HOLIDAY SAFETY TIPS FOR YOU CUSTOMERS AND YOUR EMPLOYEES

December 11, 2015 by Leave a Comment

theft (12)It seems like the months of November and December are just ripe for criminal activity in our stores. These are the months that we see a spike in not only internal and external, but other, more serious crimes like burglary, armed robberies, car theft, and purse snatchings. Over the last decade, I’ve put together some holiday safety tips for my stores and I’d like to also share them with you.

One of the most common crimes that occur in our parking lots during the holiday season are vehicle burglaries. Busy shoppers are running from store to store and packing their cars full of goodies. Valuables left in plain sight attract criminals like a moth to a flame. What’s worse is that with all the hustle and bustle, often times, shoppers inadvertently leave their car doors unlocked. This one is simple to solve. First, leave all valuables and gifts in your trunk, out of sight. Second, LOCK your doors. I once partnered with local law enforcement in a store I had significant issues in and printed up some small reminders. We gave these out to every customer during checkout all season long. The customer’s appreciated the tips and we saw a reduction in parking lot incidents.

Another common theft for criminals this time of year is stealing from your customers while they shop. A busy mom sets her purse, or cell phone on the top of her buggy. In a split-second, she turns around to wrangle the kids, or to grab a hot deal. When she turns back, her purse or phone is gone. I’ve seen this happen so many times, and each time it could simply be prevented. Don’t leave your personal belongings out of sight, ever. I make it a point when I’m walking my stores, or even when I’m out shopping, to educate people on how to best protect their belongings. The last thing someone needs is to have their purse full of their hard earned money stolen right before Christmas.

We can talk about customer safety all day long, but what about your teams? We all have an obligation to keep them safe as well. Our early morning and closing teams are usually the most vulnerable. Remember that there is safety in numbers. When closing, it’s best that the entire team leave at once, with the manager, as opposed to allowing them to leave individually. This will help reduce the risk of personal crimes late at night, in addition to an after-hours robbery. The same should go with your opening team. Once the manager arrives, all employees should then get out of their vehicles, instead of waiting outside the doors. Closing and opening managers should also make it a point to drive around the perimeter of the store to look for signs of forced entry and any suspicious persons and/or activity.

Armed robbery. I dread this time of year because for my stores, every robbery we’ve ever had occurred during this time of the year. We’ve had a handful of robberies during business hours and about the same number after-hours. While it’s very hard to prevent a robbery, there are a few steps you can train your team to do in order to get out alive and unharmed. Thankfully, we’ve never had an injury as our teams followed the steps below each time. I’ll close out my holiday safety tips with these quick tips on how to stay safe during a robbery.

  1. Stay calm.
  2. Comply with all demands
  3. Give them whatever they want, as quickly as possible
  4. Get them out of the store as quickly as possible
  5. Do not call the police with the gunman still in the store. If police arrive quickly, there could be a shoot-out, or a potential hostage situation
  6. Try to remember as much descriptive information as possible (hair color, race, eye color, tattoos)
  7. Do not touch anything after a robbery. You don’t want to contaminate the crime scene, as police may be able to obtain DNA or fingerprints from the safe, doors, or countertops                                    
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How to Find a Good Security Consultant

December 11, 2015 by Leave a Comment

meetingpic.In today’s business climate it’s impossible for an owner or manager to have all the knowledge and experience needed to run a successful company.  There’s too much new and changing information (i.e., technology, taxes, healthcare, government regulations, legal liability) for any one person to keep up, let alone have a working understanding.

That’s why even very small businesses are using temporary specialists more often than ever before.  Outside experts fill the many gaps which any business has: lawyer, marketer, accountant, consultant, business analyst or web designer.  Increasingly, one of the requirements for many companies is security consulting.

The growing need for risk assessments and security measures is an area of concern most companies have never had to face.  It’s an area which requires expertise beyond what the average manager or owner can be expected to have.  It just makes sense to outsource it. 

