Retailers losing Millions do due Theft

How much do stores lose from theft?

Peter Baskerville, Managed 30 retail stores of my own + 10 years in a retail department store.

Author has 1.7k answers and 10.9m answer views

It just goes to show that there is someone somewhere conducting a study into something the makes the world tick when "The Barometer" conducts a comprehensive global study into the cost of merchandise theft for the retail industry in 2013-2014 right here - The Barometer

That particular report puts the global shrinkage rate (loss from shoplifting, staff theft, supplier fraud) at 1.29% of sales turnover which is lower than what I experienced in the 10 years I worked in an Australian department store in the 80s where the figure was generally around the 2% mark. The report does say that if you add the cost of theft prevention to the cost of actual theft, you get rate of 1.81% of sales.

Some interesting statistics that come out of the report include:

While shoplifting is the biggest reason for theft at 39% of all losses, the dishonest employee is not far behind at 28%.
Mexico has the greatest loss from theft, while Norway has the lowest.
The low priced discounters suffer the highest theft rate. Go figure!
Retailers add their anticipated loss from theft to their prices, which means that the honest shopper is paying a theft tax of $63.56 per person per year.
In the USA the age demographic of the most prolific shoplifter is 18-30 (42%) and the peak season for shoplifting is the Christmas/end of year holiday period (72%)

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