10 Retail Shrinkage Facts
1. Shrink represents 1.34 percent of annual retail sales.
2. In all its forms, shrink represents a “tax” on consumers.
3. The highest theft rates of merchandise occur with popular new products, across a wide variety of price ranges.
4. More than 5 million thieves—both store visitors and employees—were apprehended
5. Much of retailers’ merchandise is still unprotected.
6. Spending on global loss prevention systems now exceeds $25 billion.
7. The most-stolen items remain strikingly consistent from year to year, and across geographies.
8. Customer theft remains the number-one source of shrink globally, especially in Europe and Asia- Pacific.
9. Don’t overlook simple administrative waste and internal errors as causes of shrink.
10. Electronic Article Surveillance (EAS) is the main method of protecting stores against losses.
Fight the recession by protecting profits
As retailers continue to deal with the consequences of a global recession, they are facing decisions that will have major implications for their long-term futures.
Chief among those is finding the best ways to protect their businesses from a decline in revenues, while maintaining their day-to-day operations and fulfilling their strategic goals. Aside from sustaining revenues through more competitive pricing for consumers, retailers are looking to make adjustments in their operational budgets in various part of their business.
Among these, inevitably, is loss prevention. However, cutting loss prevention spending at a time when potential crime is rising is not the answer – particularly if the losses from higher shrink and out-of-stocks prove to be much greater than the gains from reduced loss prevention budgets.
Contact Us Today to Stop your inventory Loss.
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Let our retail security specialists customize a loss prevention quote based on your specific store needs. Loss prevention security accessories such as security labels and removers need to be matched to the type of security system towers in use in order to work properly. Contact Us
Definition of Shoplifting
Shoplifting is a crime and occurs when someone steals merchandise offered for sale in a retail store. To commit shoplifting one must “intend” to permanently deprive the merchant of the value of the merchandise. Shoplifting most often occurs by concealing merchandise in a purse, pocket, or bag, but can occur by a variety of methods.