preventing shoplifting in your store

February 8, 2018 by Staff Editor Leave a Comment

A Target or Walmart store can and are able to fight shoplifting in their stores every day of the year. The expense associated with shoplifting has for many years been known to be passed down to the consumer, and the increase in prices has been an expense that gradually has affected consumers around the globe.

In the United States retail shrink which includes shoplifting, employee theft, administrative errors and vendor fraud cost the US retailers close to $50 billion in 2016 alone. More than 36% of shrink was due to shoplifting, and 30% was due to employee theft.

Many local businesses across the United States have taken different approaches to prevent shoplifting. From investing in Facial recognition software to shoplifting prevention training, many businesses have taken different approaches to the prevention of this crime. But, according to the National Retail Federation (NRF) even as the average inventory shrink rate has increased by close to 1.5% the budgets for loss prevention personnel has decreased or remained flat.

What are some of the steps local businesses have taken to prevent shoplifting?

Signage – A Spokane Washington local business has signage that lets you know from the time you enter their store that they have Video surveillance in use and they will prosecute you in case of shoplifting, and they also have a policy of taking your name when you enter their fitting rooms. If you shoplift, they already have your name.

Customer Service -has been proven to be one of the major loss prevention strategies businesses have adopted that can also benefit them in the long run. Be aware of the difference between offering great customer service and stalking a customer.

Training – Trained personnel cannot only help you prevent shoplifting but can prevent incidents from getting out of hand. Knowing the laws, regulation, and the process when a shoplifting incident occurs can save lives and prevent lawsuits.

Facial recognition software – If you are using facial recognition software in your stores, caution has to be taken into consideration. Using facial recognition improperly can lead to too many problems and too few rewards. Properly trained personnel are one important aspect of using this kind of security measure.

There is probably a fine line between great customer service and making your customer feel like a criminal. Losing customers because your employees follow them and are constantly asking them if they need help or making them uncomfortable is not a good solution. If you are also targeting people for no apparent reason, the probability that the bad experience will find an outlet that will carry bad publicity for your business is very likely.

Let us know if some of the above methods you are using seem to be working for you.

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Getting To The Heart Of The Matter, Hiring The Wrong People Can Dishearten Your Staff

January 29, 2018 by Staff Editor Leave a Comment

Hopefully, your store is one of those places where employees look forward to coming to work. You know what I’m talking about it’s that environment where everyone is happy to be there. Employees know they are there to get a job done and take pride in the service they offer to the customers. It’s the type of job where people may have an off day but their co-workers are supportive and help pick them up. It happens to all of us. These jobs have a manager who interacts with the employees and takes a real interest in each of them. The boss may take time to say hello and greet everyone. They know their employees by name and may even know their families. Unfortunately, not every workplace has such a camaraderie amongst the team members. There is any number of reasons this can happen but a major contributor to an unhappy workplace can be the hiring of an employee with a poor attitude.

Unhappy employees don’t always start out that way. They can get through an interview without any problem and they may begin working and get along fine. It is after they are hired that their true colors begin to show. These people are the type who start to complain to their co-workers when they are unhappy about something. It could be a work schedule they don’t care for that triggers the griping. The complaints tend to be general and not geared toward any particular person at first. When no one addresses the complaining the employee gets more vocal over time and begins to find other issues they don’t like. They are never limited to one gripe and constantly find perceived problems and share those perceptions with others. The complaining spreads as this person talk to others and suddenly people who were perfectly happy with their jobs and managers are taking exception to things. Where someone was fine with working at night or on weekends in the past they now feel they should not be expected to work when other jobs don’t require these types of hours. Never mind that they chose to work in retail which does require night and weekend workers. People begin to show up to work in bad moods anticipating that a non-existent problem is going to impact them again.

Now that the workplace has been infected with the virus of negativity and people are coming to the job with poor attitudes the problem manifests itself in other forms. Those who used to smile and engage customers with pleasantries are now frowning and giving curt, “Hello’s” to patrons. Customers get annoyed and share their experiences with friends and family. The atmosphere of the store is poisoned and like any poison, people avoid it lest they become ill or worse.