But, how do you find a good security consultant?  As any good security consultant will tell you — due diligence is the key.  To get you started here are a few tasks to do and questions to answer for each candidate.

* Interview more than 1 person, 3 is usually enough to find the right one.

* Do they welcome or hinder your due diligence?  A viable candidate will endorse your actions.   

* Check their references and credentials.  Also, depending on the project you have in mind, consider doing a background check.

* Evaluate and validate their work experience.  Do they have the expertise they claim to have?  There are many types of security issues.  Does their knowledge fit your problems? 

* Are they listening to you and your people?  Are they offering solutions before they understand the problems?  Are they trying to up-sell you?

* Do they demonstrate responsibility by following up when they say they will (i.e., bids, phone calls, appointments, texts, emails)?  If they’re not responsible when they’re trying to sell you, it usually gets worse during the project.

* Is there a contract?  There should be one that’s clear and easy to understand.

Security issues — workplace violence, cyber attacks and breaches, employee theft, shoplifting — are continuing to grow.  It’s time to think about how they affect your business and take steps to address them.  These are concerns that aren’t going to go away. 

Nicole Abbott is a professional writer who’s had over 100 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. 

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Using Technology To Prevent Shoplifting

December 1, 2015 by Leave a Comment

LPSI EVOLVE-Store Mobile AppThe busiest shopping season has begun. Along the many customers you expect this holiday season, you can expect the shoplifters as well.  Taking advantage of the many customers entering a store, the shoplifter sees this season as an opportunity to walk into a store and leaving with hundreds of dollars worth of merchandise without paying, and sometimes without getting stopped by security.  It is difficult for a loss prevention officer to keep track of all the customers entering and leaving the store, that’s why the technology you use to protect your store from shoplifters is as important as hiring loss prevention officers in the first place.  To read more about this and other topics follow the links below.

Using facial recognition to prevent shoplifting, workplace violence

Some retail stores in Kirkwood, Missouri are using facial recognition software supplied by Blue Line Technology to prevent shoplifting, according to a report by Fox2Now.

“If we recognize them as a suspicious character, we follow them around and we sort of hound them out of the store,” said Christopher Thau, the owner of a store called Christopher’s. “I hate to put it that way but that’s what we do.”

Since shoplifters often move from one store to the next, many store owners and managers help each other by distributing pictures of potential suspects.

Blue Line Technology provides facial recognition software to help police and businesses track potential threats of shoplifting.

The First Line Facial Recognition system alerts store managers regarding the presence of known shoplifters, providing advance warning for protection against shoplifting and fraud in checks and credit cards.

Blenheim businesses prepare for the shoplifting season

The festive season boom sees a surge shoplifters, shopkeepers and police say.

Shopkeepers and police are preparing for an expected surge in shoplifting during the busy festive season.

Farmers Blenheim store manager Karen Stevenson said the months of November and December were the worst time of the year for theft in department stores.

“Christmas is a bad time for it … It’s a huge problem in Blenheim.”

Police had received 23 reports of shoplifting in Marlborough since August 20.

Blenheim community constable Russ Smith said an increase in shoplifting was expected ahead of the holidays.

“Part of the reason is that stores are advertising flat out and have more stock. They’re a lot busier, the store staff are busier, and shoplifters take advantage of those factors.”

Police would patrol the Blenheim shopping district closer to Christmas in an attempt to deter shoplifters.

“That’s only part of what we do preventatively, and it’s as much to make sure people are behaving in the late nights,” Smith said.

Postie Plus Blenheim ex-employee Barbara Drummond said the size of department stores made it extremely difficult to keep an eye on customers, especially during busy times like the festive season.

Firm that teaches ‘life skills’ to suspected shoplifters extorts them, suit alleges

Debra Black insists she is “not a thief.”

She says she rolled her electric wheelchair out of the Goodwill Industries store in Tustin after inadvertently neglecting to pay for a few items. The pack of purple napkins, headband and small purse came to $6.97.

But once a security guard stopped her that day in March 2013, things got heated. Black, 64, said she was frightened into signing a confession and agreeing to complete a six-hour “life skills” course and pay a Utah company $500.

