Retail Security Statistics 2009 Examined

Author: John Honovich, Published on Nov 03, 2009

How can retail security losses be used to justify the use of video surveillance and security systems?

Within the security industry, retail may be the most rigorously quantified market. Unlike many security applications that defend against very high value but rare instances (think government and terrorism), retail security deals with constant security threats that can be measured. This helps in calculating ROI for the use of technology systems such as video surveillance.

In October 2009, the annual National Retail Security (for the US market) was released. The headline was that shrink was up (from 1.44% to 1.51% between 2007 and 2008).

A main theme from the report is that while video surveillance is considered a 'hot' tool for retailers, it is one element in a larger system that requires other processes and technologies.

Final note, these numbers may be contrasted to a 3rd party report of 22 retailers from September 2008 (premium).

*** *** ****** ******** ****** ** **** ** ******* *** use ** ***** ************ *** ******** *******?

****** *** ******** ********, ****** *** ** *** **** ********** quantified ******. ****** **** ******** ************ **** ****** ******* **** high ***** *** **** ********* (***** ********** *** *********), ****** security ***** **** ******** ******** ******* **** *** ** ********. This ***** ** *********** *** *** *** *** ** ********** systems **** ** ***** ************.

** ******* ****, *** ****** ******** ****** ******** (*** *** US ******) *** ********. *********** *** **** ****** *** ** (**** *.**% ** *.**% ******* **** *** ****).

* **** ***** **** *** ****** ** **** ***** ***** surveillance ** ********** * '***' **** *** *********, ** ** one ******* ** * ****** ****** **** ******** ***** ********* and ************.

***** ****, ***** ******* *** ** ********** ** **** ***** ****** ** ** ********* **** ********* ****(*******).

[***************]

Shrink ********** *** ******

********* ******* ** **** ****** **** *** **** ** *****, shrink ******* ** ** ********. ** *** ***** *****, ****** was ***** ** *% *** *** ** **** ** ************* *.*% ** sales.

**** ****** *** ** **** **** (*.** **. *.**). *******, given *** ************ *** *** ********* ** *** ******* *** survey, ** *** ** ********* ** **** * ********** ********** (for ******** ** ****, *** ****** ******** *** *********** *** only *** ** ****).

** ******* ****** *****, *** $**.* ******* ****** **** ** retailers **** ****** ** ** ********** ***** ** *********** *** shrink **** ** *.**% ***** *** $*.* ******** ** ****** sales *** *** ** ****** ******.

Shrink ******** ** *******

*** ***** ** ****** ****** ************* ** ******* ** ********. While *** ******* ********* *** ************* ***** ******* ******, **** improvement *** ********* ****** ******** **** *** ******. ********* ****** keep **** ********* ** **** ** **** ****** ** ***** solutions *** ******* ****** ********.

Breakdown ** ******

****** ***** **** ********* *******. **** ****** ****** ** **** into * **********. **** * ** ***** ********** ********* ************* for *** *** ** ******** ******** ************ - ******** ***** and ***********. *** ***** ********** ********* ****** ***** *** ************** would **** ****** ** ** ****** **** *** *** ** physical ******** ************.

********* ********** **** ******** ******** ************ ****** ******, *** '***********' shrink ** ****** ** *.*% (** **% ** ***** ****** is ******** ** **** **** ************** *** ****** ***** ******).

******** ***** *** *********** ****** *** *** *** ******* ** shrink **** **.*% ** ****** ****** **** ******** ***** *** 35.6% **** ***********.

*** ****** ********** ** ******** ***** ** ********** ********* ** security ****** ********* **** ***** ** *** **** ******* *** less ****** ****** ** ***********.

*** ***** ********** ** *** ********* ** ****** ********** ** retail *******, ****** *** ******. *** ********** ** **** ** mind ** **** ******* ********** **** **** * ** * retailers ********* ***** ********* *** *********** ** ********** *******.

