eBay- LPM June 2010


Published on

Latest Loss Prevention Magazine article from eBay

  • Be the first to comment

  • Be the first to like this

No Downloads
Total views
On SlideShare
From Embeds
Number of Embeds
Embeds 0
No embeds

No notes for slide

eBay- LPM June 2010

  1. 1. [SOLUTIONS SHOWCASE] >>eBay eBay’s Commitment to Openness and Partnership by Paul Jones A fter spending over 25 years in the of technology to carry out crimes and fraud. eBay stands out as retail loss prevention industry with an Internet leader in working to actively fight fraud and crime retailers such as Limited Brands and because it’s the right thing to do and best way to serve our Sunglass Hut International, as well as with user community. It’s important to note that some other online the Retail Industry Leaders Association, I’m platforms haven’t taken this active and aggressive approach in proud to be part of a talented team of trust detecting and eliminating fraudulent activity and bad actors. and safety professionals at eBay, who work eBay’s commitment to openness means that we have had diligently to protect the site and its users. My Paul Jones is to be more innovative and resourceful meeting our goal of Global Director of mission is to assist eBay with the company’s Asset Protection protecting users and combating crime. This challenge is not that continual outreach and relationship building for eBay. different from what my friends in the traditional retail industry with both retailers and the law enforcement face in their environments every day. Some retailers might (LE) community. attempt to reduce shrink losses by locking up merchandise We’re proud of our recent announcement about our unified above certain price points, cable or chain soft goods, or inspect partnership with the National Retail Federation (NRF) in the every customer’s bag when they exit the store. However, we all fight against lost profits via organized retail crime (ORC) activity. This agreement ensures the nation’s leading online marketplace and the world’s largest retail trade association are jointly committed to attacking these issues with retail leaders, federal, state, and local LE agencies, while leveraging technology advances, including LERPnet and PROACT. This collaboration places criminals on warning that abuse of online marketplaces for fencing stolen goods will not be tolerated. This collaborative approach assures support and combined lobbying efforts around enhanced and meaningful legislation combating ORC, and enacting laws that mandate increased punishment and penalties for major offenders. Also, we’re thrilled to be sponsors of the Fusion Center at this June’s NRF loss prevention conference in Atlanta, and look forward to the synergies created by encouraging open, collaborative sharing of solution-based ideas addressing the ORC challenge with retail executives, NRF leadership, and the LE community. Our Commitment to Openness It’s eBay’s goal to be the largest, most open, dynamic, and efficient global online marketplace. We believe that giving the widest possible range of buyers and sellers access to our know these somewhat antiquated techniques negatively impact platform best serves consumers and empowers the greatest the customer experience, reduce sales growth, and most often number of hard-working, entrepreneurial individuals and small have unproven correlation to shrink-reduction efforts. businesses. At eBay, we too must balance the need to provide a pleasant As an e-commerce pioneer, eBay faced decisions early in the trading experience and protect the privacy of our users, while game about how to deal with the challenge posed by the very proactively preventing criminals from abusing our platform and small percentage of Internet users who tried to take advantage users. I’m proud of eBay’s extensive and recognized efforts 67 LossPrevention May – June 2010
  2. 2. [SOLUTIONS SHOWCASE] >>eBay investigation immediately commenced that identified that the user had recently shifted to almost exclusively selling diabetic test strips. Based on a joint investigation and further research, including some control buys of the product, the user was identified and subsequently arrested for possession of stolen goods. We are fully committed to being good corporate citizens and remain one of the most trusted e-commerce brands in the world today. And engaging with us is easy; just contact me or Stoney Burke at paul.jones@ebay.com or sburke@ebay.com. We strongly recommend you become familiar with the tools that already exist to members of the eBay community, like the seller feedback mechanism and buyer history functionality. The platform was built so buyers and sellers can communicate, learn about each other, and feel comfortable with conducting business interactions. If you bid on or purchase an item on eBay, you have access to additional seller information as well. And, don’t ignore eBay’s advanced search function, as one of the unique features of this option allows users who may be investigating assisting LE and LP professionals in combating ORC issues, and thefts or losses of a particular item to monitor for listings of our continued efforts to develop and implement innovative those items. solutions addressing that challenge. What’s Next? Partnering with Retailers You have my personal commitment that we will continue to We are willing to assist when retailers’ best efforts and their build effective strategies by collaborating more closely in 2010 own loss prevention programs are defeated, as eBay continues and leveraging the strong partnerships and technology with the its work with law enforcement and retailers to stop crime in NRF and FBI. We are still in the early stages of implementing their stores. Theft is a societal problem, and eBay is also a victim internal reforms, and the best is yet to come. of this crime. It is an unfortunate fact that with any channel of Earlier this year, we introduced a new operating function commerce, whether brick and mortar or an Internet commerce within our government relations group, called Global Asset site, there are criminals who attempt to beat the system. As we Protection. This structure will horizontally support and align our work to tackle this issue, we must be realistic about the impact pyramid objectives, and houses the Regulatory & Policy, Data the Internet has had on ORC. With the birth of the Internet, we Analytics & Tools, and Investigations groups that support the didn’t see the birth of ORC. corporate mission. These groups are led by our Deputy General If anyone attempts to abuse our site, we’ll help send them to Counsel, a former Assistant U.S. Attorney. jail. eBay supports increased funding for law enforcement and Our evolution includes shifting the priorities and focus of increased penalties for ORC offenses. Our interests are aligned our well-trained global Fraud Investigation Teams into a more with ensuring bad actors stay away from our community. proactive role. We will continue dialogue with our internal Our teams are working diligently to improve and continue business unit partners to advance and create new tools to vet, building strong relationships with retailers and the LE deter, detect, and prevent stolen goods from reaching the community as an active investigative partner. We take every site, and notify the true owners. Our cross-functional business opportunity to educate them about our programs, including partners are fully aligned on strategy and are truly excited by enhanced systemic rules, filters, and clear policies around this paradigm shift in relation to our operating business model. preventing fraudulent activity. Membership in PROACT has We look forward to a long and productive partnership grown to more than 200 retailers who are actively participating with you. in this joint sharing of information to detect bad actors. PROACT helps retailers work directly with eBay’s trained Fraud Investigation Teams to report suspicious activity and investigate potential cases of theft. For example, a retail investigator contacted their assigned PROACT investigator after using the available APIs on the site and became suspicious of a seller with a significant amount of diabetic test strips. An 68 May – June 2010 LPportal.com