Too Small A Store For A Loss Prevention Department? Loss Prevention Systems Inc. Is The Solution To Your Dilemma

June 2, 2017 by Leave a Comment

Shortage control and theft prevention for small retailers which have no Loss Prevention Associates in the store was the topic of a recent article in an online loss prevention magazine. The points were well made and much of it was directed at stores that may have district or regional Loss Prevention Managers. But the truth is there are many small, independent retailers with no affiliation to a larger company. How do these stores cope with reducing shrink and preventing theft? It could be a tough problem but Loss Prevention Systems Inc. (LPSI)has the solutions that can keep small stores keep shortage down and profits up.

     So what are the solutions for those smaller retailers and how can LPSI help?

  • LPSI offers business owners advice through the blog posts on its website. The blogs are written by professionals who have years of experience in retail management and retail Loss Prevention. They give helpful insights from their personal experiences and knowledge of how shortage occurs. These insights can often be applied to any retail environment from a local “Mom and Pop” shop to a big box retail store.
  • LPSI posts videos on YouTube. Bill Bregar, owner and President of LPSI regularly posts videos to the web site, sharing stories from his extensive Loss Prevention experiences and tying them in with tips and strategies business owners and managers can employ in their own buildings. The videos are short yet informative and interesting as Bill includes anecdotes from his time in the field.
  • LPSI’s Facebook account provides additional videos and information on merchandise protection tools like Checkpoint and Alpha security tags and electronic article surveillance towers.
  • Small business owners may not have all of the information they need on how to prevent theft from employees or from shoplifters. While they are knowledgeable on the aspects of ordering products, replenishing the stores, running point of sale terminals they may not be equipped or even aware of all the various methods that can impact shortage. LPSI offers training seminars for business owners and managers that will give them the knowledge and information they need to prevent shoplifting, dishonest employee activity, and fraud.  A store may not be able to afford its own Loss Prevention department but this does not prevent them from proactively deterring or stopping thieves. LPSI has provided training both nationally and internationally to give business owners the tools that will allow them to defeat thieves even without a Loss Prevention Department.
  • Were you aware that hiring the wrong people to work for you can lead to internal theft and fraud, poor employee morale or worse, they could be a legal liability? LPSI offers professional background check services. They can look at an applicant’s criminal history, driving record, verify academic records, check on prior addresses, and verify employment history. Will the employee be working around children or other employees? The background check services offered by LPSI can check on sex offender registries to make sure your other employees and customers are safe and secure. Our company can make sure your hiring practices are optimizing your investment in staffing your store(s).
  • Consider that retail anti-theft devices and EAS pedestals can significantly deter shoplifting crime and even internal theft. You might be thinking about investing in it but you’re not sure how much you should invest or what the impact of your investment will be? LPSI offers a Free ROI Calculator on its website. There is no obligation to use it but simply entering the amount of money you are thinking about investing in Checkpoint equipment and how much your annual sales are, you can get a quick estimate of what your savings from shortage reduction would be.

Shortage reduction and theft prevention does not necessarily require a Loss Prevention Department.

     By using all of the resources available through Loss Prevention Systems Inc. you can effectively reduce merchandise shortage. We can also assist you in making the right investments in merchandise protection that will best suit your store size and the type of merchandise you carry.  Spend some time reviewing the LPSI website and social media posts and see if WE can be meet your Loss Prevention needs.

Filed Under: Featured Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

What Are You Doing To Prevent Shoplifting In Your Store?

June 1, 2017 by Leave a Comment

In some regions, police departments warn retail stores and home owners of an increase in shoplifting and burglaries during the summer months.  Many of the burglaries and shoplifting accidents committed during these months are from young adults that are out of school with nothing better to do.

The problem-although serious- is nothing compared to the thousands of dollars that are stolen by organized retail crime rings in some cities.  

