Company News • 14.07.2015

National Retail Security Survey has been released

Retailers estimate shoplifting and fraud cost $44 billion in 2014

Retail loss prevention professionals have one of the hardest jobs in the...
"Retail loss prevention professionals have one of the hardest jobs in the industry" says NRF President and CEO Matthew Shay.
Source: National Retail Federation

A new study being released from NRF PROTECT, the industry’s largest retail loss prevention event, finds that retailers lose billions of dollars to shoplifting, employee and vendor theft and administrative error – collectively known as inventory shrink.

According to the National Retail Federation/University of Florida National Retail Security Survey, retailers say inventory shrink averaged 1.38 percent of retail sales, or $44 billion, in 2014.* The report was sponsored by The Retail Equation.

Specifically, retailers surveyed estimate that shoplifting accounted for the largest part of reported shrink in 2014 – 38 percent, followed by employee/internal theft (34.5%), administrative and paperwork errors (16.5%), vendor fraud or error (6.8%) and unknown loss (6.1%). 

“Retail loss prevention professionals have one of the hardest jobs in the industry – protecting their customers, employees and merchandise from the threat of harm and fraud, and the results of this survey prove the enormity of their task,” said NRF President and CEO Matthew Shay. “Retailers will continue to review best practices and work to better educate decision makers in Washington about the burdens these crimes place on consumers, retail companies, their employees and the economy.”

“A common misperception about shoplifting is that retailers can ‘afford’ the loss of a candy bar or a pair of jeans, but the truth is that the industry loses billions of dollars each year at the hands of callous criminals that could be put towards human capital, promotions and other necessary business operations,” said NRF Vice President of Loss Prevention Bob Moraca. “Though we are encouraged by the partnerships forged with law enforcement over the years and advances in technology that will help deter a crime before it happens, criminals continue to thwart much of the progress retailers have made thus far.”

When it comes to loss prevention budgets, 39.4 percent of those surveyed say their budget for 2015 increased over last year; just over one-third (36.6%) said their budgets would be similar to what they were last year – leaving 23.9 percent of respondents with decreased resources.

Dr. Richard Hollinger, criminology professor at the University of Florida and lead author of the NRSS for the past 24 years, notes this year’s shrink percentage is the lowest seen in the survey’s history. “Loss prevention professionals have done a commendable job of elevating the issue of shrink and retail fraud within their own companies and with industry insiders and the public, but the battle wages on to find ways to contain further losses to their businesses,” said Hollinger. “As retail issues like shrink and security become more complex, retailers should continue to work together as an industry to ensure continued partnerships, with the end goal of finding the most effective asset protection solutions possible.”

Source: National Retail Federation

related articles:

popular articles:

Thumbnail-Photo: POS in the cloud: the networked checkout
13.09.2019   #epos software #digitization

POS in the cloud: the networked checkout

On the possibilities for a cloud-based point-of-sale-system

Everyone is talking about smart industry-specific cloud solutions. The cloud also offers the retail sector fresh possibilities for its day-to-day operations. So, it's no surprise that more and more companies are installing point-of-sale software ...

Thumbnail-Photo: App creates personalised shopping experience...
26.08.2019   #mobile payment #app

App creates personalised shopping experience

The Swiss trading company Valora is opening its first cashless convenience store

The goods are chosen, scanned and paid for using the avec smartphone app. Mobile computer vision specialists Scandit’s scan engine is a key component of the customer-facing app. The future of shopping - whether online or offline - is ...

Thumbnail-Photo: Retail analytics: Breaking down data silos and improving operational...
29.07.2019   #data management #data analysis

Retail analytics: Breaking down data silos and improving operational efficiency

How comprehensive data usage led to higher revenue at Heine

“As a business with heritage in mail order, we used to have access to detailed reports about product performance in our catalogues. Once our digital presence grew, we had very limited information available that combined the KPIs for both our ...

Thumbnail-Photo: Nominate your company for the E-commerce Germany Awards 2020!...
21.11.2019   #online trading #e-commerce

Nominate your company for the E-commerce Germany Awards 2020!

Award ceremony as part of E-Commerce Berlin Expo

The E-commerce Germany Awards are officially accepting submissions as of the 4th  November, 2019. Companies within the e-commerce sector are able to apply to one of the ten categories. The annual awards are given out for the third time in ...

Thumbnail-Photo: New year brings new regulations
13.09.2019   #data management #receipt printer

New year brings new regulations

What are the big changes for German point of sales systems come 2020?

Big changes are coming to Germany’s point of sale systems starting January 1, 2020. Two terms that are tossed around in this connection are "Belegausgabepflicht" (Receipt Provision Ordinance) and ...

Thumbnail-Photo: Silver Surfers: Older adults ride the wave of mobile technology and shop...
01.08.2019   #online trading #e-commerce

Silver Surfers: Older adults ride the wave of mobile technology and shop online

The increasing importance of e-commerce for senior citizens

You are wrong if you think it’s mostly young people who spend time online. Older adults are also increasingly embracing online shopping with enthusiasm.In this interview, Spencer Hinzen, Director of Sales, Central Region, Ruckus Networks, ...

Thumbnail-Photo: drs//POS – The POS system for many check-out situations...
13.09.2019   #pos systems #cashpoints

drs//POS – The POS system for many check-out situations

With the POS system developed by Superdata you are put in the picture

The POS acts as an ear in the store. It affects how timely, and with what information, decision makers at the head office are in a position to assess developments in the store and are able to respond appropriately to the situation.With our POS ...

Thumbnail-Photo: Mobile payments at the supermarket checkout
05.08.2019   #mobile payment #smartphone

Mobile payments at the supermarket checkout

An early adopter’s experience of mobile payments

Or: "What’s that you’re doing with your watch?“I still remember the first time I used mobile payment technology and paid for items with my smartphone at a supermarket checkout: It was October 17, 2018, exactly seven days after ...

Thumbnail-Photo: “Money left on the table”
19.11.2019   #customer satisfaction #customer analysis

“Money left on the table”

Mark Thomson from Zebra explains why stock management is essential for retailers

Zebra Technologies Corporation did a study on attitudes of shoppers and their buying behavior. It shows that more than half of Generation X shoppers shopped in a store and left without a purchase only to end up purchasing the item ...

Thumbnail-Photo: Retail Asia Conference & Expo (RACE)
07.10.2019   #online trading #retail

Retail Asia Conference & Expo (RACE)

As the leading retail exhibition in Asia, RACE is taken place from 6 – 8 May 2020.

As the leading retail exhibition in Asia, RACE is recognised as the must-join event among the industry’s most influential retailers and customers. RACE features three focus areas: Retail technology, retail design & in-store marketing ...

Supplier

Superdata GmbH
Superdata GmbH
Ruhrstr. 90
22761 Hamburg
iXtenso - Magazin für den Einzelhandel
iXtenso - Magazin für den Einzelhandel
Celsiusstraße 43
53125 Bonn
Permaplay Media Solutions GmbH
Permaplay Media Solutions GmbH
Aschmattstr. 8
76532 Baden-Baden
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven
Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen