retail security and monitoring

EXACTLY HOW DO YOU LOSE MONEY TO CREDIT CARD FRAUD

June 30, 2016 by Staff Editor Leave a Comment

You have (or I hope you have) read the last article on preventing check fraud. It’s a great way to protect your business from a different avenue of fraud. Another, much more popular and prevalent scheme is credit card fraud. The United States lags far behind the other major countries in the fight against credit card fraud. We’ve only just begun adopting chip and pin technology and it will be several more years before we see magnetic strips become a relic of the past. So exactly how can you identify and prevent a fraudulent change from happening in your store and how exactly do you lose money on these transactions?

Credit card fraud is the one of the biggest, single fraud scheme affect my stores. While the criminals evolve their tactics quite often, there are some general rules you can follow to identify possible fraudulent transactions.

Large Dollar Gift Card Purchases| Normally, a legitimate customer will not purchase 3 $500 in back-to-back transactions with 8 different credit cards. This is a red flag and should involve management immediately.
Multiple Transactions with Multiple Credit Cards| This is another red flag that could help you identify criminal activity. The average American owns about 3 credit cards. If you have an individual using 5-8 credit cards to make several big ticket purchases, then you’re probably dealing with some fraud.
The Credit Card Lacks the Eagle Hologram|Holograms are hard to fake (although I’ve seen some really good ones). Often, the counterfeiters will skip over this step, so I always look for the eagle.
Typos| Since a lot of counterfeit cards come from manufacturers overseas, every now and then, you can spot a typo on the bank’s name, or even the credit card company (I’ve personally seen “MasterCard” about a dozen times.)
Verify ID on all purchases over $X. Now this one is tricky. About 3 years ago, this was an easy, sure fire way to spot a fraudster, as the ID and the card name would not match. Over the past 18 months, we have seen these groups become highly sophisticated in this area. They will now very often, imprint the actual name of the criminal on the card. They also imprint the card with an account number that is not the account number that is embedded in the magnetic strip, which makes identifying the card as fake at the point of sale almost impossible.

So now you have a few best practices to use in your fight against credit card theft, but you may still be asking yourself, “Why should I care? Then bank covers the loss to the customer anyway.” While that statement is absolutely true, the banks will then issue a “charge-back” to the retailer that accepted the fraudulent purchase. This means you can be out thousands upon thousands of dollars if you’re not proactive in your approach to identify and prevent fraudulent credit card purchases in your store.

Essentially, what that means is the criminal impacts two people; the customer that is a victim of identity theft and the retailer that must then cover the cost of the transaction. For a large corporation, it may not be a big deal to dole out tens of thousands of dollars per month in chargebacks, but to a small business owner, even a few hundred could make the difference between being in the red, or black.

My best advice to you is that you follow the guidelines above and update your POS systems to accept the new chip and pin technology. Hopefully, in the coming years as the old tech is phased out and the more secure chip technology takes over, brick and mortar credit card fraud will be a distant memory. (Online fraud, however will take center stage… but I’ll save that for next time.)

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, Employee Theft, Georgia Alarms systems, Loss Prevention Workshop, mobile POS loss prevention, retail security and monitoring, Shoplifting Prevention, shoplifting violence

HOW SMALL BUSINESS OWNERS CAN PROTECT THEMSELVES FROM CHECK FRAUD

June 30, 2016 by Staff Editor Leave a Comment

You know, we talk about the thousands of ways you, the small business owner, loses money to thieves constantly. Most of that is centered on shoplifters and boosters stealing your merchandise. We talk about that for good reason… it’s one of the biggest financial impacts to your business if left unchecked. However, there are so many other ways that your business can be targeted by criminals and some of them may appear so legitimate, that you would have no idea you were a victim for weeks. In that time, the criminal is long gone and you’re left paying for that theft out of your pocket. One area of training that is often overlooked in retail is check fraud. I’ll give you some advice on how to identify this in your store and protect yourself from vulnerability.

