Hardware Retailing The Industry's Source for Insights and Information
Costing businesses money and peace of mind, shrink takes a toll on the retail industry, especially on independently owned and small- and medium-sized businesses. The National Retail Federation’s (NRF) National Retail Security Survey 2022 discovered retail shrink, which includes organized retail crime (ORC), was nearly a $100 billion problem across all industries in 2022. The survey results found retail theft accounted for 37% of those losses, employee or internal theft made up 29% and the remaining 34% came from process and control failures and other types of theft and fraud.
Every time an individual enters a store with the intent to steal, they put the employees and other customers in harm’s way, making retail shrink more than just a financial problem. In the NRF study, 80% of retailers reported an increase in violence and aggression associated with ORC.
To learn more about ORC and advocate for your business, check out these organized retail crime resources and groups to help you develop your own loss prevention strategies.
INFORM Consumers Act This bill requires online marketplaces to collect, verify and disclose certain information from high-volume, third-party sellers. Online marketplaces must make certain information, such as sellers’ names and contact information, available to consumers through the sellers’ product listings and provide consumers with methods to report electronically and by telephone any suspicious activity on the marketplace.
Combating Organized Retail Crime Act This legislation has been introduced in both the House and Senate. It includes many of the proposals submitted to Congress and the Biden administration by the National Retail Federation to combat organized crime involving the illegal acquisition of retail goods for the purpose of selling those illegally obtained goods through physical and online retail marketplaces.
NRF’s ORC/Investigators Network This network comprises retail loss prevention professionals and federal, state and local law enforcement officers. It shares information and strategizes solutions on the latest ORC trends.
Discover additional loss prevention strategies here and here.