People in an organized retail crime ring can enter a store and leave it within minutes with thousands of dollars in stolen merchandise. They are professionals and their goals is simple: Steal as much as you can in the least amount of time. 

Training to prevent this kind of shoplifting is paramount to the well being of your store.

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

Shoplifting plagues Portland retailers

SHOPLIFTING IS A CONSTANT PROBLEM FOR PORTLAND RETAILERS, BUT POLICE DON’T HAVE THE RESOURCES TO CRACK DOWN ON MANY OF THE THEFTS.

Rise in organized retail theft is costing you

RALEIGH, N.C. (WNCN) – They’re fast, they’re sneaky – and their crimes are impacting your wallet.

Organized retail thieves are costing retailers billions of dollars each year, which inevitably ends up costing you.

But it’s more than just shoplifting. Organized retail theft includes:

  • Receiving goods that are believed to be stolen, even if they’re not
  • Shoplifting goods ($200+ value) through an emergency exit door
  • Theft of infant formula more than $100
  • Credit card/gift card fraud

International Super-Heist Cost Retailers Billions Last Year

One woman in El Segundo stole $10,000 of clothes from a shop in about 20 minutes during the course of three visits.

Retailers ready to launch their new fashion lines can bet some of that apparel will be stolen the minute it hits their shelves, according to private investigators.

The products are being shoplifted, in some cases, thousands of dollars at a time, by thieves committing organized retail crime.

A private investigator, speaking to NBC4 on the condition of anonymity, helped detectives with the El Segundo police department, tie two Colombian nationals to an international theft ring.

The two were arrested after police discovered $67,000 worth of stolen merchandise in their Hawthorne apartment.

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , ,

How To Prevent Shrinkage With Technology

May 10, 2017 by Leave a Comment

It is true the retail industry losses are staggering.  Losses due to shoplifting and employee theft are a problem that seems to have no solution.  Small mom and pop stores close their stores for good because of the losses they encounter and cannot recover from.  Big national retail stores have the capability to withstand losses from shoplifting and employee theft that other smaller stores cannot.

New technologies have been a help for many of these giants in the prevention of shoplifting and employee theft. The new technology has helped these retail stores prevent the crime before it happens or when they are happening.  Two of these technologies are: Video analytics along with video cameras and Face recognition software. They have played an important role in shoplifting prevention in the retail industry.

For more about preventing shoplifting and employee theft

Here are a 20 ways to make more money and boost your profit margins by minimizing loss in your business: – Modest Money (press release) (blog)

There’s an old saying that “you have to spend money to make money,” but it’s also true that one of the best ways to make money is to avoid spending money in the wrong places. If your business is spending too much money on unnecessary business expenses – or worse, if your business is losing money due to theft by customers or employee fraud – you are letting good money go out the door. And this makes it harder for your business to be profitable because you have to work that much harder.

Here are a 20 ways to make more money and boost your profit margins by minimizing loss in your business:

  1. Reduce Administrative Errors: Many businesses make seemingly simple mistakes in their pricing, paperwork or bookkeeping that lead to big losses over time.
  2. Prevent Employee Theft: Employees stealing from their own companies is a major cause of “shrinkage” or business profit loss. According to RetailNext, employee theft makes up almost half of the $42 billion in retail shrinkage each year.

How to tackle employee theft with real-time inventory

Minna Nurmisalo, project & marketing manager at MariElla Labels, takes a look at how real-time inventory can help deter employee theft.

No retail business wants to believe that they might be subject to theft from their own employees. Unfortunately, it is a very real problem. It might be stealing items on their person, or exploiting employee discount privileges to significantly reduce the price – either way, employee theft can account for as much as 28% of unexplained inventory loss globally, according to the recent Global Theft Barometer Report.

In order to prevent it, it is first important for employers to be aware why employees might feel the temptation to steal – from financial pressures in their personal lives, to general disgruntlement with their employers.

But irrespective of the emotional reason that causes employees to consider stealing, it all boils down to something very simple: they think they can get away with it.