I’ve worked in big box retail my entire adult life, mostly at a regional Loss Prevention level. The way large businesses protect themselves against phony checks is through a third party company. By using this company, the retailer in fact takes $0 loss on any fraudulent check purchases, since the 3^rd party company gives the retailer, through a quick scan on the POS, a guarantee on the check that it is accepting. That’s great for billion dollar companies that accept thousands upon thousands of checks each and every day. But what about you?

To protect yourself against counterfeit and fraudulent checks, you have to know what to look for. While technology is helping criminals create and print better looking checks, there are several tell-tale signs that you can look for to stop this from happening to you and your business.

Micro print| Take a really close look at a check if you happen to have one lying around. Pay close attention to your signature line. I bet you’ve never noticed that the line is in fact, not a line at all. It’s actually fine print. Really fine print. Often it says “micro print” or “security” and it is very difficult for a fraudster to recreate. In fact, if you try to copy the check on even a high end scanner and laser printer, it will not come out perfectly. This is absolutely, hands down one of the easiest ways to spot a fake.
Perforation| Pay special attention to perforations on the check if you suspect fraud. The vast majority of personal checks have a perforation at the top, which of course makes it easy for you to remove from your checkbook. Often, a fraudster will copy the checks on laser printers, giving the check a smooth side all around. Business checks will more often than not, have perforations along the left side, so also keep that in mind.
Single Checks| If someone is making a rather large purchase and are paying with a check, take note if that individual has just that one single check, and not an entire book. This can be a strong indicator of fraud. I mean, who just carries around one check?
Back of Check| Pay attention to the back of any check. Did you know that on the opposite side of the endorsement is a little paragraph explaining the security features of that exact check? Imagine that! Use that to your advantage and look for the features to be prevalent on the check. Most checks also have a watermark on the back of the check that is almost impossible to fake.
Out of State checks| You know your customers pretty well. If you are a local store and you have someone attempting to spend a great deal of money on high end product with a check from an out of state bank, pay close attention. I’ve dealt with this plenty of times in my career and the easiest thing to do is contact the financial institution on the check. Very often, you’ll find that the financial institution doesn’t even exist!!
Paper Quality| There are two type of phony checks. Ones that are counterfeited from scratch, and those that are actual checks that have been washed in some way. Each one will give you specific clues to the authenticity of the check itself. Washed checks will just look odd. Under the slightest of scrutiny, you should be able to notice that the check has been altered, whether it be an erased line or perhaps you may even still be able to see the original information underneath. Counterfeit checks will usually be printed on paper that’s not of the same quality as a legitimate check. It may feel a little different in your hands, or may be slightly thicker than a normal check.

Now these are just some general guidelines that should help you to identify the majority of check fraud. Since criminals are constantly evolving their tactics, there will never be an “all-inclusive” black and white guide to identifying fraud, following these few steps and using a bit of common sense can help protect your business from falling victim to a forged, counterfeit or otherwise phony check.

Filed Under: Featured Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Jewel Lok, Alpha Nano Gate, Alpha Security, Anti-shoplifting training, anti-theft tags, anti-thefts devices, EAS Devices, employee background checks, Employee Theft, Georgia shoplifting prevention, Loss Prevention Seminar, Loss Prevention Seminars, Periodic inventory, POS ROI, Prevent Shoplifting, prevent shrinkage, racial profiling, Retail Anti Theft Devices, retail security, retail security and monitoring, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Is Technology The Answer To Shoplifting And Employee Theft?

June 15, 2016 by Staff Editor Leave a Comment

What is the solution to shoplifting and employee theft? Are harsher punishment by law the solution to this devastating social problem? Technology aimed to help retail stores prevent this problem do not seem to be helping yet. As the technology advances, so does the professional shoplifter. Meanwhile the losses due to shoplifting and employee theft are becoming retailers greatest problems to date.

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

Shoplifting: Retail’s $45 Billion Problem

Retailers are struggling to keep tabs on shoplifters who are increasingly becoming their top source of loss, averaging $377 per incidence, up $60 from the year before.

