Economic Pressures On Retailers Could Result In Higher Shrink

[Joe]

The pressure is on retailers in this economic climate. The pressure is
on to meet sales goals, and maintain profitability. This means that
retailers will potentially take some drastic steps to get customers in
their doors, and then to sell to them. If this economy maintains its
current state or worsens, retailers will be under huge pressure going
into the holiday season.

Customers and employees are also under huge financial pressures right
now. As the holidays approach, this will get worse. As the economy
staggers, unemployment is rising, and people are not spending on
unnecessary items. Inevitably, some will turn to theft. In fact, some
already have.

The news is full of stories of increased shoplifting rates. Police
departments across the country are conducting blitz operations to
catch shoplifters, teaching retailers how to protect themselves from
theft, and working hard to serve the businesses who need them more
than ever right now.

Employee theft is also on the rise. Employees whose weekly schedules
are being reduced due to the fact that retailers are being forced to
tighten up on payroll may be tempted to make up the difference in
their pay by taking merchandise or money from their companies.

As retailers, under pressure to sell more, relax their security
measures on high ticket (high risk) product, the pressure will be on
loss prevention professionals to double, even triple, their efforts to
protect this merchandise, and therefore the company’s profits.

Yep, there’s a lot of pressure out there right now. Can you relate?
Want to discuss it? Leave me a comment and we can.