Statistics 2002 Losing $31 Billion to Theft Source - National Retail Security Survey 1.7% of their total annual sales Last year - Losing $40.5 billion to Theft Source: University of Florida
Where Inventory Shrinkage Happens Source of Inventory Shrinkage% of Loss*$ Lost Employee Theft48.50%$15.1 billion Shoplifting31.70%$9.7 billion Administrative Error15.30%$4.8 billion Vendor Fraud5.40%$1.7 billion Total Inventory Shrinkage $31.3 billion *total not equal to 100% due to rounding
What's the Harm? Impacts everyone especially Consumers Average family of four : > $440 this year in higher prices because of inventory theft Theft’s Target: hot selling items on the holiday shopping season Source: University of Florida criminologist Richard C. Hollinger, Ph.D.
Stopping Retail Theft point-of-sale systems: –detect potential theft problems at the cash register –alert appropriate personnel in real-time –can be tied to digital video recorders
Stopping Retail Theft Source tagging programs: - tiny anti-theft labels are placed inside an actual product Self-alarming anti-theft tags: - broadcast an audible alarm throughout the store
References Retail Theft and Inventory Shrinkage..http://retailindustry.about.com/od/statistic s_loss_prevention/l/aa021126a.htm