At 39 percent, shoplifting was found to be the biggest contributor among factors that led to overall inventory shrinkage in 2015 causing a $45.2 billion loss across the United States, according to NRF’s 2016 National Retail Security survey. The new numbers reflect a $1.2 billion increase in losses from 2014.

The inventory shrink averaged 1.38 percent of retail sales and saw 47 percent of retailers reporting losses in 2015.

“With a constantly evolving retail landscape, loss prevention becomes more complex every day,” said NRF Vice President of Loss Prevention Bob Moraca. “LP professionals have been working diligently to find advancements in technology aimed at deterring crime in our industry, sometimes even before it happens – but as our techniques get more sophisticated, so too do the criminals.”

Another factor adding to inventory shrinkage was a rise in robberies that exclusively targeted jewelry stores. The average loss reported by robbed stores increased from $2,465 per incidence in 2014 to $8,180.17 last year.

RETAIL INVENTORY SHRINKAGE INCREASED TO $45.2 BILLION IN 2015

The 2016 National Retail Security Survey, conducted in collaboration by the National Retail Federation and the University of Florida, reveals that retailers’ inventory shrink averaged 1.38 percent of retail sales, or $45.2 billion in 2015, up by $1.2 billion from 2014.

According to the report, 47 percent of retailers surveyed reported increases in overall inventory shrink in 2015, with shoplifting accounting for the greatest cause with an average loss of $377 per incident (39 percent), up nearly $60 from 2014.

Robberies continue to be a growing expense for retailers, costing an average of $8,180.17, up from $2,465. The rise in robberies in 2015 was driven by an increase in jewelry stores reporting extremely high average losses.

Gieves & Hawkes Installs RFID to Prevent Shrinkage, Track Inventory

The U.K. men’s wear retailer is using a solution from Catalyst to invisibly secure the doorway at its two newest stores, and to make sure its products are always in stock.

Apr 05, 2016—

To improve inventory visibility and prevent loss, men’s clothing retailerGieves & Hawkes has deployed a radio frequency identification system at its store in Birmingham, England. The solution tracks goods as they are received and stored in the back room or store front, then prevents unpurchased merchandise from being taken out the front door by sounding an alert, as well as storing data regarding which item is being removed. The company is expanding its RFID deployment to its newest store, located in of Hackney, an East London borough. The technology is provided by RFID solutions companyCatalyst. Both Gieves & Hawkes and Catalyst are owned by Li & Fung.

Gieves & Hawkes is a high-end men’s custom and ready-to-wear clothing retailer based in London, with more than 200 stores in China alone, as well as eight stores in the United Kingdom. The company was founded in 1771, making it one of the world’s oldest tailors. Britain’s royal family and royal military have worn its custom suits and clothing for several centuries. (Gieves & Hawkes did not respond to requests for comment.)

Filed Under: Shoplifting Prevention 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-thefts devices, EAS Devices, employee background checks, Georgia Alarms systems, Georgia shoplifting systems, Loss Prevention Seminar, mobile POS loss prevention, Prevent Shoplifting, prevent shrinkage, racial profiling, Retail Anti Theft Devices, retail security, retail security and monitoring, security, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Strong Hiring Practices can Deter Employee Dishonesty

June 13, 2016 by Staff Editor Leave a Comment

Employee theft is a common and costly problem in retail. Some businesses’ are reporting that, for the first time, internal pilferage has now surpassed external. There are many ways to control and manage internal theft. But, one of the most effective ways is often overlooked. Stop it before it starts.

Many companies have the misconception that “management” starts after someone is hired. But, good management practices start before the employee is ever hired. They start when the candidate is sitting in her first interview.

Companies who’re committed to integrity understand that from the moment the potential hire encounters the company (i.e., website, employment application, recruiter, Human Resources) he should know that the company values honesty. Values it and is activity looking for employees who do too.

When a business makes it a priority and emphasizes it as a condition of employment, dishonest people will start to be weeded out. Some will self select — they’ll become uninterested in the job and move on to a less stringent company. Or if they think they can cheat the system, make it difficult for them to get through the hiring process.

