Could Good Training Help Prevent Deaths In The Retail Industry?

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It is not rare when the news report another death from a shoplifting incident.  Organized crime is a global and national problem affecting millions of people, and the retail industry loses billions of dollars every year due to shoplifting. LP personnel deal with highly strenuous situations every single day they try to apprehend shoplifters, and their safety is not always guaranteed.  What are you doing as a retailer to ensure the safety of your employees?  Are you doing enough? Is their training subpar, or are you enlisting the best possible training for them to do their job?

To read more, click on the links below.


Employees charged with fatally crushing shoplifting suspect

It was the middle of the night on Feb. 7, at a Florida Walmart Supercenter, when Kenneth E. Wisham, 64, allegedly decided to steal $380.74 worth of DVDs.

Pushing a shopping cart stacked high with them, Wisham tried to leave the store without employees noticing, but when they did — and then confronted him — the man ran, police said, tugging at his falling pants along the way.

At some time Wisham fell, the initial police report said, and three Walmart employees detained him.

Twelve hours later, Wisham was dead.

Reports from police at the time hinted at a medical mystery that had overtaken the 64-year-old man, who stopped breathing while he was being detained. Wisham never regained consciousness, despite lifesaving efforts at Walmart and the hospital, and died later that afternoon.

Two days later, the Polk County Medical Examiner’s Office performed an autopsy.

The cause of death, officials determined, was mechanical asphyxia by restraint, meaning his airwaves were suppressed during a struggle. Wisham also had 15 broken ribs.


INVESTIGATION: Female shoplifting on the rise at some Cleveland-area malls

A string of shoplifting incidents at several local malls have one thing in common — predominantly female suspects.

Strongsville police tell newsnet5.com that women have made up the majority of shoplifting arrests at the South Park Mall for several years. But the number of female arrests is on the rise.

In 2014, 66 percent of shoplifting arrests were female suspects. In 2015, 68 percent of shoplifting arrests were women. And so far this year, 71 percent all shoplifting arrests have been female suspects.

Beachwood had nine reports of shoplifting involving female suspects at Beachwood Place over the last two weeks, according to police reports.

A $5200 Chanel purse was stolen from Saks Fifth Avenue, along with clothing from H&M, jewelry from Claire’s and six different incidents at Sephora, racking up several hundred dollars worth of pocketed cosmetics.


GPS anti-theft device leads deputies to Saks shoplifting suspects

WESLEY CHAPEL, FL (WFLA) – Three woman suspected in a retail theft at the Tampa Premium Outlet Mall are in custody, each facing multiple theft charges.

Pasco County Sheriff’s Office deputies arrested Toccara Huff, Ayanna Palacio and Sharhonda Pedroso Tuesday. Deputies said the women entered Saks Fifth Avenue and ran out with $1,539.78 worth of merchandise. Investigators caught up with the woman 15 minutes later, about 8 miles away.

The arrest was recorded on a deputy’s body camera.

“You’re going to be going to jail for felony retail theft, OK, because the clothes you stole from the store had a GPS tracker on them,” the deputy says.

“I ain’t did nothing,” one of the suspects said.

Deputies used an anti-theft tracking device that was attached to merchandise from Saks Fifth Avenue.

“It was a complete surprise to them,” Sgt. Richard Jones said.

Deputies said this is the first time they’ve caught suspects using a GPS tracker. “Obviously criminals will be more creative in committing crimes, so obviously, law enforcement, loss prevention have to be just as creative in catching those criminals,” Jones said.


 

Sometimes We Simply Do Not See The Obvious

Sometimes we simply do not see the obvious even when it is right in front of us. For many years we have worked really hard to hide or disguise Checkpoint Labels. The thought being that the shoplifter will not be able to locate and possibly defeat the label. 

But new studies show that although that is still a great strategy, you should also look at the opposite.  Putting a clearly identified label in plain sight with a warning on it. 

Here is seala good example using one of the newer clear, Checkpoint Systems stock labels. The trademarked “lock” and wording has been tested extensively.


Rather than bore you with all the details of the study, I will simply tell you that it works and works well. Visible tagging can increase sales and reduce loss. The last study found:LP2

As many of you know I, Bill Bregar have been in the loss prevention field most of my career. So now putting that hat on let’s look at this from another view. We know that shoplifters are broken into three distinct groups; Impulse, Amateur and Professional.

