Inventory shrinkage is a cause of heavy losses at the retail shop, and 50% of these are thefts. Data indicate that in recent years the total financial cost of losses in the Retail and GDO sector (given by the sum of retail shrinkage and expenses in security measures on turnover) averages 2.01% of turnover.
Among theft incidents, one of the fastest methods is the removal of anti-theft devices, followed by the concealment of articles inside bags or backpacks and then, the simplest, the grab and run.
The main benefits of implementing prevention strategies are:
– cost reduction,
– efficiency improvement,
– improved shopping experience,
– increased sales,
– greater competitiveness
In terms of costs, it is important to know that the average total economic cost of losses in the Retail and GDO sector is about EUR 4.97 billion, or about EUR 84 per head for each Italian citizen. This is an increase compared to the figure estimated in previous studies (this value changes very significantly depending on the product sectors considered).
Among the proposals that retailers should implement, with the aim of reducing one of the causes of shrinkage, is to offer the end customer various tools to use during their shopping: hand baskets of various capacities, basket systems and smaller shopping trolleys.