shoplifting this holiday season

SHOPLIFTINGThis Holiday Season

What Retailers and Brands Still Can Do To Plan Ahead Of The

Holiday Shopping Season!

of Shoplifting On Retail Sales &

How To Prevent Loss This Holiday Shopping Season

IMPACT

Who Is A Shoplifter?

As per Wikipedia, Shoplifting (also known in slang as boosting and five-finger discount) is a popular term used for unnoticed theft of goods from an open retail establishment.

In simple words, Shoplifters can be male or female, any race or color, as young as five or well into their 80's. Anyone who deliberately takes merchandise from a store without paying for it is a shoplifter, whether the theft is large or small, premeditated or impulsive.

Shoplifters could be Amateurs, Professional, Juvenile, Kleptomaniacs (Winona Ryder), Narcotics Addict or Vagrant.

Where Is The Global Retail Theft?

$214 Billion

Globally

N. America34%

LATAM6%

Europe32%

APAC28%

On an average, there are 550,000 shoplifting incidents per day.

$13Billion plus worth of goods are stolen from retailers each year which is over $35 million per day.

Source: www.pricegun.com Shoplifting Facts & Figures

Did You Know?

Shoplifting is America’s No. 1 Property Crime

The Highest Loss by Country

$36.79B $26.06B $14.90B

1st

USA2nd

China3rd

Japan

Source: The Global Retail Theft Barometer Report 2015

The Main Sources Of Shrinkage

39%DishonestEmployee Theft

38%Shoplifting

16%Administration/ Non-Crime Losses

7%Supplier Fraud

Source: The Global Retail Theft Barometer Report 2015

Shrinkage Costs

$123.4 BillionUS

To Retailers Globally1.23%

Of retail

sales

Source: The Global Retail Theft Barometer Report 2015

46% of Loss Happens In Winter

Which Season Is The Maximum Retail Loss?

Source: The Global Retail Theft Barometer Report 2015

Products easy to conceal, with wide public appeal & ready market for resale

The Most Stolen Merchandise

Source: The Global Retail Theft Barometer Report 2015

The Highest Loss By Vertical

1.99%

Pharmacies Drugstores

1

1.80%

Apparel2

1.73%

Jewelry& Watches

3

+Source: The Global Retail Theft Barometer Report 2015

Average Cost of Retail Crime Per Household

335$US

252

€

2.59

$HK

Source: The Global Retail Theft Barometer Report 2015

1/3 of Businesses fail due to Shoplifting

Source: http://rentonwa.gov/

1 out of 11 shoppers have been a Shoplifter

at least once.

There are approximately 27 million shoplifters in US alone,

however only 1 out of 48 get caught.

Source: NASP

75% of Shoplifters are Adults

25% of Shoplifters are Kids 55% of Shoplifters have been doing it since teenage

Source: NASP

3% are Professional Shoplifters and Habitual Shoplifters steal an average of 1.6 times per week

Source: NASP

KEY LOSSPREVENTIONBEST PRACTICES 5

SecurityProtected

Source: The Global Retail Theft Barometer Report 2015

Leveraging Internal DataTo better understand shrink performance metrics at SKU, category & store levels

Source: The Global Retail Theft Barometer Report 2015

Using A Mix Of Loss Prevention SolutionsEASFixturesManual screeningEmployee training

To Prevent External Theft

Source: The Global Retail Theft Barometer Report 2015

EstablishingAwareness ProgramsIncluding store signage for everybody to know the techniques & solutions used by retailer to prevent theft

SecurityProtected

Source: The Global Retail Theft Barometer Report 2015

Using Source-TaggingSecurity

ProtectedReduces store labor and ensures tagging compliance

Source: The Global Retail Theft Barometer Report 2015

Conducting Pre-Employment

Background screenings of potential employees to decrease dishonest employee theft

Store Prevention Statistics

Preventive Methods Used By Retailers

Using visible cameras to prevent people from shoplifting is the least effective approach. Stores with an observation booth were only shoplifted 2%. This is the most effective prevention method!

The chart shows the percentage stores were shoplifted, using each prevention method.

Source: www.pricegun.com

Online RetailThe Way Forward

www.Shoppingonline.com

Shoplifting exclusively happens at Brick & Motor stores

How Does It Help Move Away From Shoplifting

Christmas shopping accounts for 19.2% of all retail sales in US. Going online helps prevent loss from Shoplifting when sale

volume is very high.

Source: www.statista.com

• During the Holiday season website views increase by 120%, creating more demand online

• Around 264% more customers wait to chat with an online sales representative.

• Moreover additional 800,000 people employed during this time are untrained to catch pro shoplifters.

• A typical ecommerce business will see a 25% rise in revenue

Source: LiveChatInc

In comparison, e-retail stores are safer options to sell merchandise and create more demand

• Shoplifting is a major menace for retail business

• Most of the Shoplifters are trained and use sophisticated methods

• A Strong surveillance system and trained employees can curb it.

• There are limitations as during festive season, when sale volume are high, the existing system is rendered insufficient.

• The best approach to move away from shoplifting is to focus more on retail online sales rather than physical stores.

Conclusion

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Information and statistics provided by the National Association for Shoplifting Prevention (NASP) a nonprofit organization that shapes, promotes and supports comprehensive community action in shoplifting prevention efforts…because shoplifting steals from all of us. Contact NASP at 800-848-9595 or visit www.shopliftingprevention.org.

Reference

Thank You