The bulk of shoplifters you encounter are Impulse. I teach this in my shoplifting classes, which by the way I conduct live, in person or by webinar and are FREE of charge to Loss Prevention Systems customers. I always explain that Impulse shoplifters are easily deterred with employee contact. In other words if you greet the Impulse shoplifter with eye contact, a simple hello and “can I help you”, many studies show that the Impulse shoplifter will most likely NOT shoplift during that visit.

Well if we now apply the thought of a Checkpoint Systems visual deterrence label it makes sense.  Given the same circumstances where the Impulse shoplifter has not been greeted but is faced with a visual deterrence label it casts enough doubt into their minds that they do not steal. 

Well if that is the case then why doesn’t a sign like this work?LP3

Besides being funny to us I have learned that signs do very little.  Probably because of sign “pollution”. They either don’t see it or it is really not a threat. But a specific label on the merchandise they are considering  stealing, casts doubt.  They do not know what other element may be protecting that merchandise. 

Something to consider! If you would like some samples of these labels just reach out to us. We will get them in the mail to you at no charge.

PROSECUTING A SHOPLIFTER – 101

law-3How do I approach a shoplifting incident? This question is asked of me almost on a daily basis by store managers and owners. We always give advice and best practices on how to deter a shoplifter by using EAS devices, but what should you actually do if you are faced with a shoplifting incident that you personally witness? When should you call the police? When can you legally detain someone? While not every situation is the same, there are some basic best practices to follow. Here’s what I train my managers and can be a great starting point for you.

Establishing probable cause

Before you detain anyone for theft, you have to establish probable cause to do so. The best way to do that is to follow the LP industry’s “5 steps” to an apprehension. By following these steps, you always ensure that a detention is within the legal limits, which protects you and your store from any potential civil liability. Those steps are:

  1. SELECTION

You need to witness the suspect select something from your display shelf/rack or peg. This lets you know that the product is yours, and that the customer did not come into the store.

  1. DISPLAY INTENT

Displaying intent to commit a crime is a pretty big umbrella. A customer can display intent to permanently deprive you of merchandise is dozens of ways. Some of the most common are removing the item from its packaging, concealing it on their person, altering the pricing indicator, or even consuming the merchandise.

  1. MAINTAIN POSSESSION

The most common way a shoplifter will display intent is to conceal the item on their person, or maybe in a shopping bag or purse. It’s vital that they maintain possession of your product at the point in which you detain them. You can get yourself into some legal trouble if you detain someone that doesn’t possess any stolen property, so it’s imperative that you keep constant, unbroken observation on the suspect.

  1. FAILED TO PAY

This one is obvious. They have to not pay for the item. Pretty straightforward and simple.

  1. EXIT THE STORE

Once you witness that shoplifter select your property, conceal it in their pants and then walk all the way up front, past the registers and out the door, you have now established probable cause to detain that individual.

There are obviously various scenarios that can throw a monkey wrench in the gears, so it’s also very important for retailers to know and understand your state laws regarding shoplifting. These can usually be very easily found by going to your Secretary of State’s website and searching for the statutes governing theft. Even though I’m well versed in my state’s laws and have been doing this job for a very long time, I still keep printed copies of the law in my bag that I carry at all times.  I also encourage you to reach out to your local law enforcement agency for help. Most departments have a retail liaison or similar position that can help you to understand exactly when a crime is considered to have been committed and what they expect from you as the retailer when responding to calls at your store.

Lastly, I implore everyone to always prosecute to the fullest extent of the law. Don’t give one person a pass. Show that your store will not be a soft target and that you are committed to keeping prices low for your customers. By prosecuting each shoplifter, you’re also committing to keeping your store safe for your customers and your employees. There’s a theory in law enforcement called “broken windows”. It goes something like this:

You walk past a house or building with a few broken windows. The windows go unrepaired and that leads to other window breaking. Before long, the building is covered in graffiti and squatters may take up residence. Drug use inside proliferates and it attracts others with ill-intent. Fires could be set inside. This “moth to flame” action starts trickling down to other buildings and houses in the neighborhood and soon the area is a criminal hot bed.

While this is only a theory and is a matter of great debate in the world of criminology, it should get you thinking. If shoplifters know they can get away with stealing from you, they’ll come back. Eventually, they will get brazen enough to physically assault a store clerk that may intervene. If you’re not prosecuting these individuals, word gets out that your store is an easy mark. You may eventually get robbed and ultimately shut your doors because your customers refuse to shop at a store they feel is unsafe. You can stop this snowball effect by taking pro-active measures to prevent those from shoplifting as well as taking the necessary action to hold those accountable to the law that do take from your store.