Loss ********** ******* *******

********* ** *** ******, ** ******* *** **** .**% ** retailer's **** ****** *****. ******* **** ** ***** ** *** decade **** ******* **** **** .*% ** ****** *****. ** that ******, **% *** **** *** ******* ********* **** ** security *******.

Loss ********** **********

***** ******** ******* *** ********** ** **** ********** **********, *** report ***** * ******* ** **** ********* *******:

  • ***-********** ********* ********* **** ** ******** ********** *** **** ********** history ***** *** ********** ** *** ***** ****.
  • **** ********** ********* ******** **** **** ****** **** **** **% of ********* ***** ********* ********* ******** *** ******** ***** *******
  • ****** ******* ********: *** **** ****** ******* ****** ******** *** POS ********* ***** *********. ********* *** ***** ************ *************, **** 90% ** ********* ******** ***** *** ********* ***** *********.
 
Use ** ***** ************ *** ******** *******
 
********* **** * **** ******* ** ******** *******. ***** ************ was *** ****** **** ******** **** ****** **** ** ******* alarms (**** **.*% ***** ******* ***** ********* *** **.*% ********* the *** ** ******* ******).
 
*******, ** ***** ** **** ********* **** ******* ** *** (considered '***'), ***** ************ ********* **** ****** *****, **** ****, digital ********* *** ***/**** *********** ****** * ** *** *** 5 ***** (*** ***** **** ** ***** *** **** ******).
 
**** ***** **% ** ********* ******** *** / **** *********** currently. ***** *** ****** ********* *** ** *** *** ****, this ** ******* *** *** ************ ***. *********** ******* ***** two ******* *** ****** **** ********* ******* ** *** ******** incompatible *** *** *** *******. *******, **** ** ********* ** opportunity *** ***** **** *** ******* **** **********.
 
**** ****** ***** ** ** ** *** ******* ** ****** (9.5% **** ** ****** *****) *** ******* ****.
 
Loss ********** ****** ** ******** *** ******
 
*** ****** ***** * ****** ** *********** ****** *** ************* in ******:
  • ******* ****** ** ******** ****** * ********* ****** ** ****** is ** ******. ***** *** **** ** *** ******** ***** problem, ******* ********* ***** ** * ***** ***** *********.
  • **** ********** ********* ** ****** ** **** ** ****** ******** turnover (******* ********, ******* ****** - ******* ******** **.*% ***** associates, **.*% ********** ********).
  • ******** ******** ****** **** *** ******** ***** ******** ** $*,*** USD. ** ******* *** ***** ** ***** * ** * employee ****** *** **** *** ****, *** ****** *** *** for ****** (********* ** *** **** ** *** *****, ***** cameras ********). **** ******* ** ******* *********** ****, ***** ** significantly *****.
  • *** ******* *********** **** ** ******** ** $***.** ***. 
  • ***** ****** (******* ********) ** ********** ** * ***** *** ********* ** **** monetary *********** **** ***********. **** ** ** *********** ** ******** prosecution. ** *** ****** **** ***** ******'* *** *** ******* increases, **** **** ******* *** ***** ** ***** ****** *****. The ********** ********** ** **** **** ** ***** ** *** search ***** ***********, *** ********** ** ******** *** **** ***.
  • ***** **% ** *********** ** ********** ** ********* ****** *****. The ******* **** *** *** ** $*,*** ****** *** ****** does *** ******** ******* **** ** *** ***** ** ******* per ****.
Login to read this IPVM report.
Why do I need to log in?
IPVM conducts unique testing and research funded by member's payments enabling us to offer the most independent, accurate and in-depth information.

