Interview • 28.05.2020

Creative criminal meets intelligent security system

Interview with Ralph Siegfried, Business Development Manager at Axis Communications GmbH

Mann im Anzug
Source: Axis

Stores come in different sizes, have different settings and vary in product selection. That’s also why they need a customized loss prevention and security solution. What are some options for retailers and what key elements do they need to consider when they make a selection?

iXtenso spoke to Ralph Siegfried about the requirements for effective theft prevention, technical capabilities and learned about the increasing importance of artificial intelligence.

Mr. Siegfried, how much does the retail industry lose thanks to burglary and theft?

Ralph Siegfried: According to the EHI study "Inventory Differences 2019", inventory shrinkage in the German retail sector totaled 4.3 billion euros in 2018. Study findings revealed that customer shoplifting amounted to 2.38 billion euros, while store employee theft is estimated at 1.01 billion euros. The study has also shown that suppliers and service staff helped themselves to goods worth nearly 350 million euros.

Companies annually invest about 1.45 billion euros in loss prevention and security solutions to deter theft and curb losses. Employee training is the first line of defense in this setting. Four out of five retailers also rely on video surveillance systems, which have seen many technological advancements and innovations in recent years.

What does a great security concept in brick-and-mortar stores look like?

Security cameras generally have a crime-deterrent effect in curtailing theft and vandalism – making this their key advantage. The mere presence of a video camera can affect criminal activity and nip it in the bud. Meanwhile, live video transmission to a security service is normally only beneficial if immediate intervention is an option. It simply takes too long if the security guard first has to travel to arrive at the crime scene. IP speakers at the store can be an effective tool for on-site intervention. Currently available solutions that smartly integrate video and audio to deter vandalism, burglary, and theft have shown that in 90 percent of cases, addressing the culprit directly via loudspeaker prompts him/her to abandon the criminal endeavor. 

Mann vor Kamera
Source: PantherMedia / Wavebreakmedia

Are some store areas and environments more difficult to monitor?

Each retail segment has its very own category of “most shoplifted items”. It is essential to keep a closer eye on these products. Axis analytics applications enable proactive surveillance: the system detects persons who loiter or linger too long in one area. The application automatically notifies the security staff or plays a message over the loudspeaker, announcing that a service staff member will arrive shortly for assistance. 

Cash registers, entrances, exits, and storage facilities are also critical areas where retail theft is being committed.

A multi-story department store in the city center or a small delicatessen store out in the country – when it comes to choosing the right security solution, what role do the size and location of stores play?

The size and location of a store play a major role because at the end of the day, there is no one-size-fits-all solution to protect your store.

The size of the store and the preferred coverage dictate the number of video cameras you should install. You must also include other high-theft zones outside the immediate sales area that must also be covered by the security solution. These include storage facilities, cash office, or delivery areas. In these cases, retailers have to decide on a case-by-case basis whether access control systems, entry alarms, or special analysis tools help with loss prevention.

The store location is especially important as it relates to the availability of security staff or guards. If the physical distance between the store and the responsible security team is too great, retailers can use automated systems or IP speakers instead to remotely address the situation.

Does a modern security concept still need the “human factor”, meaning an on-site security guard, or are all aspects fully automated at this point?

Depending on the store location and the number of customers, on-site security guards are still an important part of retail stores if they can monitor and immediately respond to live events and thus prevent theft or vandalism.

Apart from that, you always need at least one person to analyze the video material, whether this happens live or retrospectively. A well-trained staff that handles maintenance, repairs, and updates of the system is likewise vital to a properly functioning and effective security concept. A modern system must stay up-to-date to ensure cybersecurity.

When it comes to the EU-GDPR (General Data Protection Regulation), what is important for retailers to consider in terms of store surveillance?

In order for an in-store video surveillance system to be considered GDPR-compliant, we recommend using intelligent software applications. An example would be analytics software that masks people in real-time in video streams at up to full frame rate. This prevents partially blacked out or distorted images. By default, the analytics software applies dynamic masking to areas of change in the camera's entire field of view. This allows retailers to analyze certain activities, such as customers placing objects on the conveyer belt at the checkout or the line at the cash register, without collecting personal data.

Looking to the future, how will security technology change in the next 10 years?

AI-based analytics software will make video surveillance systems much more effective in the future, both as it pertains to prevention and incident processing. Today, these applications still require special hardware or are only available as cloud-based security solutions but we can soon expect to see far more flexibility.

Interview: Sonja Koller

related articles:

popular articles:

Thumbnail-Photo: WirvonHier – Virtual strolling through retailers from the neighborhood...
02.04.2020   #brick and mortar retail #mobile shopping

WirvonHier – Virtual strolling through retailers from the neighborhood

How an app brings local retailers and customers together contactless

Many retailers have had to close their shops due to the Corona crisis. But this does not mean that as a result the connection to the customer has to suffer. The WirVonHier project shows how to reach customers and moreover connect with their needs ...