When Black did not pay, she received multiple calls and letters from Corrective Education Co., including this final warning: “Contact us immediately to prevent the filing of a criminal complaint.”

Black unsuccessfully sued the firm, which refers to itself as CEC, along with Monument Security Inc., contending they were debt collectors that had violated laws governing that industry.

On Monday, the San Francisco city attorney weighed in, filing a new lawsuit that alleges CEC’s practices violate the California business and professions code and amount to extortion and false imprisonment.

The suit seeks civil penalties as well as restitution for every Californian who has paid into the program. About 20,000 accused shoplifters are believed to have participated nationwide.

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Should You Apprehend The Shoplifter?

November 24, 2015 by Leave a Comment

shoplifting2According to the statistics by the National Association for Shoplifting prevention the habitual shoplifter steals 1.6 times a week. And although that is an alarming amount, the fact is that theft by employees surpasses theft by the outside shoplifter.  The amount they steal is alarmingly higher compared to what the outside shoplifter takes from the store. So how do you prepare your business to mitigate the loses it will suffer from employees and shoplifters alike? Is having up to date inventory data readily available one of the solutions? Is prosecuting the employee no matter the amount the way to go?  For more about this and other stories follow the links below.

To Stop Or Not to Stop the Shoplifter: Is This Still a Question?

A male shoplifting suspect has been coming into store 153 three times a week for as long as anybody can remember. Store management has even attributed this guy as a major cause of the store’s shrink woes that have put them on the corporation’s “target store” list for the last two inventory cycles. As the store’s loss prevention agent, you have tried to stop him in the past, but it seems like you have always been just one step behind him and unable to make the shoplifter apprehension.

“Today is going to be different,” you say to yourself.

You can feel it. Today he is finally going to get what’s coming to him, and, more importantly, your apprehension dry spell is going to end. No more excuses needed for the boss. Today you are going to be stopping the shoplifter that nobody else has been able to get.

You have spent the last ten minutes following the suspect through the store, tracking him carefully from the moment he entered. You know and understand the steps of the apprehension process. You have observed him approach, select, and conceal multiple computer accessories that you estimate to be worth over $200.

Seven things retail can teach us all about data security

TalkTalk’s Dido Harding isn’t the first CEO to receive advice from cyber experts safely installed on the This Morning sofa and she won’t be the last. The boardrooms of British Gas, Vodafone and Morrisons have all recently played data-breach bingo and we all now accept it’s ‘when’ not ‘if’.

But retailers have been dealing with theft for a very long time. They call it ‘shrinkage’ – when stock leaves a store by any non-legitimate route and surprisingly, shoplifting comes a distant second to theft by staff. Since retailers need staff they’ve had to concentrate on mitigation rather than eradication.

The information security community would do well to take heed here. The biggest tool most companies have against the insider threat – data theft by staff – is a strongly worded statement. Even then, access to information is so poor that management can’t deliver on any threats. Too much attention still goes on preventing the external attack – the shoplifter.

RETAIL SECURITY

Retail security is a term with two very different and distinct meanings in the retail environment. In one aspect, retail security is an outdated and understated term for a critical sales support function. In the early years of the profession, most companies called this aspect of the workforce the “Security” or “Protection” department. Security teams served as a real and visible force to combat losses in the stores. Uniformed guards would stand at the doors or walk the selling floors. Undercover security agents were eventually brought on to catch shoplifters. Security managers coordinated these efforts, and also handled internal theft issues. Programs typically assumed a reactive and one-dimensional approach; responding to issues as they occurred and working to keep the stores safe and secure. Unfortunately, while this reactionary approach was often expected and requested by retail leadership, it was not conducive to true retail success.

Over the years, responsibilities continued to increase, and these departments were looked at in a different way. It became increasingly apparent that in order to benefit the overall organization the industry would have to evolve, embracing the concepts of retail shrink reduction and incorporating concepts critical to the retail culture.

