Alpha Security-5 WC Blog 325
Prevent Shoplifting-4
Retail Anti-Theft Devices-3
Risk Or Reward; Shoplifters Avoid Shoplifting When They See Alpha Security Products
I started out this article with the intent of writing about the problem of Organized Retail Crime and how to deter them from stealing razor blades and other pegged merchandise that tend to be high theft. That was my intent. In preparation for my posting, I came across an interesting article from the University of Florida, UF News, “The Science of Stealing”, by Alisson Clark, February 16, 2016. In the article they discuss shoplifter behaviors and how to prevent shoplifting. The co-director of the Loss Prevention Research Team, Read Hayes, points out that there are three ways to stop theft; “One way is to make stealing an item too difficult. If you’ve bought razor blades and had to twist a knob to extract them from a plastic tube, you’ve experienced this approach firsthand. Another tactic is to make stealing too risky, perhaps sending a signal when an item is removed from the shelf or package. It could be a loud noise or even a photo that goes to store staff. The third type of deterrent renders items useless or undesirable – think of those tags designed splatter ink on stolen clothing.” (sic). I agree with Mr. Hayes on the tactic of making theft risky and I immediately thought of Alpha Security retail anti-theft devices. Retailers have to make the risk of theft outweigh any benefit a criminal sees in trying to steal.
What is it about the article that caused me to think of Alpha Security products? Alpha’s products come in 2 and 3 alarm styles. The 2 alarm style emits a loud noise, as described by Mr. Hayes, when the device is tampered with by a thief. They are also built with radio frequency (rf) technology that can be picked up by electronic article surveillance (EAS) towers and activate those alarms. Most people have at least heard this loud beeping sound at the front doors of a store at one time or another. 3 alarm models have the added benefit of an alarm in the tag that activates if a criminal gets out the door so the crook doesn’t “blend” into the crowd. Where they go, the alarm follows. When it comes to clothing, if an Alpha Security hard tag is forcibly removed from a garment it is going to damage the item it is attached to. In some form or fashion the tag is going to tear or rip a hole in the merchandise, rendering it useless to the perpetrator.
Another point in the article I agreed with was that Mr. Hayes states that none of the three options are effective to prevent shoplifting if the criminal, ”… doesn’t understand what they are.” The writer says Mr. Hayes has a “… theory of See-Get-Fear”. “Criminals have to first see the deterrent, understand what it does, and fear that it will work well enough to land them in jail.” No argument from me. I would point out that some in Loss Prevention feel that tags should be hidden rather than out in the open. I would say hiding a second retail anti-theft device on an item to prevent shoplifting is appropriate in some instances, but not all. I used to hide a second soft label inside a leather coat pocket or an expensive handbag. This was always an exception. I believe the deterrent value of the tag is first in its visibility to shoppers. I also think that there is deterrent value in EAS pedestals at the entrances to stores. Would-be shoplifters immediately see there are security protections in place as soon as they walk in the store.
The only argument I had to the article was towards the end when the writer states, “Deterrents like this don’t just make buying razor blades a little more painful. They also help slow the billions lost to theft and fraud each year…” referring to two razor blade displays that were tested in a contest by twenty criminals to see which was the most difficult to defeat. Locking cases, or “twist/turn/lift” displays may impede shoplifters more than some other retail anti-theft devices but they also have a negative impact on sales. Customers don’t want to fight a display case or wait on help to get a product. They tend to get turned off and not make the purchase or leave. Alpha Security devices give the deterrent protection Mr. Hayes referred to while allowing freedom of shopping for the consumer.
Prevent shoplifting of razor blades and other high theft products by Organized Retail Crime groups and other thieves. Alpha Security products can deter theft and improve profitability for your store.
Get more information on Alpha Security, contact us or call 1.770.426.0547 today.
I started out this article with the intent of writing about the problem of Organized Retail Crime and how to deter them from stealing razor blades and other pegged merchandise that tend to be high theft. That was my intent. In preparation for my posting, I came across an interesting article from the University of Florida, UF News, “The Science of Stealing”, by Alisson Clark, February 16, 2016. In the article they discuss shoplifter behaviors and how to prevent shoplifting. The co-director of the Loss Prevention Research Team, Read Hayes, points out that there are three ways to stop theft; “One way is to make stealing an item too difficult. If you’ve bought razor blades and had to twist a knob to extract them from a plastic tube, you’ve experienced this approach firsthand. Another tactic is to make stealing too risky, perhaps sending a signal when an item is removed from the shelf or package. It could be a loud noise or even a photo that goes to store staff. The third type of deterrent renders items useless or undesirable – think of those tags designed splatter ink on stolen clothing.” (sic). I agree with Mr. Hayes on the tactic of making theft risky and I immediately thought of Alpha Security retail anti-theft devices. Retailers have to make the risk of theft outweigh any benefit a criminal sees in trying to steal.