One way to get people to fall by the wayside is to have an up-to-date written drug free workplace policy, which includes rigorous pre-hire testing. The applicant must sign it and follow through with the testing. Many will sit in the interview, say they agree with the policy and never go for the testing. Or, of course, fail it.

Another way to screen for honesty is to let people know up-front, clearly and in bold letters that the company has a firm policy of checking references, education and work history. It may also check on credit and criminal history, depending on the job requirements.

People are blatant about their dishonesty, they count on nobody checking — make sure they know your company does. They’ll walk away and not even attempt to apply for the job or will be caught in their deception when their information is checked.

Be very careful about using social media in hiring practices. It shouldn’t be used as a shortcut. It’s not a substitute for due diligence and good procedures. If an interviewer doesn’t hire a woman because they found out through Facebook she was pregnant, the company is in violation of the law.

The laws concerning the applicants’ “right to privacy” and potential employers’ “right to know” are just starting to be written. Many legal experts are encouraging businesses to err on the side of caution and use only legally established hiring methods. Don’t let your company become the test case to make new law.

Nicole Abbott is a professional writer who’s had over 200 articles published. She’s a business consultant and former psycho-therapist with over 20 years of experience in mental health, business and addiction. She’s a coach, lecturer, trainer and facilitator. She has conducted over 200 workshops, trainings, presentations, seminars and college classes.

Filed Under: Shoplifting Prevention 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-thefts devices, Background checks, EAS Devices, Employee Theft, Georgia Alarms systems, Georgia shoplifting prevention, Periodic inventory, Prevent Shoplifting, racial profiling, Retail Anti Theft Devices, retail security, retail security and monitoring, security, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Do You Need To Build A Loss Prevention Team In Your Store?

June 9, 2016 by Staff Editor Leave a Comment

According to the National Retail Federation-NRF organized retail crime costs the retail industry approximately $30 billion each year. 97% of the retailers surveyed admit to being victims of organized retail crime in their stores, and the problems of organized retail crime, employee theft and shoplifting do not seem to abate. The solution to this devastating problem seems to elude retailers, law enforcement, and communities across the country.

To read more about this and other topics, follow the links below.

How to Build a Loss Prevention Program in a High-Risk Store

Integrating an effective loss prevention program can yield dramatic improvements when it comes to mitigating inventory shrinkage. But aligning an LP department appropriately within the structure of an existing company is not an easy thing to do. It is crucial to ensure that the LP team becomes an essential component of the entire store process.

Which Stores are High-Risk?

It makes sense to target the stores with the highest amount of loss risk first in order to make the greatest impact from the very beginning. When Stage Stores decided to realign its loss prevention department in the early 2000s, for example, the LP corporate manager worked with regional managers to rank stores based on shrinkage performance and its change over time.

Other attributes that were factored into the grouping evaluation included geographic location, internal and external theft history, and employee turnover rates. They eventually landed on a bundle of 50 stores that could be designated as “high-risk” and decided to focus their attentions on these stores.

Employee theft cited as largest cause of retail loss

Crime cost retailers £2.34 billion last year, according to a recent survey conducted by conference series Retail Risk London, and the UK Retail Fraud Survey 2016.

Employee theft was identified as the single biggest cause, with 68% of retailers citing it as their top area of loss.

Published by Retail Knowledge and sponsored for the second consecutive year by WIS International, the survey is the most extensive report into the systems, processes and strategies of the UK’s top retailers available, and covers retail transactions accounting for some 32% of all UK retail sales online and offline through 34,950 stores across the UK.

Shrinkage rates vary by retail sector from mass merchants and department stores at 2.68% of sales to a low of 0.25% of sales for hospitality and leisure retailers. However, mass merchants and department stores have seen a massive increase in shrinkage rates since last year, of 58% whereas hospitality and leisure retailers have seen a decrease of 38%.

Employee involved in retail theft ring that stole $11,000 from Clinton outlet store

CLINTON–Police are trying to find a group responsible for stealing $11,000 in merchandise from a store at Clinton Crossing.