Beat The Shrink: How Inventory Management Can Help Reduce Shrinkage

Retailers ate losses of more than $45 billion thanks to shrinkage in 2015, a $1 billion jump from the 2014 total. If this trend continues, the 2016 figure could exceed $47 billion!

How can so much inventory just walk out the door? According to the National Retail Federation, there are five main ways for your supply to disappear.

Sometimes it doesn’t even make it to the store. Roughly seven percent of shrink comes from the vendors in the form of overcharges or undersupply. Small businesses can be especially vulnerable to this if they operate on more informal bases with their supply companies. Check your contracts and make sure expectations are clear.

Human errors count for another 16 percent. Maybe someone ordered too much product to move in a realistic timeframe. A stocker accidentally slapped the wrong price on an item and led to an impromptu sales event. It could be something as simple as poorly-inventoried stockrooms that harried employees tally by physical count and tally marks.

Other times, though, goods may get a helping hand out the door.

Shoplifting counts for 38 percent of loss. People may steal for personal use. They might need to make fast money from a resale. It could be nothing more than they steal because they can, but the end result remains the same: Lost revenue and unbalanced books.



 

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , ,

The Habit of Shoplifting

May 2, 2017 by Leave a Comment

The National Association for Shoplifting Prevention studies have shown that there is not a profile for a typical shoplifter.  Women and men shoplift as frequently, and the majority of the shoplifting is done by adults.  And although, shoplifting has been shown to start early in a person’s teenage years, as teenagers become adults, the tendency to shoplift stays with them.  Drugs, poverty, and mental illness have been factors for people who shoplift.  In other cases, the reasons are still unclear.  People from all walks of life shoplift.

Studies in the United Kingdom have shown that people who shoplift will do so again within the year.  That is the case in most developed countries.  Shoplifting can be a way of life for many of these people, and if retail stores across the globe do not find measures to mitigate the damage these shoplifters do, the profits these retail stores can count on at the end of their fiscal year diminish tremendously.

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

One in four criminals re-offend within a year

More than a quarter of offenders are re-convicted within a year, according to official statistics.

Figures from the Scottish Government show that in 2014-15, 28.2 per cent of the 43,634 people released from prison or given a non-custodial sentence such as a community payback order or fine had a further conviction within a year.

The overall re-conviction rate has fallen 0.3 per cent from 2013/14, continuing an 18-year downward trend.

But of those given a custodial sentence of six months or less, 57 per cent were re-convicted within a year and 39 per cent were back in prison 12 months later.

Offenders released from jail in 2014/15 had a higher re-conviction rate at 43.9 per cent than for any other type of sentence except drug treatment and testing orders.

Statisticians highlighted that offenders who receive short sentences typically commit “low level” crimes such as shoplifting, but often in higher volumes and are more likely to be re-convicted.

Sex offenders had the lowest re-conviction rate at 12.1 per cent, while people committing crimes of dishonesty such as theft or shoplifting had the highest out of the crime classifications at 42.5 per cent.

Justice Secretary Michael Matheson said the figures showed that community sentences, including community payback orders (CPOs) brought in to replace community service, were more effective at cutting re-offending than short jail terms.

Former State Rep. Hurley pleads guilty to three shoplifting incidents

ROGERSVILLE – Local businessman and former State Representative Bruce W. Hurley, 83, entered guilty pleas in Hawkins Co. Criminal Court on Friday, April 28, to three counts of theft of property valued at less than $500.

Court records indicate that Hurley, who pleaded guilty before Criminal Court Judge John F. Dugger, Jr., will serve no jail time as a result of his pleas of guilty to what amounts to three shoplifting charges.

Judge Dugger imposed a sentence of 11 months and 29 days, but ruled that all but 120 days of that sentence is to be served on probation. The remaining 120 days is to be served on community corrections (house arrest), court records indicate.