What is it about the article that caused me to think of Alpha Security products? Alpha’s products come in 2 and 3 alarm styles. The 2 alarm style emits a loud noise, as described by Mr. Hayes, when the device is tampered with by a thief. They are also built with radio frequency (rf) technology that can be picked up by electronic article surveillance (EAS) towers and activate those alarms. Most people have at least heard this loud beeping sound at the front doors of a store at one time or another. 3 alarm models have the added benefit of an alarm in the tag that activates if a criminal gets out the door so the crook doesn’t “blend” into the crowd. Where they go, the alarm follows. When it comes to clothing, if an Alpha Security hard tag is forcibly removed from a garment it is going to damage the item it is attached to. In some form or fashion the tag is going to tear or rip a hole in the merchandise, rendering it useless to the perpetrator.
Another point in the article I agreed with was that Mr. Hayes states that none of the three options are effective to prevent shoplifting if the criminal, ”… doesn’t understand what they are.” The writer says Mr. Hayes has a “… theory of See-Get-Fear”. “Criminals have to first see the deterrent, understand what it does, and fear that it will work well enough to land them in jail.” No argument from me. I would point out that some in Loss Prevention feel that tags should be hidden rather than out in the open. I would say hiding a second retail anti-theft device on an item to prevent shoplifting is appropriate in some instances, but not all. I used to hide a second soft label inside a leather coat pocket or an expensive handbag. This was always an exception. I believe the deterrent value of the tag is first in its visibility to shoppers. I also think that there is deterrent value in EAS pedestals at the entrances to stores. Would-be shoplifters immediately see there are security protections in place as soon as they walk in the store.
The only argument I had to the article was towards the end when the writer states, “Deterrents like this don’t just make buying razor blades a little more painful. They also help slow the billions lost to theft and fraud each year…” referring to two razor blade displays that were tested in a contest by twenty criminals to see which was the most difficult to defeat. Locking cases, or “twist/turn/lift” displays may impede shoplifters more than some other retail anti-theft devices but they also have a negative impact on sales. Customers don’t want to fight a display case or wait on help to get a product. They tend to get turned off and not make the purchase or leave. Alpha Security devices give the deterrent protection Mr. Hayes referred to while allowing freedom of shopping for the consumer.
Prevent shoplifting of razor blades and other high theft products by Organized Retail Crime groups and other thieves. Alpha Security products can deter theft and improve profitability for your store.
Get more information on Alpha Security, contact us or call 1.770.426.0547 today.
Retail theft prevention-3 WC Blog 321
Checkpoint Security System-3
Stop shoplifting-3
A Checkpoint Security System May Be Able To Prevent A Store From Closing
I have been monitoring recent news stories on retailers which are closing doors on many of their stores. The most recent headliner is J.C. Penney announcing a closing of 138 stores. According to a report on CNBC.com, the CEO, Marvin Ellison stated, “We believe closing stores will allow us to adjust our business to effectively compete against the growing threat of online retailers.” In a Jan. 5, 2017 report on money.cnn.com, by Paul R. La Monica, the site reported the closing of 109 K Mart stores and 41 Sears Outlets. “Sears CEO Eddie Lampert said in a statement that the company was “taking strong, decisive actions…to stabilize the company and improve our financial flexibility in what remains a challenging retail environment.” Both stories referenced the challenge posed by online retailers, especially noting Amazon. Kohl’s and Macey’s are two other major stores that have recently announced the closing of significant numbers of stores. When I began researching information on the causes of retailers closing their doors I was surprised at the lack of finger pointing at merchandise shortage or mentioning the need to stop shoplifting or prevent employee theft. The closest I could find was in a CNBC article which cited as one of 11 common reasons small businesses fail is due to “disgruntled employees”. The article references a 2013 Gallup Poll, “70 percent of American workers are either not engaged at work, or are actively disengaged to the point of trying to subvert the work of colleagues.” http://www.cnbc.com/2014/07/30/11-all-too-common-reasons-small-businesses-fail.html?slide=12 I would like to suggest that what all the articles I reviewed fail to recognize is the impact that theft has on business closings. If retail theft prevention is not a part of a business plan, there is a good chance a store will not be able to remain profitable.
The impact of retail theft prevention cannot be underestimated. According to the 2015 Global Retail Theft Barometer Shrinkage among U.S retailers was 36.79 billion dollars (2015 GRTB pg. 50). Broken down, 45% of this shortage was due to dishonest employee theft and 36% due to shoplifting (2015 GRTB pg. 53). According to the same report, many retailers had decreased spending on Retail Loss Prevention and shortage increased. The use of a Checkpoint security system including the pedestals, labels and tags and deactivation tools can improve shortage results and profitability for stores. Unfortunately, many stores that already have systems sometimes choose to reduce the number of sku’s to protect or increase the price points of the items they will tag in an effort to reduce cost. The idea behind this is to purchase fewer labels or spend less on hard tags. The unexpected consequences are increased shortage.
