Clothing retailers are one of the most susceptible to loss due to shoplifting and can benefit greatly by using security tags on clothes. There are a few benefits to using this type of clothing security.
First, the primary goal is to reduce shoplifting loss. The less inventory loss a retailer experiences the more profit is realized with the same amount of revenue. Simple math, if a boutique retailer selling $1mil per year with a net profit of 3% and a shrink rate of 3% implements a loss prevention security system with security tags on clothes and cuts losses in half (very realistic if not conservative) the same amount of revenue results in a 4.5% net profit with a 1.5% in shrink. Significant.
Another benefit to using a clothing security system such as security tags on clothes is that it sends shoplifters away and on to unprotected stores. Less shoplifting activity means less shoplifter traffic that store employees have to deal with as well as less exposure to thievery in action good customers experience while in your store.
Studies show that unprotected stores are 75% more likely to suffer losses due to shoplifting and that shoplifters who succeed one time will come back for more, over and over again. Even if apprehended shoplifters will return to stores that do not use an EAS (Electronic Article Surveillance) system incorporating clothing security tags simply because they are not likely to get caught again.
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