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Shoplifting Prevention and Your Inventory

November 18, 2015 by Leave a Comment

theft (11)Keeping track of your inventory this holiday season is not an easy task.  The time and work that this task takes is not easy for many managers to keep up with, nor something they relished doing.  But maintaining an accurate inventory is not only good to keep up with customers likes and dislikes, but to keep a closer eye if shoplifting is happening in your store.

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

Business Security: 10 Tips to Prevent Shoplifting

In 2010, shoplifting accounted for 31% of retail inventory loss, according to a University of Florida retail security survey. This loss cost retailers about $10.94 billion during that year, according to a Washington Post article about the survey. 

Items most commonly stolen include clothing, books, music, jewelry, watches, tires and car parts. “Everyone thinks about little Johnny stealing a pack of bubble gum, but there are also professional gangs that target stores and steal billions of dollars every year,” says Joseph LaRocca, an adviser for the National Retail Federation, in the article.

While security cameras can help identify suspects after a theft occurs, there’s plenty a retailer can do to prevent shoplifting from happening in the first place, according to the North Carolina Governor’s Crime Commission and the Specialty Retail Report.

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

5 Quick and Low-Tech Tips To Prevent Shoplifting in Your Retail Store

As a small business retailer, it’s not always easy to just throw money at problems like shoplifting and take advantage of all the technology that big box retailers may be privy to. Whether it’s cameras, door scanners, or facial-recognition software, sometimes their big-ticket cost just doesn’t fit with your small business security budget.

But when you recognize facts like shoplifting costing retailers upwards of $13 billion each year, it’s important to identify it as a problem that needs to be dealt with.

So, what’s a boutique owner to do? In this post, I’ll be looking at cost-effective and low-tech tactics that you can start implementing right away.

Let’s dive in.

1. Keep Your Store Organized and Products Well-Placed

How easy should it be to identify whether something has gone “missing” from your store? Empty space on your shelves should be enough of a visual cue to signal something has gone wrong.

However, if your store is messy, disorganized, or a maze to get through, it can be harder to notice that you’ve been “gotten” until it’s too late.

Security expert and founder of Crime Doctor, Chris McGoey recommends the following: “You want to keep all your merchandise “faced,” which means pulling your products to the edge of the shelf to create a solid wall of product. If someone sweeps the shelf, then it is easy to tell.”

Impact of retail theft: Costs customers, hurts business fuels drug trade

Shoplifting is a crime that happens often, but many people don’t often stop to think about its impact. The retailer suffers, shoppers pay more and police resources are expended.

Walmart is one of many stores that are frequently targeted by shoplifters.

By Zach Glenn
[email protected]

Posted Nov. 14, 2015 at 8:15 AM

Shoplifting is a crime that happens often, but many people don’t often stop to think about its impact. The retailer suffers, shoppers pay more and police resources are expended.

“From the law enforcement side (retail theft) can take up a lot of resources when it comes to investigations which can be problematic when there are other emergencies coming in and other cases that need worked on,” said Pennsylvania State Police spokesman Robert Hicks. “From a societal point, we all know when businesses lose money from theft that their prices increase which impacts all of us as consumers.”

Police calls

Last year, Walmart reported that around 1 percent of its total profits had been lost to shoplifting — for a total of $3 billion. Greg Foran, head of U.S. Walmart operations, said in a statement earlier this year that without theft, prices could be lower.

Other stores targeted by shoplifters sell items that are easy to resell, such as scrap metal from home improvement stores like Lowe’s or Home Depot and movies, music and video games from electronics stores like Best Buy.

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Employee Theft Can Create Managerial Burnout

November 16, 2015 by Leave a Comment

meetingpic.It’s no secret that employee theft in retail stores continues to rise.  The amount of lost revenue is in the billions.  There are many articles, memos, reports and studies about its affect on the bottom line.  But, equally important, and less talked about, is the cost of employee theft on their managers.