I pointed out that most of the analysis I am reading on store closings seems to blame online retailers and also closing less profitable stores to focus on those that are succeeding. But I would like to point out an article specifically on JC Penney and electronic article surveillance from Dec 3, 2013, from scdigest.com, “RFID News: JC Penney’s Sudden Retreat from RFID Led to Rash of Store Thefts”. The SCDigest editorial staff writes, “…the struggling department store chain said last week that a botched transition to RFID over traditional Electronic Article Surveillance (EAS) technology allowed thieves to run relatively wild in Q3 and probably earlier.” They continue, “With sales of $2.78 billion in the quarter, the percentage drop in margin cost Penney about $28 million in lost profits…”. http://www.scdigest.com/ontarget/13-12-03-1.php?cid=7637&ctype=content I am not familiar with the EAS system JC Penney’s used and I would emphasize I am not suggesting a Checkpoint security system would save the stores that are on the chopping block. What I am willing to say is the article does seem to support my point that anti-shoplifting measures do stop shoplifting as well as internal theft and thereby saves businesses significant amounts of money.
Retail theft prevention using a Checkpoint security system can stop shoplifting and reduce internal crime in your store. Merchandise theft cannot be sustained for long without causing significant impact to the profit line of the store. Install a Checkpoint system and see how much you can improve your bottom line.
Get more information on a Checkpoint security system, contact us or call 1.770.426.0547 today.
I have been monitoring recent news stories on retailers which are closing doors on many of their stores. The most recent headliner is J.C. Penney announcing a closing of 138 stores. According to a report on CNBC.com, the CEO, Marvin Ellison stated, “We believe closing stores will allow us to adjust our business to effectively compete against the growing threat of online retailers.” In a Jan. 5, 2017 report on money.cnn.com, by Paul R. La Monica, the site reported the closing of 109 K Mart stores and 41 Sears Outlets. “Sears CEO Eddie Lampert said in a statement that the company was “taking strong, decisive actions…to stabilize the company and improve our financial flexibility in what remains a challenging retail environment.” Both stories referenced the challenge posed by online retailers, especially noting Amazon. Kohl’s and Macey’s are two other major stores that have recently announced the closing of significant numbers of stores. When I began researching information on the causes of retailers closing their doors I was surprised at the lack of finger pointing at merchandise shortage or mentioning the need to stop shoplifting or prevent employee theft. The closest I could find was in a CNBC article which cited as one of 11 common reasons small businesses fail is due to “disgruntled employees”. The article references a 2013 Gallup Poll, “70 percent of American workers are either not engaged at work, or are actively disengaged to the point of trying to subvert the work of colleagues.” http://www.cnbc.com/2014/07/30/11-all-too-common-reasons-small-businesses-fail.html?slide=12 I would like to suggest that what all the articles I reviewed fail to recognize is the impact that theft has on business closings. If retail theft prevention is not a part of a business plan, there is a good chance a store will not be able to remain profitable.
The impact of retail theft prevention cannot be underestimated. According to the 2015 Global Retail Theft Barometer Shrinkage among U.S retailers was 36.79 billion dollars (2015 GRTB pg. 50). Broken down, 45% of this shortage was due to dishonest employee theft and 36% due to shoplifting (2015 GRTB pg. 53). According to the same report, many retailers had decreased spending on Retail Loss Prevention and shortage increased. The use of a Checkpoint security system including the pedestals, labels and tags and deactivation tools can improve shortage results and profitability for stores. Unfortunately, many stores that already have systems sometimes choose to reduce the number of sku’s to protect or increase the price points of the items they will tag in an effort to reduce cost. The idea behind this is to purchase fewer labels or spend less on hard tags. The unexpected consequences are increased shortage.
I pointed out that most of the analysis I am reading on store closings seems to blame online retailers and also closing less profitable stores to focus on those that are succeeding. But I would like to point out an article specifically on JC Penney and electronic article surveillance from Dec 3, 2013, from scdigest.com, “RFID News: JC Penney’s Sudden Retreat from RFID Led to Rash of Store Thefts”. The SCDigest editorial staff writes, “…the struggling department store chain said last week that a botched transition to RFID over traditional Electronic Article Surveillance (EAS) technology allowed thieves to run relatively wild in Q3 and probably earlier.” They continue, “With sales of $2.78 billion in the quarter, the percentage drop in margin cost Penney about $28 million in lost profits…”. http://www.scdigest.com/ontarget/13-12-03-1.php?cid=7637&ctype=content I am not familiar with the EAS system JC Penney’s used and I would emphasize I am not suggesting a Checkpoint security system would save the stores that are on the chopping block. What I am willing to say is the article does seem to support my point that anti-shoplifting measures do stop shoplifting as well as internal theft and thereby saves businesses significant amounts of money.
Retail theft prevention using a Checkpoint security system can stop shoplifting and reduce internal crime in your store. Merchandise theft cannot be sustained for long without causing significant impact to the profit line of the store. Install a Checkpoint system and see how much you can improve your bottom line.
Get more information on a Checkpoint security system, contact us or call 1.770.426.0547 today.
Prevent Shoplifting-3 WC Blog 252
Retail anti-theft devices-4
Protect CDs-3
Alpha Keeper-5
How Alpha Keepers Could Have Prevented Compact Disc Chaos And A Shoplifter’s Tell-Tale Trail Of Evidence
I have had odd experiences during my years as a Loss Prevention Manager, but one that sticks out clearly in my mind was a shoplifter who decided to steal a couple of compact discs from the store. At that time we used retail anti-theft devices to prevent shoplifting, but these were only plastic sleeves that surrounded the outside of the CD. The protection was not all that great but it was the best we had at the time. In this particular case, the better option would have been to use Alpha Keepers to protect CDs if we had them, unfortunately we did not and I will detail the reason why it would have been desirable shortly.