In addition to a $50 fine on each count, Hurley was ordered to pay $4.02 in restitution to Walmart, one of his two theft victims. The other theft victim was the Rogersville Food City supermarket. All three charges were brought against Hurley by the victims, according to a Rogersville Police Department spokesman.

Court records indicate that the thefts took place on Aug. 25, 2016; Sept. 29, 2016; and Nov. 16, 2016.

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Theft And Fraud Can Bankrupt A Business; Contact Us For Training Seminars That Will Help You Reduce Shortage And Remain Profitable

April 30, 2017 by Leave a Comment

 According to the Jack L. Hayes Annual Retail Theft Survey, released June 2016:

  • 1,170,056 shoplifters were apprehended in 2015 resulting in over $150 million recovered from apprehended shoplifters
  • 75,947 dishonest employees were apprehended in 2015 resulting in over $55 million in recoveries
  • One out of every 38 employees was apprehended for theft from their employers in 2015.

This survey was based on information from 25 large retail companies with 21,228 stores and over $700 billion in retail sales (2015). Combine this with information from the 2015 Global Retail Theft Barometer (GRTB) Report that placed shrinkage in North America at 1.27% or $36.79 billion dollars (pg. 50) and you have some scary statistical data if you are a small business owner. The 2015 GRTB also reported that shoplifting was the cause of 36% of retail shrink and dishonest employees were responsible for 45% of shortage (pg. 53). According to statisticbrain.com 37.5% of employees have stolen from their employer at least twice. The same website reports 33% of all business bankruptcies are the result of employee theft. THAT is a lot of theft! What is an employer supposed to do? If the 25 large companies surveyed by Jack L. Hayes are being impacted like this and they have access to Loss Prevention resources, how can a smaller retailer prevent this kind of theft? Is there a way for small to medium stores to address theft and fraud, reduce shrinkage and improve profitability?

     The answer to the question is yes, there is a way for small businesses to reduce shrinkage due to shoplifting and employee theft. Loss Prevention Systems, Inc. has training seminars available that will provide information on various forms of employee theft and the real impact they have on a business. The seminars don’t simply instruct on how the activity occurs but also on how it can be prevented. Additional seminars are available on shoplifting and the methods you can use to protect your merchandise and your profits. How do you detect shoplifters? Do they all act the same? Should you approach them and attempt to get your merchandise back? All of these questions will be answered by Bill Bregar, President of Loss Prevention Systems, Inc. 

     Bill’s extensive background in Law Enforcement and Loss Prevention gives him the expertise to ensure you and your staff receive solid training that can make an immediate impact on shortage reduction in your store(s). Bill’s career in investigations began when he served in the U.S. Army as a Military Policeman and in the U.S. Army Reserve as a Military Intelligence Officer. He worked for 2 years as a Police Officer for Central City Colorado. Bill has held positions of increasing responsibilities starting as a Security Manager for a grocery store chain, advancing to two different Regional Loss Prevention Manager positions, working as a Director of Loss Prevention for two different companies before becoming the President of Loss Prevention Systems, Inc. Bill’s professional competencies include being an “Expert Witness,” a Licensed Private Investigator in the State of Georgia and a Private Detective and Security Agency Training Instructor since 1998. Bill also holds a Bachelor of Science Degree in Criminal Justice and Criminology, Private Security Administration & Management from Metropolitan State College, Denver, Colorado. Finally, as someone who has conducted over 2300 employee theft investigations, Bill has the proven field experience that is a testimony to his ability to speak on issues of retail theft and fraud.

        If you want your business to be successful you have to ensure you are prepared to address all areas of shrinkage, especially those areas that impact you the most, employee theft and shoplifting. Ignoring these factors or trying to manage them without the proper knowledge and training is a recipe for disaster and you may find your store(s) in that 33% that declares bankruptcy due to employee theft. Contact Loss Prevention Systems, Inc. and schedule your training seminars with one of the premier experts in the industry today. 