Guess what, this is not where the problem for your business ends. When workers become dissatisfied their performance wanes as well. The person who used to take care to stock the shelves properly and put merchandise where it belongs now puts merchandise in the general area. Clothing on racks that were once sized and straightened are now fortunate to make it onto a hanger let alone the arm of a fixture. The appearance of the store declines and employees don’t care. There is a malaise that sets in and an employee thinks to himself, “Why should I bother to fix it if no one else cares why should I?” If customers refuse to come in due to poor service they certainly won’t come in to shop in a store that is trashed.

To get to the heart of the matter you have to look at the culture of your store and what it is that is causing your store to decline. If everything was going well until you brought in that new hire then you have to get rid of that infection quickly. Afterwards be careful in your hiring process. Take a careful look at the applications, resumes and employment stability. Coupled with background checks and pre-employment screening your workplace can get back to the place it was but it is never easy. Bad habits are easier to create than break and your team may now have a bunch to break. Have a heart and be thoughtful in your hiring practices, your employees will love you for it.

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Intoxicated By Love Or Simply Intoxicated, Recognize The Difference And The Risks Posed By Employees Using Drugs Or Alcohol On The Job

January 29, 2018 by Staff Editor Leave a Comment

Pat Benatar once described love as a battlefield. Others have described love as intoxicating. For many romantics, February and Valentine’s Day is the month of love as people express their love for one another with flowers, chocolates, gifts, and dining. Being “drunk with love” describes that adrenaline flowing through us when we are around the one who makes our heart beat faster. We may get nervous and feel sick when we think about that special someone. We certainly don’t act like ourselves. Employers need to know that being intoxicated on love is the ONLY intoxicating influence your workers should ever be under while at work.

Intoxicated employees bring many problems with them to the workplace. They bring the chance of injury to themselves or others because they are not in full control of their faculties or bodies. The worker who is under the influence of drugs (legal or not) or alcohol could easily fall from ladders, improperly lift heavy items or use poor judgment when operating equipment. Impaired judgment creates hazards that can impact that employee and the people they are working around. A compactor, cardboard baler, powered forklift and a powered shopping cart mover are all pieces of equipment that require a user to be 18 years of age or older to use them. Is a worker under the influence going to avoid using equipment they are not certified to use? On top of that if the equipment is used and proper training has not been documented or the operator is underage and an injury happens OSHA may levy huge fines on the store. If you have a member of your team operating equipment while intoxicated you could be setting your business up for failure.

Employees who come to work under the influence of drugs or alcohol or who use them during a break can also be making poor mental decisions. Would you trust a cashier who is buzzed to accurately count back change to a customer? Would you be comfortable with a closing manager who has been drinking properly closing your store? Are you confident all of the registers have been closed out and money secured? Can you be sure the doors have been locked and the alarms set? With impaired workers, there is the possibility that merchandise is stocked in the wrong locations which can lead to selling merchandise below their marked prices due to store error. Do you have a person in charge of vendor credits and chargeback processing? If they are popping pills are they properly processing paperwork? Don’t count on it and don’t count on getting full credit dollars either.

Let’s not overlook the role that drug abuse and alcoholism can and do play in employee theft. This is not a blanket indictment accusing all users of being thieves but in many internal theft cases, drug and alcohol problems are a factor. Both of these habits are expensive and in order to feed the habit some people resort to theft and fraud. They may steal cash from a register or take merchandise to sell for their next fix or bottle. The theft can be in the form of passing merchandise or under-ringing merchandise for friends. It can include manipulating receipts to create fake refunds for themselves. An employee may even steal from your customers by failing to give them the proper change back from a transaction and pocketing it. Some cashiers will steal credit cards or gift cards.

Finally, there is the chance that if you hire a drug user or someone who drinks at work or reports to work under the influence they could cause customer service issues. Is your employee short tempered because they need/want a drink or hit they can’t get and they take it out on a customer? If the employee is under the influence of drugs or alcohol is their behavior irritating a patron? Your worker may not be comprehending what a customer is saying to them and forcing the customers to repeat themselves. The myriad of potential problems can raise concerns that customers may not want to return to a store in the future.