What are Alpha Keepers and how can they protect CDs? A Keeper is basically a heavy duty, clear box with a locking lid. The box has built in electronic article surveillance (EAS) protection that emits a radio frequency signal that activates an EAS antenna alarm if bought into the detection field of the antenna. When that happens the antenna activates audible and visual alarms, usually flashing LED lights and a piercing, noisy alert that lets employees respond to the activation. Alpha Keepers also have a built in tamper alarm that sounds when someone attempts to open the box without the proper detachment key. The great thing about these Keepers is they are see-through so a customer can see the information on the CD they are interested in without having to request an associate to take it out of a showcase. They prevent shoplifting because the criminal can’t get to the merchandise without activating an alarm at some point. As far as retail anti-theft devices go, they are superb because they allow a merchant to display merchandise that customers can pick up, look at, carry and purchase when they are ready. There is no additional help needed for unlocking displays or lock up cases, all removal of merchandise takes place at the point of sale.
Not having access to these cases led to my adventure with the shoplifter I was telling you about. The shoplifter had been working on stealing for a few minutes before I got on his trail. I was walking through the store and noticed some drops of blood on the tile floor. I started following the trail and came to the household section where we sold kitchen knives. I tracked the blood further and went through a number of departments looking for the source. When I got to our bath section, I found that there was an increased amount of blood and then I noticed some of our towels were bloody and part of a cut plastic CD sleeve. It didn’t take long to hear my would-be criminal muttering a few aisles away. I located the thief and began observing him from an endcap. Sure enough, he pulled out something that appeared to be a kitchen knife and continued to try cutting away at that retail anti-theft device to get to the merchandise. I had to give him credit, he wouldn’t give up. My concern turned to my safety as well as the suspect’s safety (and the fact he was bleeding all over our store and towels). I wasn’t eager to stop someone with a knife, on the other hand the more I watched the suspect the more I could tell he was intoxicated and could potentially hurt himself seriously. Fortunately the suspect got the one CD out of the anti-theft device and concealed it and put the knife on the shelf with the other CD and then walked to the front of the store where I was able to apprehend him.
I tell this story because I know how well Alpha Keepers work and how they can protect CD’s and prevent shoplifting. I have seen alternative retail anti-theft devices that were not as effective and I am convinced that any retailer that invests in Keepers will decrease the theft in this department dramatically and significantly improve profits. When merchandise isn’t stolen, it is available for the honest customers to buy. Check out Alpha Keepers and see how they can help your store immediately.
Need information on Alpha Keepers? Give us a call at 1.770.426.0547 now.
I have had odd experiences during my years as a Loss Prevention Manager, but one that sticks out clearly in my mind was a shoplifter who decided to steal a couple of compact discs from the store. At that time we used retail anti-theft devices to prevent shoplifting, but these were only plastic sleeves that surrounded the outside of the CD. The protection was not all that great but it was the best we had at the time. In this particular case, the better option would have been to use Alpha Keepers to protect CDs if we had them, unfortunately we did not and I will detail the reason why it would have been desirable shortly.
What are Alpha Keepers and how can they protect CDs? A Keeper is basically a heavy duty, clear box with a locking lid. The box has built in electronic article surveillance (EAS) protection that emits a radio frequency signal that activates an EAS antenna alarm if bought into the detection field of the antenna. When that happens the antenna activates audible and visual alarms, usually flashing LED lights and a piercing, noisy alert that lets employees respond to the activation. Alpha Keepers also have a built in tamper alarm that sounds when someone attempts to open the box without the proper detachment key. The great thing about these Keepers is they are see-through so a customer can see the information on the CD they are interested in without having to request an associate to take it out of a showcase. They prevent shoplifting because the criminal can’t get to the merchandise without activating an alarm at some point. As far as retail anti-theft devices go, they are superb because they allow a merchant to display merchandise that customers can pick up, look at, carry and purchase when they are ready. There is no additional help needed for unlocking displays or lock up cases, all removal of merchandise takes place at the point of sale.
Not having access to these cases led to my adventure with the shoplifter I was telling you about. The shoplifter had been working on stealing for a few minutes before I got on his trail. I was walking through the store and noticed some drops of blood on the tile floor. I started following the trail and came to the household section where we sold kitchen knives. I tracked the blood further and went through a number of departments looking for the source. When I got to our bath section, I found that there was an increased amount of blood and then I noticed some of our towels were bloody and part of a cut plastic CD sleeve. It didn’t take long to hear my would-be criminal muttering a few aisles away. I located the thief and began observing him from an endcap. Sure enough, he pulled out something that appeared to be a kitchen knife and continued to try cutting away at that retail anti-theft device to get to the merchandise. I had to give him credit, he wouldn’t give up. My concern turned to my safety as well as the suspect’s safety (and the fact he was bleeding all over our store and towels). I wasn’t eager to stop someone with a knife, on the other hand the more I watched the suspect the more I could tell he was intoxicated and could potentially hurt himself seriously. Fortunately the suspect got the one CD out of the anti-theft device and concealed it and put the knife on the shelf with the other CD and then walked to the front of the store where I was able to apprehend him.