STEP NINE

shoplifting5It’s a normal day at the office. I’m working on a few cases and an email comes across from a manager at one of my stores. There’s not much to it; just says “John” called the store looking for you, here’s his number. Curious to who John is, I immediately give him a call. In my mind I’m thinking it could be a detective, or an Assistant District Attorney maybe.

Two rings and John answers with a very chipper, “Hello!” I tell him who I am and that I am returning his phone call. John was very vague. He said he wanted to tell me something, but really wanted to do this face to face. I had no earthly idea who this guy was and asked if we had ever met. He said no and after a bit of coercing, John tells me that it involves shoplifting and that he really wants to speak with me in person. I agree to have him come to the store the next day.

Not knowing what I may encounter, I asked a Sheriff’s Deputy friend of mine to be in the store, just in case. Turns out I didn’t need him, though. I finally met John the next afternoon. He gave me a hearty handshake, looked me directly in the eyes and thanked me for meeting with him. What happened over the next 40 minutes is something I’ll never forget in my entire life.

John is in his mid-thirties. On the outside, he’s an unassuming guy. Clean cut, well dressed and well spoken. Once the door was closed, he took a deep breath and told me that he was a recovering heroin addict and that he had stolen from my store in the past. See, John has been clean for 19 months and part of his treatment is to make amends for the wrongs he’s done.

I was interested in John’s story and how he cleaned himself up. As with any addict, he had to hit rock bottom. The final straw was living in a trailer, with no plumbing with 15 other addicts. John told me that using the restroom consisted of sharing a bucket. One evening he passed out after shooting up and woke up with both hands in that bucket. That was it for him. He went home and asked for help. 19 months later, he is clean, working and starting to support himself again. Those of you that have experienced what heroin can do to a person should realize just how much of an accomplishment this is. Most people don’t or can’t get clean.

Heroin is an epidemic that is destroying our neighborhoods. It is prevalence and ease of access is making a prolific comeback across the country. A good majority of addicts turn to shoplifting to help fuel their addiction. John was of those.

John told me that it started by making returns for other users of stolen goods. They’d get a gift card and run it to a pawn shop for quick cash. As time went on, John worked up the courage to steal. The very first thing he took from my store was a pair of shoes. “Stealing itself is an addiction as bad as the heroin” he recalled. From there he moved on to clothing and other high dollar items. He even would take orders for other dealers. He could trade items or gift cards for the heroin. This went on for months. He was never caught.

He reached into his top pocket and pulled out a folded piece of paper. He handed it to me and it was a list of everything that he could remember taking from the store, along with its approximate value; Nearly $8,000.  John again looked me in the eye and said, “I’m going to pay you back every penny that I took from you.”

Speechless I stared blankly for a second. Never in my career have I been faced with something that has truly touched me in such a way. I felt inspired by his story. If this guy can get his life together and make things right, then any little problem I was having that week just seemed so insignificant. I had to stress that he was under no legal obligation to pay us, but he insisted. The feeling of a weight being lifted off of your chest was how he described finally coming into the store and having this conversation. For him, this put him one step closer to completing his treatment, and ultimately getting his life completely back. While I don’t often have a soft spot for shoplifters, John, for me is something more than that. He’s a person and he’s helped me understand how I can be more effective in protecting my company from loss while also understanding that the people that I come into contact with all have their own set of demons.


LP Personnel And Safety

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The billions of dollars the retail industry loses every year due to shoplifting and employee theft have not decreased, but rather will likely continue to increase every year.  Deaths due to shoplifting are not rare anymore.  News about managers and employees getting shot while trying to stop a shoplifter is commonplace now.  Training your LP staff to follow strict regulations when approaching a shoplifter should be a top priority for your business.

Read more about this topic by following the links below.


To stop a thief: Shoplifting is a daily battle for retailers

 

On any given day, more than $35 million worth of merchandise is stolen from retail stores across the country by shoplifters – amateurs and professionals alike – who steal clothing, jewelry, electronics and a host of other items, including food.

Some sneak quickly and quietly with the merchandise, others make bold getaway attempts.

In Tupelo, the retail and financial hub of Northeast Mississippi, the Tupelo Police Department gets hundreds of reports each year.