A group that was connected to an employee at the POLO outlet in the mall was able to steal the merchandise between January and March 2016. The scam worked by having the employee, who was a cashier, void large transactions but still place the merchandise in shopping bags for the customers. The customers were involved in the scam, and left with the stolen merchandise.

The same “customers” were involved during all the transactions.

The employee at POLO admitted to the scam, but she refuses to name the other suspects. Police are not yet naming her or saying if she’s been charged.

The suspects may be from the New London area. If you have information please call Clinton Police at 860-669-0451 or email [email protected].

Filed Under: Shoplifting Prevention 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, EAS Devices, Georgia shoplifting prevention, Georgia shoplifting systems, Loss Prevention Seminar, Loss Prevention Seminars, Loss Prevention Training, Loss Prevention Workshop, Periodic inventory, prevent shrinkage, retail security and monitoring, security devices, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Increase Your Margins Without Spending Anything

June 7, 2016 by Staff Editor Leave a Comment

Do you REALLY know how to stop shoplifters? I mean, really know? Your Checkpoint System is only half of the strategy. You spent the money, put the labor/time into using labels and tags but after the newness wears off, are you still having more losses than you want?

As a customer of Loss Prevention Systems you have more. Because you bought your system from us and purchase tags/labels from us, we will train you and your staff in any or all of our awesome FREE, LIVE webinars:

Yes, we will conduct these webinars privately for you. As reasonably often as you need. Change in staff, new hires, new supervisor, new manager, refresher training, one person or fifty…. Just call and schedule it.

You see, I believe that the Checkpoint System and Alpha High Theft Solutions equipment is as good as the staff that is handling it. So these webinars are not about how to use the equipment but about how to deter the shoplifters in the first place and what to do when you do catch one. I cover your stores policy (or help you design one), how to approach a suspected shoplifter and deter them, how to handle an alarm from the Checkpoint System, your State’s laws and much more.

My 30 years as an LP professional starting as a Police Officer, Store Investigator, District LP Manager, Regional LP Manager and the Director of LP for two major retailers, give me a vast amount of experience to draw on to help you solve your problems. Think of Loss Prevention Systems as your LP Department. All of that because you are our good customer!

My goal is to reduce YOUR losses. If LPSI can do that, then we are all happy.

So call or email us, get one scheduled before you lose any more merchandise to thieves.

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, EAS Devices, employee background checks, Employee Theft, loss prevention, Loss Prevention Seminar, Loss Prevention Seminars, Periodic inventory, Prevent Shoplifting, Retail Anti Theft Devices, retail security and monitoring, shoplifting statistics, shoplifting violence, surveillance

EMPLOYEE THEFT – A LESSON IN HUMAN NATURE

June 7, 2016 by Staff Editor Leave a Comment

It’s no big secret that I can’t stand a thief; I did make a career out of catching them. Shoplifters really get under my skin, but employee theft really fires me up. You put people to work, give them opportunity to grow and instead of putting in the long hours, hard work and dedication needed to move forward, they steal from you. They betray your trust, slap you in the face and take money out of your pocket and food off your family’s table. Will you ever stop employee theft completely? Probably not. You can, however, minimize the risk.

If you employ people, there’s a good chance one of them will eventually steal from you. Through my Loss Prevention career, the excuse I’ve heard the most from dishonest employees was that they did it because it was “easy”. So why are we, business owners and managers making it so easy for our employees to steal from us? The first problem I see constantly is that, over time, complacency sets in. The next is a failure to follow established controls and finally, my personal favorite, is a lack of oversight.

A key to being a good manager is to not be over-bearing. I’ve learned a long time ago to “trust, but verify”. What that means is that you trust that your employees are doing what they are supposed to do when you’re not around, but you verify, and not simply assume they are. For example, you tell your warehouse team that the back door should never be open without a manager present. This is a basic control measure to prevent product from walking out of the back door. You obviously can’t be in your warehouse all hours of the day and night, so you have to verify. CCTV makes this easy. Managers often fall victim to complacency. If the warehouse crew knows that that the manager never checks to see if the doors are open, or that manager never addresses the violation, an environment for a dishonest associate to thrive is created.