I tell this story because I know how well Alpha Keepers work and how they can protect CD’s and prevent shoplifting. I have seen alternative retail anti-theft devices that were not as effective and I am convinced that any retailer that invests in Keepers will decrease the theft in this department dramatically and significantly improve profits. When merchandise isn’t stolen, it is available for the honest customers to buy. Check out Alpha Keepers and see how they can help your store immediately.
Need information on Alpha Keepers? Give us a call at 1.770.426.0547 now.
Alpha Shark Tags- 5 WC Blog 262
Wardrobing-5
Wardrobing Tags-3
Return Fraud-4
Are Ineffective Return Policies Leaving Your Store Vulnerable To Return Fraud? Alpha Shark Tags Are The Answer To Your Problem
I was shocked when I recently read an article online in marketwatch.com stating that, “Returns account for an estimated 4.4% of $14.5 trillion in global retail sales, IHL said.” (IHL/Order Dynamics, my notation). http://www.marketwatch.com/story/consumers-return-6426-billion-in-goods-each-year-2015-06-18 The article goes on to say that, “Clothing retailers see an average of 10% of their sales returned, the highest among retail segments” (“Consumers return $ 642.6 billion in goods each year”, June 18, 2015, by Andria Cheng). With 10% of clothing sales being returned each year, there is a lot of room for return fraud and especially fraud related to Wardrobing. According to statista.com, Clothing store sales in the U.S. in 2015 amounted to $183.01 billion. https://www.statista.com/topics/965/apparel-market-in-the-us/ this means in the U.S. alone, approximately $18.3 billion in clothing was returned by consumers. Another interesting point to note is that of retailers surveyed by the National Retail Federation in 2015, “Fewer than half of retailers rated their return policies as “effective” in deterring fraud. (pg. 10, 2015 Consumer Returns in the Retail Industry). Is there an answer to the problem of wardrobing if less than half the retailers believe they have effective return policies? There IS an effective answer to the problem of return fraud related to wardrobing and that answer is to use Alpha Shark Tags on clothing and softlines accessories.
Wardrobing is the act of purchasing clothing with the intent of wearing it once or twice and returning it for a full refund. While some may consider this a gray area rather than outright fraud because the consumer abides by the store return policies, they overlook the fact that the stores are not in the clothing rental business. Rental stores exist for this type of consumer, but that isn’t really what a person who is wardrobing desires. What they want is a free outfit to be seen in and returned without the expenditure of any money. Some people think this is just being smart and playing by the other guy’s rules. I would argue that though these customers may be playing a game of semantics, it still hurts the store owner who often has to take a markdown on the item or write it off. Frequently returns have something not right with them, ranging from slight mars to the material or more obvious odors from foods, smoking and deodorants or perfumes.
For stores that decide enough is enough, using the Alpha Shark Tag is a superb method of defeating this type of return fraud. Shark tags, or wardrobing tags as they are also known, are brightly colored tags that are pinned to garments and can only be removed by cutting them off. Once removed, the tags cannot be reattached like manufacturer tags and price tags can be after an item is worn. Wardrobing tags are placed in a location on a garment that cannot be covered up so the purchaser cannot wear the item somewhere without everyone knowing what they are trying to do. By eliminating the opportunity to wear the clothes, the culprits of this type of fraud will discontinue their practice at stores employing Alpha Shark Tags.
I pointed out earlier that fewer than half of retailers felt they had effective return policies. If these retailers would use wardrobing tags they would be able to require all clothing returns to have the tags attached in order to get a refund or exchange. Without the tag being in place a return would automatically be refused, regardless of whether or not the customer had a receipt. Is this being unfair or limiting the customer on their ability to try on an item at home or give it as a gift? The answer in both situations is “No”. Alpha Shark Tags do not interfere with trying on a piece of clothing or affect how it fits. For the gifted item, the recipient can try on an item, leaving the tags intact and if they don’t like it, return it with the gift receipt. As long as retailers make their return policies clear to their customers and enforce their policies they can nearly virtually eliminate return fraud due to worn clothing.
Don’t be taken advantage of any longer by those who wear and return clothes. Improve profits by using Alpha Shark Tags on all of your clothing merchandise!
Return Fraud is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
I was shocked when I recently read an article online in marketwatch.com stating that, “Returns account for an estimated 4.4% of $14.5 trillion in global retail sales, IHL said.” (IHL/Order Dynamics, my notation). http://www.marketwatch.com/story/consumers-return-6426-billion-in-goods-each-year-2015-06-18 The article goes on to say that, “Clothing retailers see an average of 10% of their sales returned, the highest among retail segments” (“Consumers return $ 642.6 billion in goods each year”, June 18, 2015, by Andria Cheng). With 10% of clothing sales being returned each year, there is a lot of room for return fraud and especially fraud related to Wardrobing. According to statista.com, Clothing store sales in the U.S. in 2015 amounted to $183.01 billion. https://www.statista.com/topics/965/apparel-market-in-the-us/ this means in the U.S. alone, approximately $18.3 billion in clothing was returned by consumers. Another interesting point to note is that of retailers surveyed by the National Retail Federation in 2015, “Fewer than half of retailers rated their return policies as “effective” in deterring fraud. (pg. 10, 2015 Consumer Returns in the Retail Industry). Is there an answer to the problem of wardrobing if less than half the retailers believe they have effective return policies? There IS an effective answer to the problem of return fraud related to wardrobing and that answer is to use Alpha Shark Tags on clothing and softlines accessories.
