Organized Retail Crime (ORC) has increased 60% since 2015 according to the National Retail Federation.  More than 70% of retailers reported an increase in ORC in 2021.  The COVID-19 pandemic created the perfect storm because it closed many court systems creating huge backlogs.  Since re-opening, most courts in major metro areas have deferred prosecutions for non-violent crimes – such as shoplifting – focusing only on violent offenders.  

To make things worse, since the George Floyd incident in 2020 public sentiment has turned against the police leading many officers to retire as well as creating difficulties with recruiting new officers.  Lack of resources has led to slow or no response from police for non-violent crimes in many metro areas.  Shoplifting is often prioritized below a “fender-bender” car accident with no injuries resulting in 4-6 hour delays, if the police show-up at all.  Many police departments are instructing retailers to file reports on-line with no in-person follow-up.  This a big change from 15 minute police response times for shoplifting just a few years ago.

Industry experts are predicting “several years” to turn this situation around.  Congress has recently taken some action with introduction of The INFORM Consumers Act in the Senate which targets the on-line sale of stolen goods.  The rise anonymous on-line marketplaces have been a huge boon to ORC perpetrators who can now move large volumes of stolen goods quickly and easily.  Unfortunately, most experts believe legislative action will have a limited deterrent effect on ORC.

In the meantime, what can retailers do?  Plastic hawks or owls as depicted in this photo are unlikely to deter shoplifters – however, a modern, IP-based security camera system with blanket coverage of high theft areas is a must-have both for deterring theft and for proving your case against thieves.  Stores should also improve their security posture with merchandise protection devices (cages, peg locks, alarms, etc.), and improved training for employees to identify and deter shoplifters by their behaviors.  Unseasonable clothing, rapid selection/touching of items, early/late shoppers, and those with large bags or backpacks are examples of red flag behaviors.  If thieves are armed with a knife, box cutter or lighter to defeat merchandise security, you should call the police and report a “public safety concern” versus regular shoplifting.  This will draw a much faster response from the police.  Strong relationships with local law enforcement are also important – make them feel welcome in your store, donate to police causes, and give public safety officers a discount when they shop in your store.

There are also some exciting new technologies that use Artificial Intelligence (AI) to identify shoplifting red flag behaviors through the security camera system and pro-actively alert your employees.  To learn more about this topic, contact us at sales@dilse.it