South Africa is in the top five countries hardest hit by shrinkage, according to the latest Global Retail Theft Barometer. Matthew Dyball, MD of loss prevention firm Lodge Security, says shoplifters tend to target small items that are easily concealable, removable, available, valuable, enjoyable and disposable. Hot products typically include small items like razor blades, shaving products, vitamins, cosmetics, meat, infant formula and baby products, alcohol, DVD’s and CD’s, smart phones, USB flash drives and earphones.
Shoplifters have become enterprising in their efforts to outsmart sophisticated security measures set up in stores, with some going as far as lining their bags with tinfoil to interfere with electronic alarm signals at exit points.
Shoplifting increases during busy retail operation periods like weekends and afternoons as the stores would be less focused on petty theft and shoplifting. This makes it easier for items to be stolen and concealed by perpetrators without them being detected” CGCSA Crime Risk Initiative Head, Graham Wright.
According to the Business Report, South Africa’s big five retail grocers – Shoprite, Pick n Pay, Woolworths, Spar and Massmart – lose between R2 billion and R3 billion every year to shoplifting.
A few ways to effectively manage shrinkage:-
- Combine technology like electronic article surveillance tags and CCTV cameras.
- Look for irregular customer behaviour.
- Shoplifters like to go for blind spots, so installation of mirrors will make it easier to see.
- Change the company culture – Retailers need to implement a principle-based culture and get everyone to understand that crime and shrinkage affects everyone.
- Keep stores neat and tidy as shoplifters tend to leave empty packages in disorganised and messy areas.
Sources: www.destinyman.com (Destiny Man online magazine) & Business Day, Wholesale Business