Wardrobing is the act of purchasing clothing with the intent of wearing it once or twice and returning it for a full refund. While some may consider this a gray area rather than outright fraud because the consumer abides by the store return policies, they overlook the fact that the stores are not in the clothing rental business. Rental stores exist for this type of consumer, but that isn’t really what a person who is wardrobing desires. What they want is a free outfit to be seen in and returned without the expenditure of any money. Some people think this is just being smart and playing by the other guy’s rules. I would argue that though these customers may be playing a game of semantics, it still hurts the store owner who often has to take a markdown on the item or write it off. Frequently returns have something not right with them, ranging from slight mars to the material or more obvious odors from foods, smoking and deodorants or perfumes.
For stores that decide enough is enough, using the Alpha Shark Tag is a superb method of defeating this type of return fraud. Shark tags, or wardrobing tags as they are also known, are brightly colored tags that are pinned to garments and can only be removed by cutting them off. Once removed, the tags cannot be reattached like manufacturer tags and price tags can be after an item is worn. Wardrobing tags are placed in a location on a garment that cannot be covered up so the purchaser cannot wear the item somewhere without everyone knowing what they are trying to do. By eliminating the opportunity to wear the clothes, the culprits of this type of fraud will discontinue their practice at stores employing Alpha Shark Tags.
I pointed out earlier that fewer than half of retailers felt they had effective return policies. If these retailers would use wardrobing tags they would be able to require all clothing returns to have the tags attached in order to get a refund or exchange. Without the tag being in place a return would automatically be refused, regardless of whether or not the customer had a receipt. Is this being unfair or limiting the customer on their ability to try on an item at home or give it as a gift? The answer in both situations is “No”. Alpha Shark Tags do not interfere with trying on a piece of clothing or affect how it fits. For the gifted item, the recipient can try on an item, leaving the tags intact and if they don’t like it, return it with the gift receipt. As long as retailers make their return policies clear to their customers and enforce their policies they can nearly virtually eliminate return fraud due to worn clothing.
Don’t be taken advantage of any longer by those who wear and return clothes. Improve profits by using Alpha Shark Tags on all of your clothing merchandise!
Wardrobing is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
Employee Theft Reduction Training-3 WC Blog 315
Training To Reduce Employee Theft-2
How Can You Make An Impact On 45% Of Your Store’s Shortage? Through Employee Theft Reduction Training For Your Managers
Manager and employee training are essential components of any well run business. Employees have to receive training on everything from the expectations of them as employees to how to operate equipment they are responsible for, such as cash registers, cameras, computers or any equipment involved in their job. Training also shouldn’t end with initial orientation or on-boarding. For example in my current retail job, I am regularly being tasked with a new training module I have to complete. It may be refresher training on workplace violence and or a new sales focus the company has rolled out. Ongoing training helps keep employees focused on issues that may be forgotten in the course of daily retail busy-ness. Employee theft reduction training is an area that all store managers should be receiving regularly.
Training to reduce employee theft is important for all of your management team. Employee theft is the overall biggest cause of merchandise shortage for retail stores. World-wide employee theft accounts for 39% of total shrink according to the 2014-2015 Global Retail Theft Barometer (pg. 25). In North America employee theft was the cause of 45% of all shrinkage according to the same report (pg. 53). When managers are properly trained on how to identify and prevent associate theft losses can be significantly curtailed. My experience in retail has included nearly 20 years in retail loss prevention for large companies that could afford to have dedicated in store Loss Prevention Associates and Managers. Many small to medium size retail businesses cannot afford this and may resort to a district or regional LP team or in many cases it falls on the store management team to handle dishonest employees. But the question then becomes, if there is no Loss Prevention team to look to, who can conduct training to reduce employee theft? The answer is to look no further than Loss Prevention Systems, Inc.
Loss Prevention Systems, Inc. has expert Loss Prevention professional speakers who can be booked to conduct employee theft reduction training for your management team. Whether one hour or a seminar of several days, your team can receive training designed to teach them how to recognize where merchandise shrink can occur, how employees can steal cash and merchandise and how to handle employee theft when it occurs. Did you know there are also legal aspects of employee theft that need to be considered, both civil and criminal? You and your managers can receive training on what you may and may not do when you have caught an employee stealing from the business. If you feel your team is too small or you are the sole manager of your business, you may also consider partnering with several other area businesses and holding a large group seminar for your managers.
