Retail theft on its way down
Written by Rosie Lombardi August 18, 2010
Retailers are beginning to stop the bleeding. The surprising results of a recent study show that the flow of stolen items out of their stores has gone down slightly, despite the bad economy. On the contrary, the recession served as a catalyst to step up efforts to combat theft with more training and technology.
Table of contents
(Page 2 of 2)
Richard is still looking for the right security tag solution for West 49. “There are so many different types of technology, and I haven’t been able to find one solution that works well with all our items. You can try using two or three types of tags, but then you have to buy separate systems and detaggers. Integrated systems that can handle different types of tags would be great, as our cashier areas are already jam-packed with equipment.”
Like many retailers, LP and operations departments are pooling their resources to buy technology that serves multiple purposes at West 49. “I want more video security, and our operations department wants more people counting, so we can get both out of our video system.”
Broader trends
Canadian trends have been similar to the U.S. for the last 10 years, says Robert Miller, Toronto-based sales director at ADT Security Canada. He attributes the decrease in retail theft noted in the study to increased investment in video surveillance and electronic asset security (EAS) tags.
“The bigger retailers have more money to spend compared to two years ago, especially the big box stores. Smaller retail chains are also investing a bit more, but they’re more cautious about their spend.”
Supermarket chains in particular are installing more technology, as their strategy to provide one-stop shopping makes them more vulnerable to theft, says Bosch’s Bidwell.
“They’re diversifying and now selling more higher-value items like gas grills and tools. Expensive cosmetic brands are another target for theft. There are a lot of mom and pop shops that are willing to buy those items and resell them at a discount.”
Retailers are also investing in more high-end EAS technology, which has been fortified with new capabilities, says Miller.
EAS pedestal readers at store entrances can now detect “booster bags.” he says. Professional thieves often walk into stores armed with innocent-looking shopping bags, typically the retailer’s own branded bags, which have been doctored with metal taped inside to block the EAS readers. Once inside, thieves fill the bag with merchandise, and then leave the store with impunity.
“EAS readers at entrances can now detect a large mass of metal when a person walks into the store, which sets off alarms. So booster bags are detected right away, before the thief has a chance to get into the store. These professionals are a small percentage of shoplifters, but when they hit you, they hit you hard.”
Vendors are also developing a variety of different tags that are harder to remove, says Bidwell. “They’re constantly coming up with new tagging designs, as EAS removal tools are available all over the Web on sites like Craiglist. They cost thousands of dollars but the cost is quickly recouped with stolen merchandise.”
Tags are also being developed for items that have been difficult to tag in the past such as leather handbags and shoes, says Miller. “Hard tags are usually attached with a pin, but you don’t want to pierce a handbag. Vendors have now developed metalized rope to attach the tag in a way that’s secure but doesn’t damage the item.”
EAS tags can also come with new operational capabilities such as people counting, he adds. “The EAS readers quietly read tags without emitting alarms, which are only set off if the tags haven’t been deactivated by a check-out clerk. People counting is a silent mechanism that works even after a tag is deactivated.”
Video surveillance installations have also increased in retail over the past year, says Net Payne, chief marketing officer at Ottawa-based video surveillance provider March Networks. On the video analytics front, vendors are starting to bring the price of these useful but expensive systems.
“As more and more customers deploy video analytics, the level of customization required goes down. We’ve been able to bring down the costs of our systems by 30 percent,” says Payne.
Published in
Top Stories