Failing to adhere to established controls is yet another way we, as managers, often let our employees steal from us. (It also goes hand-in-hand with complacency.) I’ll give you a great example. I worked for a company that had a carry-out policy with respect to large, bulk items. If an employee was assisting a customer with a large item, the employee had to have the door greeter sign off on the receipt before it was carried outside. This was of course to discourage employee theft. I remember walking near the front doors as an employee rolled out a TV set. The door greeter asked to sign the receipt, and the employee said, “I’ll sign it outside”. There was a manager at the door as well. Both the greeter and the manager did not react to this. I immediately went back to the cameras and discovered this employee had just stolen this TV. A subsequent investigation showed he had rolled out thousands of dollars in this same manner. If the store would’ve followed their established controls and not fell into complacency, this employee would never had the opportunity to steal.

Manager. The word manage is actually in the name! The working world needs managers because most people need oversight. Some may need more than others, and you’ll find that some people need very little. You have to adapt your style of management to suit each of your employees. Managers that sit in the office all day long and are never give a sales floor presence are more likely to be the manager that employees feel comfortable stealing around. This isn’t to say that the manager is “in on it,” but the dishonest employee knows their chance of being caught is greatly reduced when “that manager” is working. Presence on the floor and constant follow up are traits of a good retail manager. Knowing that at any moment you can round the corner to see what the team is working on will keep those dishonest employees on their toes. Chances are, they won’t risk being caught, or better yet, they won’t ever see an opportunity to steal from you!

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, Employee Theft, Georgia Alarms systems, Georgia shoplifting systems, loss prevention, Loss Prevention Workshop, Retail Anti Theft Devices, retail security, retail security and monitoring, security, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

WHAT’S THE VALUE IN LOSS PREVENTION AWARENESS TRAINING?

June 7, 2016 by Staff Editor Leave a Comment

Whether you’re a small one store business, or a large chain store, loss prevention awareness training for your teams cannot only protect against criminal acts, but also make a direct and positive impact on your bottom line. There is an inherent value in awareness training that lots of managers just don’t take advantage of. The core of any successful loss prevention program is not how many shoplifters are caught, nor is it how many employees were arrested; it’s training and awareness of your store teams. We are called loss “prevention,” not loss “reaction,” right? So how do you persuade your managers to see the value?

In my experience, in order for a manager to really do something, and to buy in to anything, you have to appeal to the “what’s in it for me” mentality. (Because a job and steady paycheck just aren’t enough.) What’s the biggest complaint from your managers? What I hear most is “payroll”. They need more people and more allotted hours to get the job done right. You surely just can’t dole out payroll hours, as this is the biggest controllable expense you have. So you have to work with what you’re given; but what if what you’re given is slowly being eaten away by shrink?

Shrink has a direct impact on payroll. Take for instance, if your store lost $12,000 last month to shrink and we assume that you have an average hourly rate of about $10/Hr. That $12k you lost could’ve been sales, had you had the product in stock for the customer. That equates to about 70 payroll hours you’ve lost. That’s 3 part time workers, or 1 full time and 1 part time worker. So how do you recoup some of those hours? Awareness training.

Well, who do you train? I always start with the cashiers. This group is your last line of defense against fraudsters. So much can happen at the point of sale. You can have price-switchers, quick-change artists, box stuffers, counterfeiters, etc. A well trained cashier can quickly spot these thieves and save you thousands. Take for example, ice chests/coolers. A poorly trained cashier may never think about opening these up as they come through the line. This is a gold mine for organized criminals. How much product can you hide in a 160qt ice chest? This would be a good starting point for any training program. Every cashier should be expected to open the contents and check for any hidden product. You’d be surprised at what you’ll find.

