Retail Security: Saving You Money by Reducing Shrink

A female in the act of shoplifting or stealing puts an item under her clothesWherever people gather, the potential exists for crime. This is especially true in retail locations. Malls and shopping areas attract large numbers of people. Some are there to shop and enjoy themselves, while others are there to take advantage of the crowds and go unnoticed as they engage in shoplifting.

In 2013, the U.S. experienced $42 billion in shrink. These inventory losses were due to shoplifting, employee or supplier fraud, and also administrative errors. These losses were passed on to consumers, costing American households an average of $400 in increased prices.

Unfortunately, many shoplifters go unchallenged by store staff. Employees are fearful of making a wrongful accusation. They also want to avoid an awkward situation that could turn violent.

While shoplifting was a major reason for shrink in the U.S., accounting for 37.4% of all cases, it was not the leading cause. In 2013, employee theft resulted in 42.9% of all shrink cases, making this a more complicated challenge for retailers. Other store employees may not be aware of their co-workers involvement in theft, or they may simply not want to get involved in reporting them. Thus, these crimes often go unreported.

While most retailers use some type of merchandise detector that triggers an alert when merchandise crosses the store’s threshold, blindly relying on technology will not solve this problem.

Instead, the best solution for reducing shrink is onsite security guards from American Security Force. Our professional guards are trained to detect suspicious behavior that might lead to shoplifting. They are able to step in and stop or apprehend shoplifters, where store employees might be fearful of doing so.

American Security Force guards are also independent. They are not employees of that retailer. Thus, they will not have any social anxiety when it comes to looking for and reporting employee theft.

Whether it is for fun, or out of necessity, shoplifters will take what they can where they can. Their actions have created a major challenge for retailers. The most effective means for stopping shoplifting is onsite security. Learn more about how American Security Force can reduce shrink at your retail location by calling 877-722-8585.

 

Sources:

http://www.securityinfowatch.com/article/12017387/2014-global-retail-theft-barometer-finds-slight-decrease-in-shrink-worldwide-increase-in-costs-of-retail-crime-in-the-us