Author: InVue & Vitag
Have you noticed something different about your shopping trips lately? It’s not just you. There’s been a noticeable uptick in retail theft and organized crime, and it’s affecting the way businesses operate and how we experience shopping. But fret not; there’s a solution, and it starts with beefing up retail security.
The NZ Retail Theft Boom
If you’ve been hitting the stores or tuning in to retail news, you’ve probably seen it – stores with reduced hours, locked-up goods, and even talks of shutting down shop for good. Causing this retail rollercoaster is the recent spike in retail theft and organized crime.
In their 2023 Retail Crime Report, released in October, Retail NZ estimate the cost of retail crime to New Zealand businesses at well over $2.5 billion per year. That number is comprised of the value of stolen goods (53%), loss prevention measures, and also rising health and wellbeing costs for impacted staff.
Of the retailers surveyed, over 92% had experienced some form of retail crime in the 12-month period, many of them with escalating levels of violence and injury to staff. Not only does this impact retailer’s bottom line, but increasingly businesses are reporting the difficulty attracting new staff to the sector.
Shopping in a secure environment with OneKEY protecting expensive games.
What’s at Stake
Retail theft, or “shrinkage” as it’s called in the industry, is a headache for businesses. It’s when the recorded inventory doesn’t match the actual inventory, leading to financial losses due to stolen or damaged items, often by both employees and customers. Those losses ultimately trickle down to the shoppers, in the form of higher prices – and with cost of living increases hurting New Zealand’s consumers, anything we as retailers can do to reduce the impact of business costs on customers will help to make a difference in the lives of whanau.
To make matters more complicated, gang culture has taken organised retail theft to a new and more dangerous level. Organised gangs are more brazen than shoplifters, often stealing to order to resell products at markets or through online platforms like TradeMe. Gangs are more likely to employ aggressive tactics, using cars to ram raid stores or as getaway vehicles, pulling up outside a retailers front door while gang members rush the store taking armfuls of goods at a time. This organized crime wave is putting even more pressure on retailers and their profits, and endangering the lives of team members on the floor.
The impact of crime on customers
For shoppers, this surge in theft is impacting the way we shop. Reduced store hours, locked-up goods, and tighter security measures can make shopping less convenient and enjoyable. Waiting for assistance to access locked items or navigating through a store with limited access to products can be frustrating and may even discourage some from making purchases.
But it doesn’t have to be this way. InVue and Vitag have been paving the way for retail security creating safe and secure retail experiences without compromising customer experience. From consumer electronics to health and beauty, InVue has a security solution for just about everything.
Modern cabinet locks, such as this Live Lock from Invue, provide effective protection for display stock, while also making life easier for retail staff.
Why Businesses Need to Step Up Their Retail Security Game
In the face of this growing challenge, businesses have a compelling reason to level up their retail security game. Here’s why it matters:
Protecting profits: Enhanced security measures can help businesses cut losses from theft and shrinkage, safeguarding their bottom line and keeping prices competitive.
Competitive prices: Lower losses mean retailers can offer better prices, ensuring shoppers get more bang for their buck.
Shopping with ease: Security measures shouldn’t cramp customer’s shopping style. Innovative solutions like smart locks and advanced security tech can strike that perfect balance between safety and convenience.
Safety first: A safe shopping environment is a win-win. Retailers that invest in security measures show they care about staff and shoppers’ safety, building trust, and loyalty.
Deter theft: Serious retail security can give organized criminals second thoughts. They’re less likely to target stores that are well-protected.
Simple measures make a big difference in retail security, such as these safe cases for video games – made easily accessible for staff with the Invue OneKEY system.
The Bottom Line
The surge in retail theft and organized crime is a serious issue, but there are actions you can take to mitigate the risk for your stores. Retail security is an investment in your profitability and your team, businesses can keep their profits safe, keep prices fair, and ensure shoppers enjoy a secure and smooth shopping experience.
Interested in learning more about retail security solutions that don’t compromise customer experience? Contact our team today to get the conversation started.