Managing Losses in the Retail Store: A Comparison of Loss Prevention Activity in the United States and Great Britain

• NCJ Number: 162435
• Journal: Security Journal Volume: 7 Issue: 1 Dated: (April 1996) Pages: 61-70
• Author(s): J Bamfield; R C Hollinger
• Date Published: 1996
• Length: 10 pages
• Publication Format: Article
• Publication Type: Report (Study/Research)
• Language: English
• Country: United Kingdom

Annotation

Using data from recent surveys of loss prevention and security professionals in the United States and the United Kingdom, retail shrinkage levels, perceived sources of loss, and typical retail security countermeasures are compared.

Abstract

Data used were obtained from three large retail security surveys conducted in both countries, using a common methodology. These quantitative data were supplemented with semi-structured interviews with 25 security managers from large retail businesses in the United Kingdom. Findings show that the shrinkage rate is approximately one-fifth higher in the United States than in the United Kingdom. There is evidence that retail theft has been increasing since the mid/late 1980's, but the data are not very robust. One of the primary responses to perceived growth of crime against retailers has been a philosophical shift from the traditional "police/arrest" paradigm to a "loss prevention/deterrence" approach. Employees are believed to be the single most significant cause of theft in the United States; and in the United Kingdom, both employees and customers are believed to be of approximately equal importance. Security spending is higher (as a proportion of annual sales) in the United States, but the growth in British security spending is so high that the spending rate per $100 million sales should reach United States levels by the end of 1995. The British use of security equipment is not as extensive as in the United States. Employee awareness policies are also less well developed in the United Kingdom. There are major differences in asset control programs and employee integrity screening; U.S. retailers are more aggressive in screening out applicants that are potential security risks. In both the United Kingdom and the United States, retailers are reducing the apprehension of customer thieves and using noncriminal alternatives for both customer and employee thieves, particularly for minor offenders. British retail security, however, is still strongly police-oriented in much of its personnel, culture, and attitudes. 8 tables and 16 references