Retail shrinkage stems from a handful of causes that are rarely unique to a single retailer. Theft, whether internal or external, and operational error make up the majority of retail shrinkage. The level of severity is usually the primary difference; this can fluctuate due to product type, geography, and store Read More
Tag: retail shrinkage
When I was a doctoral graduate student at the University of Minnesota during the late 1970s, I began conducting research on employee theft. At the time this was an area of criminology that was virtually unexplored. I found that it was hard to study this subject then, since few retailers Read More
For those of who have been in the loss prevention business for a number of years, you are surely familiar with the retail shrinkage life cycle illustrated in Figure 1. No doubt some of the businesses you have worked in have been around it a number of times.
It is a Read More
What does inventory shrinkage mean to you?
For most companies, the answer to this question would be obvious: a significant problem, and usually something that is getting worse, not better, despite unprecedented developments in technological solutions and growing loss prevention budgets.
Some retail companies across the globe are gleaming examples of how Read More
Understanding how to calculate shrinkage in retail is a fundamental but critical concept within the loss prevention profession as well as throughout the retail industry. Ultimately, retail shrink directly results in lost profits, and can have a dramatic impact on the success of the retail enterprise.
Let’s begin by establishing a Read More
Retail loss is a serious issue, amounting to a loss of billions of dollars every year. Visit BrickHouse Security at Booth 1250 to learn more about dramatically reducing shrinkage with our custom retail loss prevention solutions. Read More
According to industry surveys as well as industry buzz, it’s one of the hottest technologies in the retail loss prevention industry, with users swearing by it and companies spending hundreds of thousands of dollars to implement it. What is all the excitement about? Online POS exception reporting systems.
“Exception reporting” is Read More
It’s been fifteen years since LP Magazine was first introduced to the loss prevention industry. From that inaugural edition through today, there have been many great stories and great people that have filled the pages of the magazine. Many things have changed with both the people and the initiatives across Read More
The most recent National Retail Security Survey (NRSS), led by Dr. Richard Hollinger of the University of Florida, uses empirical retail loss prevention data to break down the annual $44 billion in retail shrinkage for 2014 as follows:
• Shoplifting –38% or $16.7 billion
• Employee theft – 34.5% or $15.2 billion
• Read More