Filed Under: Featured Tagged With: , , , , , , , , , , , , , , , , , , , , , ,

Cash Handling Tips That Can Prevent Cash Losses

April 30, 2017 by Leave a Comment

Have you ever noticed that when a convenience store robbery takes place the crook never demands all of the credit card slips? I have never heard of a bank robber pulling out a gun and yelling for the teller to give them all of the checks in the drawer. What is it the bad guys are always trying to get their hands on…CASH! While Loss Prevention departments do work on credit card and fraudulent check cases our bigger concern is cash theft and fraud. It has been my experience that in many incidents involving a stolen credit card or check, I have been able to work with bank investigators and police detectives to identify and in some cases resolve those crimes. In those situations there is usually a victim as well as a perpetrator of the crime. When it comes to cash loss cases it becomes another matter altogether, the victim is the store. While we may have video of the crime there may not be any other means of tying in additional information. Another issue with cash losses is that the stolen money cannot be tracked further. Stolen credit cards tend to leave a trail of locations where they are used which can lead to greater opportunities to pick up on additional evidence. The same can be true with fraudulent check writing cases. With a cash loss case, once it’s gone you don’t see it again, money is not traced.

     What kind of situations can lead to cash losses? The first thing that comes to mind is internal employee theft. A cashier may steal directly from a register till and pocket the money. You could also have a cashier stealing from customers by short-changing them. I recall at least one case I had in which the employee was keeping back a dollar every so often from a customer’s change they were due back. Until a customer complained to the supervisor rather than going back to the cashier, I had no idea it was taking place.

     External causes of cash loss can include:

  • Robbery
  • Short change artists
  • Till Tappers
  • Counterfeit and fraudulent cash (fraudulent bills may be a $1 bill with two $100 corners pasted over two of the $1 corners. The other two corners are pasted on another $1 bill giving the bad guy $200 of value for a $100 bill and yes, it does happen when a bad guy tries to hurry a new or young cashier).
  • Grab and Runs

In all the cases of external cash losses there are cash handling tips that any store can use to minimize the risk of loss or the amount of exposure to loss:

  • Be sure to do daily bank deposits. Preferably contract with an armored car service to pick up money or drop off change orders. If you choose to conduct your own deposits vary the time of day and the route to the bank. Storing excess money in your cash office only increases the amount you could lose in a robbery.
  • Train cashiers to call a manager or supervisor for any transaction that is $20 or less and the payment is a $100 bill.
  • Train cashiers to never allow someone to put their hand in the till. Slam the drawer closed if necessary. If a customer is taking too long to look for change, the drawer should be closed.
  • Have cashiers place all large bills under the till and call for a pick up when the transaction is complete or have a cash drop at the register that can only be opened by a supervisor. This keeps bills from being seen by customers when the drawer is opened and prevents a grab and run.
  • Use locking till covers for registers. When a register is not in use but has money in it, the till cover prevents someone from getting to the cash even if they have a register key to open the drawer.
  • Cashiers should each have their own till. When multiple employees work from one register it is more difficult to pinpoint who may be causing cash shortages and dishonest cashiers know it.
  • Conduct register skims when they are over a pre-determined dollar amount. There is a temptation for dishonest employees to feel that the more money in the register the less likely a $10 or $20 bill will be missed. Lesser amounts in a register drawer also take away incentive for a potential robber.

There is always going to be risk of loss when cash is an accepted form of tender for your business. Minimizing that risk can be done through training and a few commonsense security measures.