In 2014, TPD took 483 reports related to shoplifting, according to TPD Public Information Officer Chuck McDougald. Last year, that number fell to 260. So far this year, the department has taken 162 calls.

“Higher shopping volume days correspond to more shoplifting calls,” he said. “Those include weekends and holidays.”

As for the timing of when shoplifters are busiest, apparently they’re not early risers.


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.

“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.”


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.

“Loss prevention professionals continue to do an exceptional job at locating the issues and finding solutions to prevent additional loss in their retail stores,” said Dr. Richard Hollinger, University of Florida criminology professor and lead author of the NRSS. “It is important for retailers to continue building relationships with law enforcement and leverage new technologies that can further provide protection to their assets, customers and employees.”


 

Local Police and Their Communities

shopliftingdollarsignThe amount of calls reported by Walmart stores to the local police are staggering.  According to the Tampa Bay Times,  Walmart stores in Tampa report an outstanding 16,800 calls in only one year and  in  only 4 counties.  That’s 2 calls per hour, every hour, 24 hours a day.  That’s your taxes working for Walmart.  While the lack of police surveillance of other neighborhoods can affect those communities, Walmart monopolization of the police force should be analyze, and stopped for good.

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


Retail Loss Prevention and Law Enforcement – Can They Work Together?

Law enforcement and LP should work together on retail theft prevention.

For years, there have been those that have questioned whether retail loss prevention and law enforcement can effectively work in partnership with one another. For example retail loss prevention professionals have often felt frustrated that law enforcement wasn’t concerned about helping them with their business. In reality, detectives may have been focusing on other pressing crimes, such as a rash of burglaries, sexual assaults, or other crimes against people.

Consider the aftermath of a “grab and run” incident. From a law enforcement perspective, the number of people who had access to a particular area when a loss occurs may be very high, with little or no available means to identify who the perpetrators might be. Some believe that law enforcement has the ability to further clarify and zoom in on video already recorded to extract a better image.


Walmart

Thousands of police calls.

You paid the bill.

Police come to shoo away panhandlers, referee parking disputes and check on foul-mouthed teenagers.

They are called to arrest the man who drinks a 98-cent iced tea without paying and capture the customer who joyrides on a motorized shopping cart.

The calls eat up hours of officers’ time. They all start at one place:

Walmart.

Law enforcement logged nearly 16,800 calls in one year to Walmarts in Pinellas, Hillsborough, Pasco and Hernando counties, according to a Tampa Bay Timesanalysis. That’s two calls an hour, every hour, every day.

Local Walmarts, on average, generated four times as many calls as nearby Targets, the Times found. Many individual supercenters attracted more calls than the much larger WestShore Plaza mall.

When it comes to calling the cops, Walmart is such an outlier compared with its competitors that experts criticized the corporate giant for shifting too much of its security burden onto taxpayers. Several local law enforcement officers also emphasized that all the hours spent at Walmart cut into how often they can patrol other neighborhoods and prevent other crimes.


N.C. law enforcement, retailers to combat organized retail crime.

CORCA is aimed at bringing together local law enforcement agencies and the N.C. Retail Merchants Association to better communication retail theft that is more complex than shoplifting.

At Thursday’s press conference, the alliance leaders stressed the difference between organized retail crime and shoplifting. Organized retail crime usually involves complex schemes and is organized to convert illegally obtained merchandise or cash into financial gain by theft or fraud.

“These are criminals,” Steve Walker, the asset protection director at Walgreens, said. “They are not shoplifters.”

Raleigh Police Department Detective Scott Womack added that often these thefts are connected to drug abuse, street crime and even terrorism.


 

Motivated Employees are Vigilant Employees

meetingpic.If you’re in retail management, and if you’ve been paying attention, you know your employees are the first line of defense against both internal and external fraud.  Employees who are satisfied with their jobs are much more likely to care about co-worker and customer theft.  They’re more vigilant and report it more often than those who are unhappy with their jobs.

And yet, most managers don’t know how to motivate others.  They don’t understand that effective motivation skills need to be learned and practiced, just like other valuable management skills.  Supervisors who are interested in creating a productive work environment will learn the helpful techniques.

There’s no “one size fits all” magic process – below are 5 of the most common ways people are motivated.  Employees can be motivated by a combination of these approaches; none of them are better or worse than the others, they’re just different.  Everyone has a preferred way of being motivated and they respond more positively to their way. 