Many managers say that “being betrayed” by employees who steal is “the last straw”.  This last straw is the one that puts them “over the edge”, which creates burnout.  Some of the symptoms of burnout are apathy, anger and unhappiness.  Unfortunately, if a supervisor doesn’t recognize and deal with these symptoms a cycle starts. 

She starts to resent the employees and dislike her job.  The resentment spreads to upper management, customers, vendors and peers.  Everyone reacts to her resentment with their own anger.  Inevitably, the resentment causes bad behavior or acting out, which leads to an unending process of more hurt feelings and acting out.

The store becomes one of those stores – we’ve all been in them – where everyone has a bad attitude.  By the time they’re that toxic it becomes difficult, if not impossible, to sort out whose “fault” the problems are, because both management and employees are responsible. 

This cycle usually starts with supervisors who expect and want their employees to have personal relationships with them.  They see the workplace as a social situation and the employees as friends.  They want everyone to be “one big happy family”.  When, not if, an employee is caught stealing he’s seen as a disloyal, unfaithful friend. 

The manager’s resulting feeling of betrayal is a personal response, rather than a professional one.  Personal response – How could he do that to me, after all I did for him?  I treated him like a friend/family member.  Professional response – This is disappointing.  But, it just goes to show that you can never tell.

Employee theft will continue to be a major problem in retail.  A smart, emotionally balanced manager will not take it personally, nor let it create a cycle of burnout.  Establishing and keeping a boundary between work and home is a part of good mental health. 

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

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Do you have a Business “Go Kit”?

November 11, 2015 by Leave a Comment

shopliftingMany folks have go kits set up so that in the event of a storm, natural disaster or civil disturbance, they can grab their family and the Go Kit and be covered. Personal Go Kits tend to have copies of documents such as drivers licenses, birth certificates, passports, deeds…. But Go Kits can also include items to survive such as water, food, medicines, flashlights, a weapon…. These concepts used to be confined to those among us that are expecting a doom’s day interruption or ending to our society.

However, with the complexity of our society come other issues. How would you easily prove that a house belongs to you, if the area was damaged beyond recognition? Say a hurricane, flood, wild fire or earthquake? What happens if the official records are also lost? Are you going to depend on others to put your life back together again?

The same applies to your business. How will you prove to your insurance company that your inventory is valued at $XXXX if your records all disappear in a fire? The same applies to payroll records and the like. You need to have a BUSINESS Go Kit!

Thankfully this is simpler than you may think. Consider keeping your data files in a cloud environment that has multiple backups on servers that are located in multiple locations around the US. If they are on one server located in New Orleans or Miami, I would re-think that strategy. We use Google’s cloud. It costs us $5/month per employee and the redundant backups are on five separate servers in five different geographical locations in the United States.

Scan in important documents such as business licenses, insurance documents, titles, vendor documents, etc. Put them in your cloud. That way you have access wherever you are. It might be a good idea to put photos of your business, inventory, equipment and more on there, every six months or annually. Have your backups of accounting data such as Quick Books reside their also. All of this plus payroll records, taxes and more could be rebuilt but why would you want to take the time to do this when it is simply a matter of changing your habits?

Oh but “it will never happen to me” or “I will get to that tomorrow” are favorite phrases we all like to use to put something off that we know should be done. It will happen to you and it will happen “tomorrow”. An earthquake may never threaten your business but then again a data loss, PC crash probably will.

Unless you are wealthy beyond belief, then like the rest of us that are not, we depend on our business to provide for our families and life style. We will need to restore that cash flow in the quickest manner possible and with the least amount of effort to get there. Your business Go Kit will help make that happen.

It is also a good idea to keep a few extra cases of water, blankets, candles and canned soup on hand. I may be miserable but being warm, having a full stomach and a little light to read by will make it a little less miserable.

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COPYING EMPLOYEE THEFT

November 11, 2015 by Leave a Comment

shoplifting1Quite often, I like to showcase a new theft trend, or perhaps a funnier shoplifter story for a bit of humor. This month is no different. We’ve talked about some pretty serious issues on the past two articles and now I just want to share a story that goes along with that employee theft piece. It’s something I bet each and every one of you will react to immediately after reading.

At one point last year, our company finally gave us (Regional LP Managers) access to our store’s P&L statements. You would think we would have already had this… Better late than never I suppose. It’s a great tool for me to see the overall profitability of the store. I can use my expertise to help the store reduces losses/expenses and to become a more profitable business. One store in particular stuck out. They were over their office supply budget by thousands of dollars. Odd.

Most stores spent between $500-$1000 a month on office supplies like toner, paper, pens and pencils. This particular store was spending triple that; at least $3k each month. I met with the store manager during a visit and asked about that line item. He was just as perplexed. Where were these office supplies going each and every month? We devised a plan. We initiated a “buy back” program for all employees. We put up signs in the offices and common areas asking all employees to clear their lockers, cars and homes of any supplies they may have taken home. It happens, no big deal. When the employees returned the items, we weighed them on a digital scale. The employee with the heaviest return received a gift card. Well, it worked. We had pens and pencils for the next two years. Next month, the store still spent $2k in supplies.

Baffled, I reached out to our accounting department. Surely, there had to be an error somewhere. Perhaps a line item was being mixed in where it shouldn’t be. It took a few days, but I convinced one of the accountants to give me an itemized breakdown of all office supplies the store had ordered over the past year. Toner. The store was ordering toner. Lots and lots of toner.

I questioned the managers and personally searched the store. Over the past six months, the store had ordered nearly 25 replacement toner cartridges. Couldn’t find them, and couldn’t explain why the store was ordering so many. I decided to ask the administrative assistant. A kind of last ditch effort to explain why the store kept ordering copy toner. 15 minutes into my conversation and I had a theft confession.

Toner, apparently, will resell very easily online, especially if you mark it down about 50%. The administrative assistant was ordering toner, then simply walking out the front door with it. She’d post it on eBay and was making a pretty healthy profit from it. It was a first for our LP department. No one else had ever, in my company’s history, uncovered this form of theft. It was a bit unusual, but still cost us well over $12k. My advice to you; look over your office supply orders.

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EMPLOYEE THEFT IN THE 4TH QUARTER

November 11, 2015 by Leave a Comment

theft (2)It always seems that as we get into the 4th quarter, cases of internal theft seem to rise. Every year for the past 8, I’ve dreaded the case load that I know will be coming in the next three months. While it is impossible for me to predict, with any certainty, internal theft cases at any point in the year, I can always guarantee that each one of my 29 stores will have at least one case in the next three months. Good thing I’ve got my bags packed.

I would almost bet that I’m not alone here. Those of you reading this right now have experienced the same thing. Yeah, sure, we see employee theft cases all year long, but why do they seem to increase during the end of the year? Are more people just desperate to satisfy those wish-lists? Is it driven by greed for the season’s hot new electronics? Is it our temporary associates, who may not receive a background check? Probably a little bit of all of those.

Holidays bring pressure, especially if you have a family. Even more so if you are struggling financially. Those children surely need a new tablet, even though rent may take up an entire 2 weeks’ salary. Let’s not forget about utilities and groceries, clothes and other essentials. If someone is desperate enough, Santa will pass, but it will be on your dime. I grew up in poverty. My father worked long hours for minimum wage, and my mother raised 3 kids. When the holidays came around, I can remember my mother taking on temp work and my dad taking on another job. Nowadays, it seems as that type of work ethic is completely unheard of. Why work yourself to death, when you could just steal what you want.

Our employees also have greater access to product. Even before that new tablet hits the display, an employee has to take it off the delivery truck. Chances are, these receiving employees are grossly unsupervised, and can simply cart it out the back door. Just last week, I had a case where two guys were doing just that. They had bilked the store for nearly $10k in product that never made it to the sales floor. The managers learned a very hard lesson about supervision, as well as back door procedures. Employees also learn our system and understand where our weaknesses are. Last year (same store as the first example), the hard-goods employees (all 10 of them) were taking cash payments from customers and loading up bulk items like treadmills, ride-on toys, and basketball goals. The store has a procedure in place for a supervisor to verify all receipts prior to bulk items being taken out. The store was not following this program and it costs them well over $75k.