Filed Under: Featured Tagged With: , , , , , , , , , , , , , , , ,

The Advantages of Hiring and Training Good Employees

April 11, 2017 by Leave a Comment

A study done by the University of California at Berkley found that hiring a new employee costs an approximate $4,000 dollars per employee and in hiring for higher positions-professionals and management level employees-the figure increases to $7,000. If you are a small business, then the figure increases per every new employee you are trying to hire.  If you are a small business that offers other benefits to their employees, the cost increases considerably.  The importance of hiring quality employees, or training the employees you already have, are an economic advantage many businesses cannot pass.  Hiring and training new employees is expensive, why not do it right the first time? Background checks, and recommendations from other employers are not something you can take lightly.  Checked them before you hire, and it would likely paid dividends.

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

Loss Prevention Management Must Focus on Quality Recruitment and Retention

Loss prevention management has the power to improve understanding, morale, and workplace inclusion.

Let’s face it—the bottom line to any corporate organization is the profit margin. However, those in executive loss prevention management should always be mindful that quality of service drives the margin. Factors that lead to high-quality service are often the result of well-retained employees. Specifically, all management levels need to be mindful of what policies work, what don’t work, and what looks promising.

Recruitment and Training

Think back to when you first joined your company. What was your initial impression of the first few people you met when you went in for the initial interview? Do you remember their general attitude about the company?

Chances are that your initial impression was positive. Perhaps this is why you stayed. Do you think the same attitudes are being conveyed to new recruits today? If not, you might consider those colleagues who left the company. What was it about their experiences that differed from yours, that made them leave?

The Square Alliance met this morning to discuss ways to combat the increase in shoplifting in the hub of Oxford’s shopping. Business owners had a Q&A with OPD investigator Chris Case about how to prevent shoplifting and deal with those who are caught in the act.

Case provided tips in shoplifting prevention such as a more visible security system, keeping an eye out for suspicious activity and more. Business owners voiced their opinions and discussed certain tricks and trends that they’ve noticed shoplifters using to attempt to steal merchandise. Case mentioned that shoplifters will usually work in pairs rather than alone to attempt to distract workers while they commit the crime.

A heavy importance was placed on figuring out how to deal with shoplifters when they are caught in the act to find the balance of ensuring security but not overstepping the boundaries. Businesses and workers have the ability to recover stolen merchandise and keep the violator in the store until the authorities arrive, as long as they have probable cause. It is also unlawful to lock them in a small space such as a closet or use force.

Wal-Mart has a unique way to cut down on shoplifting

Wal-Mart has taken the law into its own hands. 

No, the company has not started its own jail, and any employee who wears a cape and fights crime must still do so on his own time. Instead, the retail chain has taken a new approach to fighting shoplifting that requires less involvement from the police. The retailer has been using a “restorative justice” program in 1,500 of its stores, according to The Gainesville Sun. That’s a program in which people deemed low-risk, first-time offenders are given the choice of paying to take an anti-shoplifting course rather than facing arrest and prosecution.

The effort is in its early days, but the results have been good so far. The company has seen a 35% reduction in calls to law enforcement nationwide since restorative justice programs were first implemented, Wal-Mart spokesman Ragan Dickens told The Sun in an email.

“No retailer is immune to the challenge of crime. We recognize the importance of this issue at the highest levels of the company, and we are investing in people and technology to support our stores,” he wrote, noting that police are not being cut out of the loop.

 

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

THE IMPOSSIBLE ACT OF “SELLING YOUR WAY OUT OF SHRINK”

February 28, 2017 by Leave a Comment

I recently read over an article opining the phrase “sales cures shrink”. While the author touched on both sides of the coin, I found it interesting that in today’s retail climate, anyone would think that you can simply sell your way out of losses. Let’s cut to the chase here; we’re not bringing in 20% increases over last year, hell we’re lucky to come in flat to last year. Online giants like Amazon are eating up market share like never before and if brick and mortar don’t do something fast, sales will continue to slump.

Let’s break this down a bit further. Let’s say your shrink last year was 2% to your sales of $1,000,000. That’s a loss of $20,000 for the year, or about $57 a day. Taking that shrink number and dividing that into your loss per day gets you right at $2680. That means you have to sell an additional $2,680 on top of that $57 loss just to get to the break-even point. Understand this, you CANNOT stay in business if all you’re doing is breaking even. You just can’t. You need to turn a profit!