Monitor your success. Let’s assume you start with this simple step. Each time your cashier finds hidden merchandise, you record the dollar value of the save. Maybe you even spark a little competition amongst your cashiers. At the end of the month, you (and the manager) have a solid number to show the value in that small investment you made in training. Now you can expand.

What makes a successful training program work is having fun. I had a store manager years ago that really inspired her team. She went around the store and hid little notes inside backpacks, coolers and anything else that she wanted her teams to open and look inside. Those notes said, “When found, bring to a manager”. Those cashiers were then rewarded in some way. From this program, this manager was able to make a positive financial impact of over $10,000 in what otherwise would have been stolen product.

That’s an extreme example. I have other stores that have an “item of the week”. The cashier supervisors’ partner with the department supervisors and each week, they showcase a high ticket item. One week it may be an expensive tent, and the next week a high end toothbrush. During the week, all the cashiers have an opportunity to touch the product, learn about it and understand that it’s an expensive item. This not only gives them the ability to speak to the product to our customers, but to also identify any potential price switch scenario they may encounter.

It’s hard to argue with the value a good LP training program can bring to your store. Not only can you increase your sales, but you can also positively impact your shrink and wage metrics. You also limit the exposure your store has to criminal activity, so your employees and customers can shop and work in a safer environment. If you’re not using your entire team to prevent shrink, it’s time to do so; your bottom line is depending on it.

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, Georgia Alarms systems, Loss Prevention Seminars, Loss Prevention Workshop, Periodic inventory, Prevent Shoplifting, racial profiling, Retail Anti Theft Devices, retail security and monitoring, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

Identifying The Problems To Prevent Shoplifting

June 2, 2016 by Staff Editor Leave a Comment

To fix a problem, you first need to know what is wrong with it. Shoplifting and employee theft are two of the main causes of billions of dollars lost in the retail industry every year. Employers and management personnel do not know how to fix those problems, and sometimes are not aware there is a problem till much later. If employees are caught stealing, the problems then are the financial costs associated with prosecuting such individuals. Is firing them enough punishment? Should the employer pay thousands of dollars in legal fees to bring such individuals to court? There are many issues associated with shoplifting, do you know what to do about them?

To read more about this topic, follow the links below.

Managing Retail Shrink Begins with Problem Identification

The retail shrink action plan should begin with problem identification.

One question I have been asked frequently is, “How did you know how to battle retail shrink in the grocery business, especially considering your background is predominantly in discount retail?” My response to that question is almost always the same, which is: “I follow the loss prevention road map.” Often I get blank stares, but after explaining, most understand and realize they have probably been following their own road map for years without realizing it.

I have always described the road map as a six-step process; one that takes years to perfect, but when executed properly can yield amazing results in not only retail shrinkage reduction, but any expense a company is attempting to minimize.

The process includes the following six steps:

• Step 1—Problem identification
• Step 2—Program development
• Step 3—Program execution, or what I like to call countermeasures
• Step 4—Comprehensive awareness programs
• Step 5—Auditing for compliance
• Step 6—Measurement

Shoplifting prevention tips for businesses

JOHANNESBURG – Preventing petty theft such as shoplifting is not an exact science, however, here are a few tips to help business owners and shopkeepers.

Danny Maduray, owner of Ria Sebetsa Security, warned businesses of shoplifters.

“If you suspect someone may be shoplifting, never accuse him but rather ask if you can help him,” said Maduray.

“Keep the person in your sight and contact security or a manager immediately. Never try to stop the shoplifter. Rather provide security with a detailed description of the person, including his vehicle, if possible.”

Maduray also listed a few tips for businesses to prevent shoplifting:

Greet customers as soon as they come into the store. Addressing customers removes their anonymity. Shoplifters are known to avoid stores with attentive salespeople.

Face to Face

With facial recognition tools, do benefits outweigh privacy concerns?

Facial recognition technology has progressed through several generations, been tested in the workplace and is employed on a daily basis by transportation venues, casinos and law enforcement.

So why aren’t retailers making wider use of it, either to identify known shoplifters or to personalize visits of loyal customers when they walk into the store?

