by Rebecca Walker — November 24, 2010—Professor Joshua Bamfield, executive director of the Centre for Retail Research, who authored the 2010 Global Retail Theft Barometer, estimated that U.S. retailers will lose $2.77 billion to theft this holiday season (mid-November through end of December).
And, because of the increased crowds during these weeks, it’s increasingly difficult for loss prevention professionals to spot thieves. That’s why relying on strong procedures and security systems are increasingly important. Everything from electronic tagging and video surveillance systems should be used to prevent theft, as well as data mining systems, which are important to keep tabs on employees, many of whom are hired just for the holiday season.
Growth in internal theft is one of the biggest problems retailers face during the holidays. “It’s difficult to get a hold of employees this time of year,” Bamfield said. “Retailers are glad for anyone they can get.” Because retailers are rather desperate to staff their stores they often do not follow standard training procedures. But, it’s still important to run background checks, for example, especially as retailers are seeing a rise in gang thefts associated with employees. Bamfield said there has been a rise in employees stealing customers’ credit card and personal information during transactions and either immediately using the information to make fraudulent purchases or selling the information to a third party.
For more information, see the Centre for Retail Research.