Temporary workers are another pain in my side. Obviously, we need the additional support in the 4th quarter. Hiring is essential, but hiring the right person is even more so. My company waives the background check process for temporary hires. It’s the reason I’m bald at 28. There are better alternatives out there. I know a ton of other retailers also have this practice. It’s not good for business. Yes, these people are only working for you for a limited amount of time, but they can do serious damage in that time. Just last year, two temporary cashiers embezzled nearly $30k in one of my stores by processing fraudulent return transactions. Upon their arrest, we saw on their criminal records that each had multiple arrests for embezzlement and shoplifting. They would have never been offered employment outside of the temp hire period.

There is no quick fix, or simple solution to employee theft. As managers and business owners, you have to take proactive steps to minimize your losses. Employees will always find ways to steal from you; it’s your job to make it increasingly difficult for them to do so. The key to a strong 4th quarter is clearing your store of product, just not through the backdoors. 

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THE IMPORTANCE OF CUSTOMER SERVICE

November 11, 2015 by Leave a Comment

theft (13)For me, this is the last week of the 3rd quarter. It’s already that time of year once again. In just a few short days, the 4th quarter will ramp-up and shoppers will be in a tizzy as they check their loved ones off that holiday wish list. I just read a national report that predicts consumer spending this season will be at its highest point since 2008. That’s fantastic news to us retailers. We are poised to post some record sales in the next three months, provided that we execute to our fullest potential. What keeps the customer coming into your store? Is it your customer service levels?

I am a champion of customer service. Like many before me, prior to my LP career I was a store manager for a big box retailer. You can set all the POGs, put up all the proper signage and all those other corporate tasks, but you will find yourself on a lonely island if your store is not customer centric. It’s a two way street. Attentive and responsive employees will help drive sales. They will also reduce shrink.

Take for example a customer shopping for a treadmill. Sure, they could come into the store, pick out the item themselves and cart it out. You just made a $500 sale and you really didn’t have to work for it. Did that customer get the foam mat to protect their floor? What about the silicone lubricant for the belt? How about a new pair of running shoes to prevent an injury, or even some fitness supplements to help them with their workout routine? What if by not speaking with someone on your staff, they purchase a treadmill that doesn’t fit their activity level? You may have very well left an additional $50-$100 on the table in add-on sales. Why would you leave all these extra dollars out there?

My company, like so many others, runs a survey. Customers can call in the number on the back of the receipt and share their in store experiences. I often review these for opportunities in the store. One thing I see the most is that customers feel “ignored”. Is it so hard for our employees to simply greet a customer? I see it so often. Employees who are too task oriented, who whizz past our customers without as much as a greeting. Do you see that in your store? Is it acceptable?

Let’s talk shrink. This is an LP centered magazine, right? Do you know that the very best method for reducing shoplifting losses is? If you guessed customer service, give yourself a pat on the back. First and foremost, a thief never wants to be acknowledged. If your employees are engaging and monitoring their areas, a thief will not have the opportunity to steal your merchandise. When my LP team completes a shoplifting report, there is a checkbox at the end of the report. It asks simply if the suspect was ever provided customer service by an employee. When I get those reports that say “no,” I use that shoplifting incident as a tool to coach the managers of the store, and show them a customer service failure. By training your employees to give high levels of customer service, you can and will deter criminal activity.

Customer service isn’t just telling a customer hello. It’s about each and every employee going the extra mile to satisfy your customer. Every single person that comes through your doors has a choice. They are choosing to give you their money. You, as a manager, should be honored by that choice. You should make it a core philosophy in your building that the customer is the most important aspect of your business. Strive to be the store that people will shop at, no matter the distance from their home. Engage your customers, leave no money on the table and be proactive in reducing shoplifting losses. Remember, customer service means money in your pocket and less product walking out the doors.

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