Thumbnail-Photo: Simple tips and tricks to start your online business...
20.05.2020   #online trading #retail

Simple tips and tricks to start your online business

How to start an e-commerce business: Why you don’t always need a big online store

Creating your own online store is still the most popular way to sell products online. To start an e-commerce business, you first need a store setup and a fulfillment service provider who handles the warehousing, packaging, and shipment of ...

Thumbnail-Photo: Shop NEXT 2020
31.03.2020   #online trading #brick and mortar retail

Shop NEXT 2020

Next shopping experience

Due to the retail industry in Southeast Asia is developing rapidly and the retail industry value has exceeded 100 billion dollars. Over 250 exhibitors and 10,000 visitors from 30 countries or regions are expected to participate in Shop Next ...

Thumbnail-Photo: Bright future for Copenhagen-based Irma Store...
15.06.2020   #electronic shelf labels (ESL) #price labelling

Bright future for Copenhagen-based Irma Store

Automatic price updates with ESL

Irma Smedetoften is located in the heart of Copenhagen's Northwest Quarter. The area around the Irma store is part of an urban development project where, among other things, the local trade district will be strengthened. Irma has also recently ...

Thumbnail-Photo: POS TUNING tuned its pushfeed system
02.07.2020   #product presentation #product classification systems

POS TUNING tuned its pushfeed system

The supplier optimizes the compartment systems C60 and C90

Never change a running system?Who doesn't know this saying? Changing something well-tried always has something to do with risk. The danger that something suddenly doesn't run as well as before is always there. But standstill has never ...

Thumbnail-Photo: Europe to dominate open banking implementation...
26.05.2020   #mobile payment #payment systems

Europe to dominate open banking implementation

Instant messaging users to reach 4.3 billion in 2020, as new payment services emerge

A new study from Juniper Research found that the number of instant messaging users will reach 4.3 billion in 2020, rising from 3.9 billion in 2019. This is a growth of 9 percent year-on-year, largely driven by an increased need for remote ...

Thumbnail-Photo: Automated delivery services sprang up during China’s Covid-19 lockdown...
03.06.2020   #coronavirus #delivery

Automated delivery services sprang up during China’s Covid-19 lockdown

Retail technologies at Smart Retail Expo (SRE 2020)

In response to the Covid-19 outbreak, China’s retail giants JD.com and Meituan both deployed their smart deliver robots/vehicles in heavily locked down cities, such as Wuhan and Beijing. Insiders believe automated delivery technology will be ...

Thumbnail-Photo: Reflexis successfully expands into Baltic region by signing Maxima Latvia...
08.07.2020   #POS communications #workforce deployment

Reflexis successfully expands into Baltic region by signing Maxima Latvia

Region’s leading retail chain chooses workforce management solution

Reflexis Systems, the leading provider of intelligent workforce management and execution solutions for multi-site businesses in retail, food service, hospitality and banking, today announced that Maxima, one of the largest Latvian retail chains, has ...

Thumbnail-Photo: CCV announces consolidation of its international payment division,...
02.07.2020   #mobile payment #payment systems

CCV announces consolidation of its international payment division, focuses on market innovations

Under the flagship of CCV GmbH, the company plans to bring its innovation into specific international markets

CCV Group B.V. has announced that all of its international business activities will now be consolidated and run within its Germany-based division - CCV GmbH. CCV GmbH will carry out the activities of the former CCV Deutschland GmbH and CCV Easy, a ...

Thumbnail-Photo: All hands on deck in food retailing due to the coronavirus pandemic...
15.04.2020   #online trading #e-commerce

All hands on deck in food retailing due to the coronavirus pandemic

How online retailers and delivery services are reacting to changing user behaviour

For a long time, online food retailing was the problem child for German e-commerce. In many other countries, order rates for food were consistently higher than in Germany. Various initiatives by bricks-and-mortar German food retailers to enter the ...

Supplier

Apostore GmbH
Apostore GmbH
Uferstraße 10
45881 Gelsenkirchen
Poindus HQ - Taiwan
Poindus HQ - Taiwan
5F., No.59, Ln. 77, Xing-Ai Rd.,Neihu Dist.
Taipei City 114
CCV GmbH
CCV GmbH
Gewerbering 1
84072 Au i.d.Hallertau
POS TUNING Udo Voßhenrich GmbH & Co KG
POS TUNING Udo Voßhenrich GmbH & Co KG
Am Zubringer 8
32107 Bad Salzuflen
Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
Reflexis Systems GmbH
Reflexis Systems GmbH
Kokkolastr. 5-7
40882 Ratingen