The technology may be in wider use than most people suspect, but some merchants are hesitant to publicize their efforts and risk having them be misinterpreted by privacy advocates. As with video surveillance, facial recognition raises fears of privacy invasion, but these can be overcome, says Colin Peacock, visiting fellow at the University of Leicester in England and strategic coordinator for Efficient Consumer Response Europe’s Shrinkage and On-Shelf Availability Group.

Filed Under: Shoplifting Prevention Tagged With: Alpha 2 Alarm, Alpha 3 Alarm, Alpha High Theft Solutions, Alpha Nano Gate, EAS Devices, Employee Theft, Georgia shoplifting prevention, Georgia shoplifting systems, loss prevention, Loss Prevention Training, Prevent Shoplifting, prevent shrinkage, racial profiling, Retail Anti Theft Devices, retail security, retail security and monitoring, security, security devices, shoplifting, Shoplifting Prevention, shoplifting statistics, shoplifting violence, surveillance

What Are You Doing To Prevent Shoplifting In Your Business?

June 1, 2016 by Staff Editor Leave a Comment

The United Kingdom police arrested people involved in a shoplifting ring this past week, The New York police in the United States arrested 3 people involved in a shoplifting ring, and 3 more people are arrested in Delaware for the same crime last week. Shoplifting is a crime that in Europe, The United States, and other developed countries is so widespread that is costing businesses billions of dollars a year, and authorities are trying to find a solution to a problem that so far has no end in sight.

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

Can Science Stop Stealing? UF Researcher Aims to Find Out

University of Florida Research Scientist Dr. Read Hayes is gathering data to better understand shoplifters’ habits.

By Stephen Sellner · May 20, 2016

GAINESVILLE, Fla. — Theft plagues all kinds of retail stores across the country, and one University of Florida researcher thinks he can prevent stealing through science.

Dr. Read Hayes started the Loss Prevention Research Council 30 years ago. There, he studies video surveillance supplied by retailers to study shoplifting tendencies and better understand what deters them from stealing. Part of Hayes’ research involves interviewing shoplifters who are caught in the act to learn more about how they operate and what entices them to steal certain items. In exchange for talking, Hayes gives them a gift card to the store.

“We’re trying to really understand the thought process,” Hayes told Fox 13 News. “We’ve got to understand the psychology here in order for us to help influence their decisions.”

Below is a video that goes into more detail on Hayes’ work that has retailers very interested.

Delaware troopers arrest 3 in organized shoplifting

Delaware State Police troopers have arrested three people in connection with an organized retail theft operation.

Around 8:40 p.m. Saturday, May 28, troopers were dispatched to the Marshall’s store at 4575 Coastal Highway for a report of a shoplifting in progress, police said. When the troopers got there they saw a loss prevention employee chasing after three people running from the store, police said, and the troopers were able to detain the three suspects without further incident.

Police said the investigation revealed the three were removing security devices from clothing in the store and then concealing them in a backpack which they also took from the store’s sales rack. When the loss prevention employee confronted the three and identified himself, they dropped the merchandise and fled, police said.

Sue vows to fight teenage crime using free toiletries and underwear with launch of ‘Sue’s Essentials’

East Cambridgeshire Police’s crime reduction officer has launched her ‘Sue’s Essentials’ project by handing out boxes of toiletries and sanitary items to colleges across the region.

The case of a 12-year-old girl caught shoplifting toiletries in Ely inspired Sue Loaker to kick-start ‘Sue’s Essentials’ – an initiative that aims to reduce crime – theft in particular – through the distribution of free toiletries, sanitary items and underwear.

Toothbrushes, sanitary towels, hairbrushes and bras are just a selection of goods on offer to teenagers who may be unable to buy the items themselves or may not be receiving them at home.

Ms Loaker believes that offering the items to the region’s young people for free can help reduce the number of teenage shoplifters, and hopes it will also aid in the prevention of bullying in schools.

She said: “Ultimately, it’s a self esteem issue, and not having these items can lead to bullying and crime.