Words – People motivated by language need to hear or read words of affirmation.  Link the words of appreciation to a specific task – “Thank you for being so attentive to that customer” or “I appreciate the creativity you put into that display”.

Time – The opportunity to spend time with and talk to management, one on one or in a small group, is important to these types of employees.  They need a meaningful way (quality time) to interact and feel listened to.

Deeds – These are people who are motivated by actions showing appreciation or interest: actual pats on the back, getting them a cup of coffee, letting them leave early on a bad weather day, point out their favorite donut is in the box, etc.  Be careful about this one, at all times be professional.

Need for Community Employees who have a need for community want to be part of the group.  They organize the softball game, Secret Santa and birthday parties.  They’re motivated by being part of a team and respond to activities that support teamwork.

Monetary Rewards – Contrary to popular thought this is one of the weakest motivational tools; most people are motivated by non-monetary methods.  Employees who are motivated in this manner respond to raises, sales contests, gifts tied to quotas, bonuses for performance, etc.

It’s important to note that some workers will reject positive management intervention, but they’re the minority.  Most employees will respond to one or more of these techniques.  Mangers that put time and effort into developing motivational skills will make their jobs, and personal relationships, easier and more rewarding.


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. 

What Shoplifting Costs The Taxpayer

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The financial damage shoplifting does to the retail industry is measured in billions of dollars every year.  For the tax payer, the financial burden that they have to endure due to the constant calls made by retailers to the police due to shoplifting is equally damaging.  Walmart is one of the retailers with the most call to the police due to shoplifting incidents, and it is unlikely things will get any better. 

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


Macy’s barred from detaining, fining New York shoplifting suspects

An injunction was granted this week barring Macy’s stores in New York from detaining and fining suspected shoplifters in response to a class action lawsuit, according to court records from the Supreme Court of the State of New York.

The lawsuit filed by Cinthia Orellana and later joined by Samya Moftah claims the loss prevention units in some Macy’s stores in New York operate “like a typical jail, equipped with holding cells.”

The women claim they were detained, coerced into signing confessions and forced to pay to be released, all before law enforcement involvement, according to court documents.

Officials for Macy’s, headquartered in Cincinnati, have told multiple media outlets that its loss prevention practices have changed since the women’s alleged incidents.

Judge Manuel Mendez stated that New York law allows a business to detain suspected shoplifters for the purposes of investigation and questioning and allows businesses to fine shoplifters five times of the cost of the merchandise up to $500.

However, Mendez suggested Macy’s was pairing the laws unfairly.


Cop Quietly Pays For Family’s Essentials After Shoplifting Bust

A kindhearted cop in Redmond, Washington, came to the rescue of a family after the mother and father were allegedly caught trying to shoplift essential items for their children.

The Redmond Police Department officer stepped in after managers at a Target store decided not to press charges against the couple, reports local station KING.

He quietly took the diapers and clothing, which the parents were accused of trying to steal for their two kids, aged 8 years and 4 months, back to the checkout.

After paying for the items from his own pocket, he handed them back to the family and informed them where they could go to obtain more help.

News of his act of kindness emerged after an eagle-eyed police supervisor spotted the details in a shoplifting report. The department posted an excerpt from the account on Twitter.

Sometimes our officers don’t tell us everything,” the post stated. “An attentive supervisor spied this in a recent shoplifting report.” It is now going viral.


Crimes at Jacksonville’s big box stores last year cost taxpayers $75K

Most calls at Walmart deal with shoplifting.

ACKSONVILLE, Fla. – Police officers in Jacksonville spent 3,533 hours — the equivalent of 147 days – responding to petty crimes at Walmart stores in Jacksonville last year, I-TEAM research found.

Officers spent another 667 hours working shoplifting and other minor calls at Target stores in the city.

An analysis of data from the Jacksonville Sheriff’s Office found 5,298 police calls to the 15 Walmart stores in Jacksonville in 2015 – five times the number of calls to the eight Target stores in the city.

The Walmart on Normandy Boulevard had the most calls: 864. Shoplifting made up half of those calls, followed by thefts, then disputes.

The Walmart store at 103rd Street came in second and had 668 police calls for service last year, with the a similar breakdown of offenses.


 

You Are Losing More Money Than You Realize

moneyYep, you probably are! The shoplifter that walked out the door with your $45 item cost you MORE actual money than $45!