February may be a month of love and some of your employees may be caught up in the intoxication of it. Just remember to allow it to be the only thing they are under the influence of. It only makes sound business sense not to hire people who use illegal drugs. Take steps to avoid needless problems and keep your business prosperous by not hiring people who cannot pass a drug test and/or show up to work under the influence of alcoholic beverages.

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Sweethearts In February Are wonderful, Sweethearting Deals Between Employees And Their Friends Are Not

January 29, 2018 by Staff Editor Leave a Comment

It is the time of year again when Cupid starts shooting his arrows and couples fall in love. What is more romantic than the marriage proposal in a restaurant and a ring presented in a glass of champagne? How about sweethearts strolling along the beach under a moonlit night? Is there anything more touching than the couple that has been married for a very long time and they still walk hand in hand wherever they go? Sometimes love makes us do something dumb to try to impress the apple of our eye. In one instance, a prisoner escaped from jail because he was worried how his wife might react to all the time he had been spending in jail. In another instance, a man robbed three waffle house restaurants and a 4^th business in order to pay off his girlfriend’s probation fees (both from mentalfloss.com, “11 Strange Things Done in the Name of Love,” by Jennifer M. Wood, Feb 14, 2014). Perhaps it is the purchase of a ring we can’t afford but we are determined to show our love and commitment to the person we are enamored with. Love is fine and we may even excuse behaviors we might normally consider silly when two people are in love. What is not acceptable is when love and friendship turn into “Sweethearting” deals in a retail business.

Sweethearting is a theft or fraud activity that transpires between two or more people who know each other. At least one is an employee who provides special deals to his or her friend(s) and sometimes co-workers. The transgressions often start out small. They may involve giving a small discount on a drink or snack. Maybe it is “accidentally on purpose” overlooking an item while scanning merchandise through a register. More often than not what starts off as a little gift or friendly gesture evolves into a big problem. That boyfriend or girlfriend starts coming to the store more frequently and checking out in their friend’s line. What may have started out as the occasional extra candy bar in the bag or a large drink at the snack bar for the price of a small drink quickly turns into outright passing and theft.

If the activity is going to take place at the register, the cashier may send a text message to the friend alerting them that they are on a register and will look for them to come in. There are a variety of ways the two can rip-off the store. The cashier can ring merchandise up and discount it so it appears the transaction is legitimate. The employee can fail to ring up merchandise and bag it which becomes a passing situation. There is also the tendering of money that can result in cash shortage. The friend hands over a cash payment and the cashier gives too much change to the patron. This is a difficult type of theft to see transpire because money does change hands.

Sweethearting also takes place when an employee intentionally looks the other way when her friend is in the store shoplifting. This does not require the employee to take an active role in the crime. All that is required is for the employee to make a point of turning a blind eye to the theft as it is being perpetrated. There are times when the two parties plan out when the friend will come to the store and steal. This also means the employee is now an active participant and aiding in the commission of the crime which is much more serious on the part of the staff member.

Encourage your team to be friendly and courteous. Go above and beyond in the service you offer to customers. Love your shoppers, just make sure your employees aren’t being sweethearts in the process.

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Employee Training And Shoplifting

January 3, 2018 by Staff Editor Leave a Comment

After the holidays, you probably have a whole array of chores you must do to decide whether you had a good or bad year. The holidays are behind us, and if you seem eager to have new strategies to put in place, it is not uncommon, and you are not alone. New year resolutions are abundant during this time of year, and even though many of them are related to exercise, eating and health issues, yours can be directed completely to the business side of your life.

For a retail business owner, employee training is always an important issue they should not neglect. There are many aspects of every business that owners must take care of to ensure a well-run business and employee training is one of those important issues they must keep in mind.

Employee training has been shown to help businesses keep more of the profits, and to reduce the shoplifting happening at their stores. Paying for employee training is one way of investing in your business, and seeing the return of investment right away.

One of the many benefits of employee training is the certainty your employees will know what to do in case a shoplifting incident occurs. From the way they approach the suspected shoplifter, to the way they apprehend them, their training can be the difference between a lawsuit for your store or not. The guidelines they are supposed to follow are clear for trained employees when dealing with a difficult situation, and a dangerous situation is clearly assessed and dealt with before lives are endangered.

