Crime against retailers is a high cost that gets absorbed either through higher prices for the consumer or loss of profit for the retailer. Not much is talked about this cost and some recent numbers shed some light on the issue. The National Retail Federation did a study in the spring of 2014 and here is what they found:
A decade has passed since NRF first surveyed its community of loss prevention and security executives about the impact organized retail crime has on their company, and with the release of the 2014 survey, it’s evident that the $30 billion a year problem still threatens retailers of all sizes throughout the country. According to the National Retail Federation’s 10th annual Organized Retail Crime Survey, which polled 76 senior retail loss prevention executives, eight in 10 (88.2%) retailers report that they have been a victim of ORC in the past year, down slightly from 93.5 percent last year.
New data also rolled in on states that helped retailers prosecute criminals:
According to the survey, three in 10 (30.6%) of those polled said they have noticed a reduction in ORC activity in states where laws are present. Additionally, of those retailers who have a presence in states with existing ORC laws, more than half (52.1%) noticed a positive impact on their ability to prosecute ORC offenders more effectively; nine in 10 (88.5%) said they have noticed an increase in support from law enforcement agencies when actively investigating organized retail crime cases. Specifically, 51.9 percent said they’ve noticed an increase in support from local/county law enforcement, 26.9 percent said state law enforcement and 9.6 percent said federal law enforcement. In states without ORC laws and where retailers have a presence, six in 10 (63.5%) say they haven’t noticed any changes in support from law enforcement.
You can read the rest of the report here.
A 2013 National Retail Federation survey found that about 35% of consumers returned at least one holiday gift. On average, though, those who returned gifts took back four unwanted items for an exchange or refund. Those numbers don’t even reflect how many people received gifts they didn’t like but weren’t able to return – or simply didn’t bother to take back.
You can read here Kiplinger’s “Seven Reasons Your Gift Will Be Returned”