Case Study: Schnucks Markets Prevents Gift Card Fraud with Digimarc

Schnucks Markets prevents gift card fraud with Digimarc and achieves 100% activation success in 10 weeks

Schnucks Markets, a regional grocery retailer, faced rising incidents of gift card fraud that eroded consumer trust and incurred financial costs. Traditional physical security layers and manual inspections were ineffective. To address this, Schnucks implemented a tamper-evident gift card security solution from vendor Digimarc.

The Digimarc solution replaced standard activation barcodes with its digital watermarking technology. During a 10-week pilot, there were zero fraud incidents on Digimarc-secured cards, a significant improvement. All protected cards activated successfully, 87% of cashiers reported activation was as fast or faster, and the need for manual fraud checks was eliminated, streamlining checkout. Vendor Digimarc delivered a solution that significantly mitigated fraud without requiring changes to point-of-sale systems.

Schnucks Markets