Employee theft reduction training opportunities from Loss Prevention Systems, Inc. don’t just stop there. Follow-up training and tips are also available. Loss Prevention Systems, Inc. has You Tube videos with tips, stories and information that can give you insights into how employees and shoplifters steal and how you can prevent such theft. Though not a replacement for the in-depth training that lays the groundwork for a knowledgeable management team, these short clips are a great resource as ongoing training material that won’t take up much of your team’s time. Want more information for your managers without being in a formal training session? Check out the blogs section of the website and frequently asked questions are answered by the company CEO, Bill Bregar.
The experts at Loss Prevention Systems, Inc. recognize that merchandise shortage and theft reduction are not familiar topics to every store owner or manager but are crucial to operating a profitable business. Let them help you with training to reduce employee theft, shoplifting and even how you can improve stock shortage. You will be amazed at how much you can improve your bottom line.
Need information on employee theft reduction training, contact us or call 1.770.426.0547 today.
Manager and employee training are essential components of any well run business. Employees have to receive training on everything from the expectations of them as employees to how to operate equipment they are responsible for, such as cash registers, cameras, computers or any equipment involved in their job. Training also shouldn’t end with initial orientation or on-boarding. For example in my current retail job, I am regularly being tasked with a new training module I have to complete. It may be refresher training on workplace violence and or a new sales focus the company has rolled out. Ongoing training helps keep employees focused on issues that may be forgotten in the course of daily retail busy-ness. Employee theft reduction training is an area that all store managers should be receiving regularly.
Training to reduce employee theft is important for all of your management team. Employee theft is the overall biggest cause of merchandise shortage for retail stores. World-wide employee theft accounts for 39% of total shrink according to the 2014-2015 Global Retail Theft Barometer (pg. 25). In North America employee theft was the cause of 45% of all shrinkage according to the same report (pg. 53). When managers are properly trained on how to identify and prevent associate theft losses can be significantly curtailed. My experience in retail has included nearly 20 years in retail loss prevention for large companies that could afford to have dedicated in store Loss Prevention Associates and Managers. Many small to medium size retail businesses cannot afford this and may resort to a district or regional LP team or in many cases it falls on the store management team to handle dishonest employees. But the question then becomes, if there is no Loss Prevention team to look to, who can conduct training to reduce employee theft? The answer is to look no further than Loss Prevention Systems, Inc.
Loss Prevention Systems, Inc. has expert Loss Prevention professional speakers who can be booked to conduct employee theft reduction training for your management team. Whether one hour or a seminar of several days, your team can receive training designed to teach them how to recognize where merchandise shrink can occur, how employees can steal cash and merchandise and how to handle employee theft when it occurs. Did you know there are also legal aspects of employee theft that need to be considered, both civil and criminal? You and your managers can receive training on what you may and may not do when you have caught an employee stealing from the business. If you feel your team is too small or you are the sole manager of your business, you may also consider partnering with several other area businesses and holding a large group seminar for your managers.
Employee theft reduction training opportunities from Loss Prevention Systems, Inc. don’t just stop there. Follow-up training and tips are also available. Loss Prevention Systems, Inc. has You Tube videos with tips, stories and information that can give you insights into how employees and shoplifters steal and how you can prevent such theft. Though not a replacement for the in-depth training that lays the groundwork for a knowledgeable management team, these short clips are a great resource as ongoing training material that won’t take up much of your team’s time. Want more information for your managers without being in a formal training session? Check out the blogs section of the website and frequently asked questions are answered by the company CEO, Bill Bregar.
The experts at Loss Prevention Systems, Inc. recognize that merchandise shortage and theft reduction are not familiar topics to every store owner or manager but are crucial to operating a profitable business. Let them help you with training to reduce employee theft, shoplifting and even how you can improve stock shortage. You will be amazed at how much you can improve your bottom line.
Need information on employee theft reduction training, contact us or call 1.770.426.0547 today.
Pre-employment Screening – 5 WC Blog 274
Background Check Company-4
Employee Background Checks-3
Job Performance, Employment Terminations And Dishonest Employee Interviews Can Be Dangerous; Pre-employment Screening Can Make It Safer – Part 2
How do you conduct your job performance discussions with your employees? I’m not talking about the discussion with the high performing employee getting ready to be promoted. I’m referring to the talk you have to have with the employee who is not meeting expectations. What about the meeting you have to conduct to terminate an employee’s job? One that can be particularly difficult is the interview with the dishonest employee who has been stealing from your store. Each of these discussions can be very difficult and in some instances there are managers and business owners who do all they can to avoid these talks. It is not a comfortable position to have to end another person’s employment or accuse them of engaging in dishonest activity. If it is performance related you are telling that worker they are inadequate. In my career as a retail manager and library supervisor I have had to conduct all three types of interactions and it is never comfortable. As I mentioned in part 1 of this series, a manager never knows how his/her employee will react in the situation. Pre-employment screening can help to minimize the chance that the employees you hire have violent backgrounds that you don’t want in your workplace in the first place. In this article I want to give some tips to help managers understand the importance of having these discussions and how to prepare for them before talking to the employee.