Employee training can also be a deterrent to shoplifters. Shoplifters will be less eager to enter your place of business if they know they will be approached and even questioned or apprehended if they do something illegal. Making your business a place where shoplifting is hard can get around to other shoplifters. Sharing the names of “easy” places to shoplift is well known among them, make yours the “hard” place shoplifters are unwilling to try.

Trained employees know how shoplifters behave and how they try to get away with stolen merchandise. They know which items may be a target for shoplifters, and which ones if the opportunity presents itself will be stolen without a second thought.

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Don’t Let The Dark Days Of Winter Catch You Unsecure

January 2, 2018 by Staff Editor Leave a Comment

With darker daylight hours comes the need for more coffee, the use of lights earlier and a plan to keep crime away from your store or business. Have you considered that one of the following types of crime could affect you?

Burglary – This is where a bad guy, low life scum type, breaks into your property when you and your staff are gone for the day. First and foremost you must have an alarm system. Not just the $99 special either. Invest enough that you have ALL exterior doors contacted. Yes, this also should apply to doors that are not used frequently or at all. Add glass break detectors on all exterior glass that can be easily reached. Enough motion detectors to create a trap effect. In other words so that no one can move around very far without a motion detector seeing them. Bad guys do not like light and sound, so add several sirens and strobe lights with at least one strobe on the front exterior and the back exterior. This will help to draw attention to your property by other citizens and the Police. You should always have an alarm control that uses cellular to communicate instead of phone or internet lines which can be cut or compromised.

Leave select lights on in the store to make it easy for the Police to see movement. The bad guys would prefer it to be dark. Are your doors and windows secure, I mean REALLY secure? Check the locks and make sure they operate correctly and are not simply cheap hardware that will give with a push or kick.

Robbery – This is the nightmare situation where someone presents you with a gun. Not as a present either. I have been involved in many shooting situations and have looked down the barrel of a few from the wrong side. It’s kind of funny how a barrel of a 9mm pistol looks like the opening of a 55 gallon barrel.

The key here is being prepared. Deterrents include well-lit stores and alert employees. Keep the cash drawers drained. Only keep the minimum amount of money in the till, the rest needs to go into a drop safe below the register or to the safe in the office. The lower form of life that commits robberies in many cases will make small purchases even a day or two ahead to see how much money is in the drawer. And yes, they know all about larger, excess bills being kept under the till tray in the drawer.

This is where a CCTV system that is adequately covering your point of sale comes in. The DVR should never be in plain sight at the point of sale; preferably in the office. Cameras should look at the point of sale from several different angles. Invest a couple of hundred dollars in a camera that mounts on the door frame at eye level. This will get a great face shot of anyone leaving.

All cameras should record 24/7 since hard drive space is cheap. You should easily get 30 to 60 days of recording. Another awesome deterrent is a Public View Monitor (PVM). A PVM is a monitor that is placed so that everyone entering the store sees themselves as they come in. It lets everyone know the system is active. A larger monitor in the 27+” range is preferred.

Employee Theft – I do not think employee theft picks up any more than other times of the year but it should get an honorable mention. Make sure you have adequate key and door control. Trash should be inspected by a manager before it goes out. Employees that steal will use the trash to get merchandise out picking it up later or have a friend get it. Employee bags should be inspected when they leave. I can send you a policy draft if needed.

Shoplifting – Shoplifters thrive and seek out concealment. Darkness adds to their psychological comfort. This is another reason for a well-lit store. Replace any burned out bulbs. Walk your store when it is dark outside to help discover any areas such as back corners that will provide aid and comfort to the shoplifting enemy. Make sure your Checkpoint system is operating correctly. If not call us for a service call. Ensure that your staff knows how to approach potential shoplifters with customer service techniques. I teach a live seminar on this for our customers, free of charge, whenever they need it.

Existing customers can call us at 770-426-7593 x103 to schedule a seminar. I also suggest that you pick up a copy of my new book: “Protect Your Store! The shoplifting prevention guide for small to medium retailers”. It is available online at Amazon and Kindle. The book has tools to shut off shoplifters right away.

