The recently released National Retail Security Survey, conducted by the National Retail Federation (NRF), revealed some shocking statistics regarding retail shrink that should put retailers on immediate alert.

Retail shrinkage, or a loss of inventory attributed to factors such as shoplifting, internal theft, user error, and more, totaled $61.7 billion in 2019, averaging 1.62 percent of sales. This was an increase from $50.6 billion in shrinkage in 2018.

A loss of inventory ultimately means a loss in profit. And shrinkage is believed to be higher than ever before because savvy criminals have been busy workshopping new, inventive ways to steal – and that was before the pandemic.

Retailers polled in the NRF survey attributed a great deal of retail shrinkage to cybercriminals, shoplifters, and organized gang activity. Of those surveyed, a majority reported the largest increase in fraud was believed to have occurred on-site, or in stores, with inside jobs and shoplifting apprehensions having increased, as well.

Amidst other measures, retailers reported they would be increasing budgets, and implementing more stringent technology, including surveillance cameras and wired alarms.

In the wake of the pandemic, full coverage surveillance will be more important than ever before, as businesses are just beginning to get back up on their feet. While it is difficult to quantify the Return on Investment, steps taken to bolster one’s security during the current restructuring process will likely pay for themselves many times over in short order.

Full coverage video surveillance will be a critical step toward eliminating retail shrinkage in the coming months. Meticulous coverage of high-risk and/or value areas, such as the cashier and check-out counters, is integral, and should be integrated with other systems, such as access controls.

Video surveillance is not only an effective control and deterrent against shoplifting and internal theft, but such measures can also provide retailers with myriad other benefits, such as protection against false accusations and liability claims from vengeful or disgruntled employees. They have also been proven to reduce sexual harassment and workplace violence concerns.

As the world continues to reopen, Secom will help you protect your business from every possible angle. We regularly integrate comprehensive video surveillance solutions with other systems, including access control, visitor entry systems, alarms, and so much more.

You have worked too hard to rebuild after a bewildering beginning to the year. Secom can help make certain you remain on the path to productivity, while significantly reducing the risk of burglary and employee fraud.

Call us at 240-374-1475 to learn more and be sure to ask about our in-house financing.