Many Retailers do not understand the actual impact of theft. For example:

You experience a $45 loss (shoplifting, employee theft, vendor fraud…). Is that $45 the total impact on the bottom line? Nope, you actually lost $2,250.00 in real money.

For your organization to simply recover or break even on a $45 loss, you would have to sell an additional $2,250.00 to break even!  ($45.00 divided by .02% profit margin). This is on top of your normal sales.      

WOW, how many more items are you going to have to order, receive, count, mark, prepare paperwork for, stock, and finally sell just to produce these extra sales? Theft/Shrinkage really cannot be recovered from because you should have had those sales to begin with.

Add to that the loss of sales because the stolen item was not available for sale to a legitimate customer.

You then begin to understand why one third of U.S. business failures are blamed on theft.

The obvious solution is to prevent the theft (we can help with that), errors and abuse that cause loss in the first place.                                       

Loss vs. Salesshopliftingdollarsign

So if we assume for a moment that your company has a 2% bottom line net profit margin. Two percent is considered an overall retail normal margin. Yours may be higher/lower. The net profit is your final profit after all expenses such as payroll, payment to vendors, rent, taxes, utilities….

The chart below shows the sales required to replace losses due to theft:             

                                            

AMOUNT OF LOSS 2% PROFIT MARGIN SALES    

           NEEDED TO REPLACE LOSSES    

   $100 $      5,000    

   $500 $    25,000

   $ 2,500           $  125,000           

   $ 5,000                   $  250,000           

   $ 7,500           $  375,000           

   $10,000          $  500,000           

   $12,500           $  625,000           

   $15,000           $  750,000           

   $17,500           $  875,000           

   $20,000           $1,000,000           

   

Inventory shrinkage cancels millions of dollars in sales.  That means all of your hard work for an entire year can be wiped out by a single loss.  Loss Prevention Systems can fix your shoplifting problems! 


             

HOW SHOPLIFTERS CAN DECREASE THE VALUE OF YOUR BRAND

theft (11)I’m sure you’ve already read how shoplifters cost you money. It’s probably hard to digest the dire financial implications that shoplifters have on all of our businesses. Without adequate controls in place, you are putting your business and your financial well-being at risk, and honestly, you just can’t do that. That’s why we have to have a camera system and why EAS systems are a necessity and not just a “nice to have” technology. That’s exactly why we have to invest in exception reporting tools to help us identify criminal activity and why we preach the value of exceptional customer service in our stores.

Value. Your customers shop with you because you provide them with value. They could shop at 12 other stores and some of them might even be more competitively priced than you, but there’s something that draws them into your store. That’s the value of your brand. Retailers have a following just like any band, performer or Hollywood movie start. Believe it or not, you have fans, some of which will refuse to shop anywhere else. Ever stop to think what it is about your store that causes this? There could be several reasons, really. In my personal experience (I have a few stores that I exclusively shop at for different needs). All have a few things in common.

In stock position is number one on my list. If I am going shopping, I normally know exactly what I want. I don’t spend a lot of time browsing and normally don’t need a whole lot of help from a store employee. I simply expect that the item I want be available for me to grab and go. Having available inventory for your customer is key component to your success.

If you’re constantly targeted by shoplifters and dishonest employees, those in demand items may not always be available for your legitimate customers. How many times have you walked a customer out the door because you didn’t have the thing they were looking for, even though you do stock that particular item? More times than you care to admit, I’m sure. So not only did you lose the item to theft, you’ve lost the sale to the customer as well. If that happens enough times to enough customers, you’ll be known as the retailer that “never has what I need in stock”.

Customer engagement is another factor I consider. I don’t often ask for help, but when I do. I expect an employee to be readily accessible, close by, knowledgeable and friendly. I also want to know that the employee is aware that I am in their area and available to help should I need it. This makes me feel that my business is wanted and appreciated.

Shoplifters will target stores that they know they can operate in with impunity. Those are the stores where employees ignore customers (you know the stores I’m talking about here). If a thief knows you are not paying attention, they will rob you blind and then come back for seconds. Customer service is one of the best methods to deter a criminal.

As a retailer, you have to offer value to your customers. You definitely can’t do that if your employees don’t engage your shopper, you don’t have the item in stock and your prices are out in left field compared with your competitor. Setting yourself apart from the competition is what drives business into your store and will keep you in business. As retailers and small business owners, remember that your brand carries value. Whether it’s a positive or negative value rest solely on your shoulders and has a direct effect on how your approach shrink and external theft.