Of course, these tips are good practice year round. However, take a hard, objective look at your store as it is better to prevent than recover from an incident. If we can help you, please reach out to us since we are only a call or email away.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Spider Wrap, Anti-shoplifting training, anti-theft devices, anti-theft tags, anti-thefts devices, EAS Devices, employee background checks, Georgia Alarms systems, internal Audit, Loss Prevention Seminars, Loss Prevention Training, Loss Prevention Workshop, mobile POS loss prevention, Periodic inventory, Prevent Shoplifting, prevent shrinkage, preventing shoplifting in your store, racial profiling, Retail Anti Theft Devices, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Store Safety Impacts Profits: Keep Your Store Safe During The Winter Months

January 2, 2018 by Staff Editor Leave a Comment

Accidents can be costly to businesses. In fact, according to the OSHA website, “It has been estimated that employers pay almost $1 billion dollars a week for direct workers’ compensation costs alone. Direct costs include workers’ compensation payments, medical expenses and costs for legal services.”

This does not take into consideration expenditures on general liability claims made by customers against businesses for accidents. The impact of a customer claim can be significant as well and according to thehartford.com “The Hartford Reports: More Than 40% Of Small Businesses Will Experience A Claim In The Next 10 Years,” March 30, 2015, the average cost of a customer injury or damage claim is $30,000 while a customer slip and fall incident is $20,000. A struck by object claim not identified as being specific to a customer or employee is listed at an average cost of $10,000. Consider then that the risk of these accidents taking place during the winter months increases significantly. What steps can you take to reduce the possibility you may have to pay out on a claim, especially during the winter months?

Slips and Falls

Slips and falls are not uncommon all year round, however, winter increases the chances of a slip on icy sidewalks and parking lots. Additionally, people will track ice and snow into the building leaving puddles of water that contribute to slip accidents. It is necessary for store employees to be diligent in placing wet floor signs near entrances and drying those areas too. Allowing standing water to remain because “people just keep tracking it in” is not an excuse that will hold water in an accident settlement case (pun intended). It is worth investing in wet area or all weather mats for the front doors to aid in the drying of shoes as customers enter the building. Have umbrella bags available for wet umbrellas. Bure sure to have deicers and anti-icers on hand for unexpected snow and ice storms to help keep sidewalks and curbs safe for patrons and employees. Stores located in traditionally warmer climates must be even more diligent because ice and snow are not as common; finding shovels and proper equipment when that rare snow or ice storm strikes can be a difficult task. Hardware stores run out of necessary items quickly as people without the tools come in at the sudden threat of storms.

Strains and Sprains

You or one of your staff may go outside to shovel snow from your sidewalks. Be careful! Not only is there the danger of being exposed to the cold too long, there is also a chance of a strain injury resulting from the shoveling of snow and ice. In an article in webmd.com titled, “Shoveling Snow Injures Thousands Each Year,” Jan 20, 2011, by Kelli Miller, the author points out that shoveling sends on average 11,000 adults and children to the hospital each year. She continues in her article, “The American Journal of Emergency Medicine details the most common health hazards associated with shoveling snow. Snow shoveling can lead to bad backs, broken bones, head injuries and even deadly heart problems.” Carefully watch those you may send out to shovel and rotate them in and out. Look for signs of excessive stress or pain and if necessary contact a local EMS station.

Parking Lots

Ensure your employees are safe if you send them outside to collect shopping carts or clear snow from parking spaces. Have orange or yellow reflective safety vests on hand and require those working outside to wear them. Moving vehicles in a parking lot may not stop quickly enough on the icy pavement if they don’t see the employee in time. The safety vest provides additional visibility to help alert drivers. While it should go without saying make sure weather appropriate clothing such as jackets, gloves and even scarfs are available for employees to help them avoid frostbite or other cold-weather ailments.

Struck-by’s

Don’t overlook the risk of ice falling from a rooftop. Too much weight from accumulated snow and ice or a slight increase in temperatures may result in ice and snow sliding off an overhang or roof. Be sure to monitor for such hazards and take proactive measures to clear potential problems before they result in an injury.