Being a realist here, there is no way that you’re ever going to sell your way out of shrink. EVER. It is a flawed philosophy and if you ever hear someone utter this crummy phrase, understand that whomever that person is, they have no idea what they are talking about. Unless you have some miracle business model and you’re bringing in money hand over fist, then “selling your way out of shrink” just isn’t an option. It’s a start…

Offsetting shrink takes a multi-faceted approach. Just as you can’t sell your way out of shrink, you can’t very well keep everything under lock and key, and it’s impractical to have the security devices on every single sku. If you’re trying to increase sales, you may be inclined to have more displays of merchandise. Copious amounts of data show that a customer is more likely to make a high dollar purchase if they have a chance to touch and feel the item. (Think sunglasses, hunting scopes, sports equipment, etc.) To sell it, they have to be able to touch it. For you not to lose it, you need to secure it in some manner. Once you find the balance of sales vs. LP procedure, you’ll find the winning formula for shrink reduction.

Proper security measures will only go so far to stop external losses. Internal theft accounts for an even bigger percentage of losses inside your store. Knowing who to hire, and whom you are hiring are both vital spokes in the retail wheel of shrink reduction. You need to go a step further and encourage a culture of honesty, integrity and ethics in your store. Employees should feel invested in your business, as that emotional attachment will likely deter an employee from stealing.

As with any problem, there are always a multitude of solutions to bring about positive change. Get away from a soloed approach to shrink and look at all the ways your losses may be tackled. Just as you would be foolish to believe that locking up all of your merchandise would stop theft, you’re of equal foolishness if you believe that sales are the cure all for shrink; and I personally, pity the fool.

Filed Under: Featured Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Technology And Shoplifting

February 28, 2017 by Leave a Comment

Shoplifting affects everyone. As shoplifting and employee theft seem to be an unstoppable problem for the retail industry, researchers try to find different methods to prevent and combat shoplifting.  Law makers across the country try to pass laws to deter shoplifters by imposing harsher sentences. Technology has for many years now helped loss prevention personnel catch shoplifters, and prevent bigger loses for stores.  But as technology has improved, shoplifters ways have changed to account for the technology being used to catch them.  As the technology evolves, so does the shoplifter. Are you keeping abreast of the problem? Keep reading by clicking the links below.

Why hasn’t security technology put an end to shoplifting?

As the UK crime rate falls, there is one crime that is on the rise. Recent figures show that shoplifting has consistently grown by an annual 6% against a wider backdrop of reduced crime. This statistic is surprising considering the vast amount of time, money and effort that goes into developing anti-shoplifting technology. So why isn’t it working?

How does anti-shoplifting technology work?

The vast majority of retail stores are equipped with several high tech security measures. CCTV cameras are the most common. According to the College of Policing, CCTV is more effective as a method of gaining evidence to catch and convict a criminal than as a deterrent.

Many security camera providers provide monitoring services to ensure footage is captured and analysed as efficiently as possible. However, surveillance systems require careful planning; Banham Group, security experts with more than 90 years’ industry experience, advise that CCTV installation must include guidance, particularly on data protection laws and system legalities.

Through the Eyes of a Shoplifter

In the June 1968 issue of the magazine, then-managing editor John J. Sullivan tried his hand at shoplifting from a few independent stores, just to see how easy it was to get merchandise past the sales register.

He didn’t have much trouble. With prior permission from the owners, he hit six stores in and around one city in one weekend, for a total of almost $250 worth of merchandise in about an hour—more than $1,700 today. Then-editor Bob Vereen got in on the experiment too, taking nearly $25 worth of merchandise in about 10 minutes from one store.

The point wasn’t, of course, to steal product from hardworking, honest hardware retailers. It was to show how easy it was to do so.