It is important to pause and review what a pre-employment screening is and how a background check company can help in your hiring process. A pre-employment screening is a review of an applicant’s record and verification against what they have entered on a job application. If an applicant indicates they have no felony convictions but in reality they have a prior assault conviction, a background check company can uncover this information. You may be hiring someone as a bookkeeper and they interview well but your conduct employee background checks and find out they have problems with debt and are behind on credit card payments. This would raise a red flag that this candidate could certainly be a concern for future employee theft. A background check company can verify if a person has lived where they said they have lived for the past 10 years. If they lied on the application and have moved frequently, what was the reason for the false information? Is the applicant avoiding legal issues or the police? The pre-employment screening process reduces the risk an employer takes when hiring a new worker.
My stated purpose of this article is to explain the purpose of having the tough discussions with employees even when it is uncomfortable and tips on how to conduct them. It is not unheard of for managers to avoid calling an employee into an office to discuss performance problems. The mindset is frequently that the employee may improve on their own or maybe they will see they aren’t working out and will quit. It may even be that there is the expectation that everyone else will pick up that employee’s slack. Avoidance does not help anyone, anytime and actually will hurt the morale of the good workers. Poor performance must be addressed and clear expectations established WITH deadlines and measurements for improvement. Ambiguous or general expectations are unfair to the employee and set them up for failure and will result in future uncomfortable conversations. Do NOT use an annual or semi-annual performance review as the time to address concerns. A review should never be a surprise to the employee. If a manager is talking with their workers during the year, and documenting conversations, that employee will already know what to expect. If you complete employee background checks, you will not be rid of all performance issues, but you may have eliminated worse situations and you may have still hired the worker who can improve through additional training.
Performance management discussions tend to be the least confrontational of my “Big 3” employee talks. Employment termination and dishonest activity/employee theft interviews are the hardest and in part 3, I will talk about how they are different and how to prepare for and conduct these talks. As I close this segment I want to reiterate the importance of conducting employee background checks using a background check company before a new person is hired to the team. Any of these discussions can be hard, if a person has a violent history it can be dangerous. Improve your chances of a smooth meeting by doing pre-employment screening.
Pre-employment screening is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
How do you conduct your job performance discussions with your employees? I’m not talking about the discussion with the high performing employee getting ready to be promoted. I’m referring to the talk you have to have with the employee who is not meeting expectations. What about the meeting you have to conduct to terminate an employee’s job? One that can be particularly difficult is the interview with the dishonest employee who has been stealing from your store. Each of these discussions can be very difficult and in some instances there are managers and business owners who do all they can to avoid these talks. It is not a comfortable position to have to end another person’s employment or accuse them of engaging in dishonest activity. If it is performance related you are telling that worker they are inadequate. In my career as a retail manager and library supervisor I have had to conduct all three types of interactions and it is never comfortable. As I mentioned in part 1 of this series, a manager never knows how his/her employee will react in the situation. Pre-employment screening can help to minimize the chance that the employees you hire have violent backgrounds that you don’t want in your workplace in the first place. In this article I want to give some tips to help managers understand the importance of having these discussions and how to prepare for them before talking to the employee.
It is important to pause and review what a pre-employment screening is and how a background check company can help in your hiring process. A pre-employment screening is a review of an applicant’s record and verification against what they have entered on a job application. If an applicant indicates they have no felony convictions but in reality they have a prior assault conviction, a background check company can uncover this information. You may be hiring someone as a bookkeeper and they interview well but your conduct employee background checks and find out they have problems with debt and are behind on credit card payments. This would raise a red flag that this candidate could certainly be a concern for future employee theft. A background check company can verify if a person has lived where they said they have lived for the past 10 years. If they lied on the application and have moved frequently, what was the reason for the false information? Is the applicant avoiding legal issues or the police? The pre-employment screening process reduces the risk an employer takes when hiring a new worker.
My stated purpose of this article is to explain the purpose of having the tough discussions with employees even when it is uncomfortable and tips on how to conduct them. It is not unheard of for managers to avoid calling an employee into an office to discuss performance problems. The mindset is frequently that the employee may improve on their own or maybe they will see they aren’t working out and will quit. It may even be that there is the expectation that everyone else will pick up that employee’s slack. Avoidance does not help anyone, anytime and actually will hurt the morale of the good workers. Poor performance must be addressed and clear expectations established WITH deadlines and measurements for improvement. Ambiguous or general expectations are unfair to the employee and set them up for failure and will result in future uncomfortable conversations. Do NOT use an annual or semi-annual performance review as the time to address concerns. A review should never be a surprise to the employee. If a manager is talking with their workers during the year, and documenting conversations, that employee will already know what to expect. If you complete employee background checks, you will not be rid of all performance issues, but you may have eliminated worse situations and you may have still hired the worker who can improve through additional training.
Performance management discussions tend to be the least confrontational of my “Big 3” employee talks. Employment termination and dishonest activity/employee theft interviews are the hardest and in part 3, I will talk about how they are different and how to prepare for and conduct these talks. As I close this segment I want to reiterate the importance of conducting employee background checks using a background check company before a new person is hired to the team. Any of these discussions can be hard, if a person has a violent history it can be dangerous. Improve your chances of a smooth meeting by doing pre-employment screening.
Pre-employment screening is important and we can help you with it. Call 1.770.426.0547 and let’s talk.