Accidents can happen anytime but winter offers unique challenges. Be pro-active and make sure you and your managers are doing all you can to make your employees and customers safe when they visit the store to work or shop.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Jewel Lok, Alpha Nano Gate, Alpha Security, Alpha Spider Wrap, Anti-shoplifting training, anti-theft devices, anti-theft tags, anti-thefts devices, Background checks, EAS Devices, employee background checks, Georgia Alarms systems, Georgia shoplifting prevention, internal Audit, loss prevention, Loss Prevention Seminar, Loss Prevention Training, Loss Prevention Workshop, mobile POS loss prevention, Perpetual Inventory, Prevent Shoplifting, preventing shoplifting in your store, racial profiling, Retail Anti Theft Devices, security, shoplifting, shoplifting statistics, shoplifting violence, surveillance

Retailers’ Biggest Nightmare: Shoplifting

December 5, 2017 by Staff Editor Leave a Comment

Big corporations across the globe worry about cybersecurity attacks and the repercussions those attacks have on the corporation’s bottom line. These cybersecurity attacks to their servers and information databases can be costly and can bring with them costly lawsuits as well. But, according to many analysts, employee theft and shoplifting are the more concerning issues affecting the retail industry. They alone account for more than two-thirds of their shrinkage and that figure seems to be rising every year. During the holiday season, those issues become more problematic and costly, and the retail industry looks for ways to prevent the great loses they will certainly suffer during this jolly time.

For more about this and other stories, follow the links below.

This crime in the workplace is costing US businesses $50 billion a year

There is a hidden risk facing small businesses across the country that often goes unnoticed until it suddenly rips through a firm’s finances: employee theft. It’s a crime that is costing U.S. businesses $50 billion annually, according to Statistic Brain.

Matt Ham can attest to that. He has had two run-ins with thefts by employees at his small business, Computer Repair Doctor, which has eight stores in Florida, Ohio and South Carolina, which collectively totals 30 employees.

At a store in Florida, two employees were caught stealing parts from inventory and skimming cash about a year and half ago, he said. After a thorough investigation, Ham sat them down with his attorney and they came up with a plan for restitution. Both employees had to pay back the thousands of dollars they stole. The chain has now put more safeguards in place, such as better inventory controls and a strict cash-counting process.

Survey finds no let up in one of retailers’ biggest threats

Nearly all retailers fell victim to organized retail crime during the past year. And the losses are mounting.

Ninety-six percent of responding retailers experienced ORC in the past year, according to the 13th annual ORC study by the National Retail Federation. And 67% reported an increase in this type of activity during the past year.

The survey of retail loss prevention employees found that losses averaged $726,351 per $1 billion in sales, up from $700,259 last year. Los Angeles continued to be the hardest-hit area for ORC in the nation, a position it has held since 2012. Following in order were New York City, Houston, Miami, Atlanta, Chicago, Orlando, San Francisco/Oakland, Orange County, Calif., and Northern New Jersey.

“Organized retail crime continues to be one of the biggest challenges to retailers of all sizes,” NRF VP for loss prevention Bob Moraca said. “These crimes happen across the country every day, with criminals getting smarter, more brazen, more aggressive and sometimes even attacking store employees and shoppers. Fighting ORC is a full-time job, and retailers must learn how to stay a step ahead of these thieves.”

Loss Prevention Trends to Watch During the Holiday Shopping Season

All retail eyes are focused on online security and digital transactions during the holiday season. But according to the National Retail Federation (NRF), shoplifting and employee theft accounted for more than two-thirds of inventory shrinkage in 2016. Retailers need to improve their internal security systems to boost their loss prevention abilities and keep their shrink rate from rising above last year’s historical high of 1.44 percent.

Retail store shrinkage is a known part of the industry, but with all the attention centered around cybertheft of customer information and implementing proper security measures at point-of-sale (POS) systems, the age-old problem of losing products at the physical store has taken a back seat.

Leveraging Cybersecurity Technology for Loss Prevention

Technology is playing a larger role across all retail efforts, and some of the tactics employed in the back office to protect the company’s digital data can be expanded to store-level prevention. The specifics of the skills needed differ between cybersleuths and on-the-floor store personnel, but more education and discussion between these disciplines can help.

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