For a quick checklist you can share with your employees to make sure everyone is working to improve store security, click here to download our Loss Prevention Checklist.

Not all businesses on board with new shoplifting proposal

QUINCY, Ill. (WGEM) –

A new proposal by the Illinois State Commission on Criminal Justice and Sentencing Reform has been met with multiple opponents.

Right now, any theft valuing over $300 will land you a felony charge in Illinois. An Illinois criminal justice reform group has asked lawmakers to raise that thievery threshold to $2,000, in an attempt to combat prison overcrowding.

Executive Director Amy Looten of the Quincy Chamber of Commerce said on Monday that there are many reasons to oppose it.

“For every product that walks out the door, they’re not paying sales tax on that.” Looten said. “So our local government, our state government is not getting that income from the sales tax.”

Quincy Menard’s Assistant General Manager Scott Warner added on Monday that shoplifting affects many more people than just the person stealing.

 

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ,

Are You Ready To Catch A Shoplifter?

February 21, 2017 by Leave a Comment

Big retail stores across the nation rely primarily in technology to prevent shoplifting according to industry analysts.  The physical loss prevention officers of long ago, are quickly being replaced by technology in the stores.  The interpretation and study of the data obtained fighting shoplifting and employee theft are invaluable during these times. 

While smaller stores rely on locking freezers to protect their merchandise, that is not feasible for most other stores. Smaller stores need to understand the problem, and find a  solution that is reasonable for them.

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

Retailer forced to use bike lock on chillers to prevent shoplifting

A Coventry convenience retailer has been forced to fit a bicycle chain lock on his chiller doors to prevent shoplifting after it cost him £12,000 last year.

Paul Cheema, owner of Malcolm’s Store, said as well as the bike lock, he had put bells on the chillers. He said the store had been targeted by gangs stealing large amounts of meat and cheese.

Speaking to Radio 4’s You and Yours, Cheema said: “One man took 32 packs of bacon and 20 packs of cheese. We put bicycle chains and doorbells on our fridges so every time a door opens an alarm sounds.”

He added that he was using social media to post pictures of suspects.

Eyes open: Catching shoplifters takes vigilance, prevention

When a retailer sees someone suspicious wandering the aisles, they can’t just call police.

Acting shady in a store isn’t illegal. Neither is putting an item in your pocket.

Under North Dakota law, an item must be taken past the last point of sale before it is considered stolen.

Jerry Cox, a regional manager for Valley Dairy in Grand Forks, said employees at their nine area convenience stores are trained to watch for shoplifters.

Often, he said, a shoplifter will pocket some items and purchase others. If an employee sees someone tuck something away between the aisles, they have to give the person every chance to pay. The clerk often will ask if there’s anything else they want.

“You have to assume they’re honest,” Cox said.

Using technology in today’s loss prevention career environment

“You don’t have to be an IT guy to understand cyber security, and it’s critical that you have enough of an understanding to know what questions to ask”

As an adjunct professor for AMU’s Center for Applied Learning, Dr. Robert Pittman imparts wisdom to next-generation loss prevention leaders, for whom he has the following warning—you can never “complete” your education. The world, risks, and business are always changing and loss prevention practitioners, and the loss prevention industry as a whole, must continually adapt. If not, individuals will find their career paths limited and the industry itself—just now gaining a seat at the management table—could be pushed to the background.

Today’s major retail operations are driven by technology, and entire supply chains rely on how effectively it is managed. Loss prevention practitioners need to have the skills to effectively navigate this tech-based environment if they want to advance their careers and help the LP industry thrive, Pittman believes. “Loss prevention used to be about focusing on the shoplifter in the store, but that’s completely changed. Those strictly physical security guys are quickly becoming extinct,” he said.

 

Filed Under: Shoplifting Prevention Tagged With: , , , , , , , , , , , , , , , , , , , , , , , , , ,
« Previous Page
Next Page »