Organized Retail Crime

Organized Retail Crime (ORC) is a growing concern in the Canadian retail market.  It is estimated that organized retail crime costs Canadians about $5 billion a year.

ORC goes beyond a shoplifter stealing a pack of gum.  It typically involves groups of people working together to distract sale associates and watch for police / security and steal.  Some of the techniques employed are complicated and some are simple, but some of these groups are stealing merchandise amounting to $5000 a day.  In fact, one known Lower Mainland shoplifting group was recently reported to have stolen $1500 worth of merchandise from a single retailer in a matter of minutes.

Read more about Organized Retail Crime and how you can protect yourself in the Sept-Oct 2006 edition of Canadian Retailer.

DOING YOUR PART
Experts have developed the following loss prevention strategies for retailers looking to combat the growing organized retail crime epidemic:

1. Research items that are known to be targets of organized retail crime rings such as designer jeans, electronics and shaving products. Use this knowledge to protect the items with increased surveillance coverage, state-of-the-art electronic tagging and greater staff awareness.
    
2. Perform monthly, sometimes weekly, item movement reports. By tracking what is in their store, retailers will have a better picture of what has been sold and what is on their shelves.
    
3. Educate employees on what to look for and what to do. Look for the car parked by the front door or for the two or three customers in the store talking on cell phones, who appear to be talking to each other. Adopt the philosophy that security is a shared responsibility, so every single employee, agent and contractor that deals with the retailer has the ultimate responsibility of ensuring security.
    
4. Get technical. Deploy a well-designed, well-installed and well-monitored security system, including video surveillance system, electronic tagging, access control and intrusion detection.
    
5. Establish a good relationship with local law enforcement agencies. Inform police of incidents that have occurred at your store(s). The sharing of information with police and other retailers will go a long way in curbing the problem.
    
6. Lobby for tougher laws and sentences for people found guilty of organized retail crimes.
    
7. Strive to offer greater customer service. Everybody who commits a crime has a fear of detection, therefore an alert salesperson that approaches, acknowledges and assists customers is going to prevent losses.
    
8. Know what is being stolen. Retailers must be aware of where their losses are occurring. Merchandise that is known to be a target should be placed in locations within the store that are visible to both staff and customers.