Related Reports

Cat 5e vs Cat 6 vs Cat 6a Network Cable Usage Statistics on Aug 16, 2017
Cat 5e? Cat 6? Cat 6a? What do integrators use in practice, today? 140+ integrators told IPVM. Here are the results: For those who want to...
Stolen Video NVR / DVR Statistics on Aug 15, 2017
"But what happens if someone steals my recorder?" Anyone who has done more than a handful of jobs has probably heard this question several times....
Hikvision Europe Cutting Out Unauthorized End User Sales on Aug 15, 2017
The days of anyone buying Hikvision from anywhere off the Internet are numbered, at least in Europe, if Hikvision's plan comes to fruition. In...
IP Camera Specification / RFP Guide 2017 on Aug 14, 2017
RFPs are hard. Do them 'right' and it takes a lot of knowledge and time. Do them 'wrong' and you can be (a) unwittingly locked into a specific...
Cellphone Usage Issues For Integrators (Statistics) on Aug 11, 2017
Cellphones clearly offer significant advantages in communication and problem solving. But they can also be a major pain point if employees...
Rebooting IP Camera Statistics And Practices on Aug 10, 2017
Dahua cameras automatically reboot weekly, by default. Is this an innovation by the Chinese mega-manufacturer or a sign of a problems? 125...
Avigilon Profits Surge, Stock Jumps (Q2 2017) on Aug 10, 2017
Avigilon said earlier this year they would shift their strategy to maximizing profits. Now, they are delivering it and the stock market is...
Vivotek Acquisition Offer From Delta on Aug 10, 2017
One of the largest remaining independent video surveillance manufacturers has received an offer to become majority owned by Delta Group, a Taiwan...
Most Common Network Termination Usage Statistics on Aug 09, 2017
How do integrators decide which brand of patch panel or keystone jack to buy?  140+ integrators told IPVM which manufacturers they trust and what...
Dome Versus Turret Camera Usage Statistics 2017 on Aug 07, 2017
Turret cameras are a growing segment within video surveillance. Indeed, many integrators argued strongly for turrets in an IPVM...

Most Recent Industry Reports

Avigilon CEO Attacks Asian Companies Cyber Insecurity on Aug 18, 2017
Avigilon CEO is taking aim at their Asian competitors. And he is going directly after these company's cyber security issues. In this note, we...
Sony Next Gen HD Dome Camera Tested (SNC-EM642R) on Aug 18, 2017
Sony has released their latest generation, claiming improved WDR and low light, increased IR range, and more. We tested the SNC-EM642R outdoor IR...
IP Networking Course September 2017 on Aug 17, 2017
This is the only networking course designed specifically for video surveillance professionals plus it includes live training, personal help and...
Knightscope Raises $10 Million With $3,320 Average Per Investor on Aug 17, 2017
Congrats to Knightscope. And condolences to their legion of little investors. Knightscope has disclosed they have raised $10+ million from their...
Axis and Arecont Legal Conflict Over Multi-Imager Cameras on Aug 17, 2017
Arecont threatened Axis. Axis has responded by moving to invalidate an Arecont patent. It is an important contest. Multi-imagers are Arecont's...
Directory Of Consumer Security Cameras on Aug 16, 2017
The consumer camera segment continues to grow, with new startups and models from existing players released seemingly every month. In this report we...
Cat 5e vs Cat 6 vs Cat 6a Network Cable Usage Statistics on Aug 16, 2017
Cat 5e? Cat 6? Cat 6a? What do integrators use in practice, today? 140+ integrators told IPVM. Here are the results: For those who want to...
Hikvision Responds To Cracked Security Codes on Aug 15, 2017
Hikvision has responded to IPVM's report on Hikvision's security code being cracked, both with a 2 page update to dealers and communication...
Stolen Video NVR / DVR Statistics on Aug 15, 2017
"But what happens if someone steals my recorder?" Anyone who has done more than a handful of jobs has probably heard this question several times....
Hikvision Europe Cutting Out Unauthorized End User Sales on Aug 15, 2017
The days of anyone buying Hikvision from anywhere off the Internet are numbered, at least in Europe, if Hikvision's plan comes to fruition. In...

The world's leading video surveillance information source, IPVM provides the best reporting, testing and training for 10,000+ members globally. Dedicated to independent and objective information, we uniquely refuse any and all advertisements, sponsorship and consulting from manufacturers.

About | FAQ | Contact