preventing return fraud on Amazon. It also seeks to explore the behavioral patterns and motivations behind the exploitation of Amazon’s flexible return policy by consumers. Design/Methodology/Approach – This research employed a quantitative approach using structured online surveys distributed to Amazon customers with return experience. The data were analyzed using descriptive statistics, chi-square tests, and regression analysis. Reliability was tested through Cronbach’s Alpha to ensure consistency of constructs such as AI awareness, policy perception, and return behavior. Findings – The study found that higher awareness of AI monitoring significantly reduces the likelihood of return fraud. Demographic factors such as age and shopping frequency were also found to influence return behavior. Perceptions of policy leniency increased the chances of policy exploitation. Overall, AI was viewed positively when implemented with transparency and fairness. Originality/Value – This study contributes to the emerging body of literature on AI applications in fraud prevention within e-commerce, particularly in return management. It provides actionable insights for online retailers, especially Amazon, on leveraging AI ethically to enhance fraud detection while maintaining customer trust and satisfaction.
DOI: 10.14419/s5jc3m02
Institution: SRM Institute of Science and Technology
Language: English
Topic: AI in Service Interactions
Subfield: Artificial Intelligence
Field: Computer Science
Domain: Physical Sciences
Open Access status: bronze
OpenAlex ID: W4412539681