Canadian Retailer - Summer 2011 - (Page 30)

| LP TECHNOLOGY INFORMATION IS POWER WHEN IT COMES TO LOSS PREVENTION By Mary Teresa Bitti Y ou don’t know what you don’t know, and it is that simple reality that presents the greatest challenge to retailers when it comes to loss prevention, says David Melhado, National Director of Loss Prevention for Shoppers Drug Mart. “For the longest time, retailers didn’t talk to one another, fearing they’d be giving away company secrets. But organized crime has forced retailers to band together and start sharing information and intelligence because the guys hitting your competitors are the same guys hitting you. As loss prevention directors and managers we have all come to the realization that we have to share information to combat the problem.” In an effort to connect incidents of theft and show organized crime moving across the country and the ways it affects the retail landscape, Retail Council of Canada launched Loss Prevention DataShare this past fall. The user-friendly, Internet-based tool is a secure national database for the collection, analysis and dissemination of incident data around retail organized crime, fraud, burglaries and break-and-enters. And it couldn’t have been introduced at a better time. “Retail organized crime goes well beyond one-off inci- dents where someone steals a shirt or TV,” says Matthew Hall, senior manager, member programs, Retail Council of Canada. “It’s sophisticated organizations that are taking out entire SKUs of products and full cargo theft, point-of-Sale terminal fraud, credit card fraud –it is taking advantage of the exposure that exists in retail. And it’s a growing problem.” SOBERING NUMBERS Retail crime costs Canadian retailers anywhere from $3 billion to $3.6 billion each year. The average retail loss in Canada is about 2% of annual sales and up to as much as 10 per cent for some retailers. Employee theft and shop theft are also part of everyday business life for 95 per cent of Canadian retailers that have reported such incidents. And, according to the latest report from the Canadian Security Intelligence Service, some 750 criminal organizations operate in Canada. As a result, organized crime is a growing concern for retailers across the country. Not surprisingly, market demand for retail loss prevention systems is also growing, with retailers investing billions of dollars in the latest technologies to help combat loss due to crime.. 30 | canadian retailer | summer 2011 |

Table of Contents for the Digital Edition of Canadian Retailer - Summer 2011

Canadian Retailer - Summer 2011
Publisher’s Desk
Shop Talk
Mobile Retail
Leadership Series
In Your Best Interest
Sector Spotlight
Retail Innovation
LP Roundtable
LP Technology
PCI Compliance
Technology Leadership
Training and Education
Advertisers’ Index
Have Your Say

Canadian Retailer - Summer 2011