Retail Analytics

How Blix Traffic prevents inventory theft in your stores

store inventory theft.jpg

Written by Tony Loxton
Sep 26

Australian retailers lose approximately 2.5% of revenue due to inventory theft every year.  And in a market that’s fraught with competition and dictated by consumers, mitigating against theft in your stores can make the difference between turning a profit or absorbing a loss. A variety of factors are to blame for theft of stock, some easier to prepare for than others.

Factors that contribute to inventory theft include inadequately staffed stores, overstocked shop floors, multiple entrances and exits and inadequate staff screening processes, reports this article from DSN Australia. And it’s precisely the varied nature of these factors that makes mitigating retail theft so tricky.

To prevent inventory theft, you need a robust, multi-tiered action plan in place.

Having a clearly defined and enforced store policy on inventory theft, and the prevention of it, goes a long way. Train staff so that they’re actively on the lookout for any suspicious activity and are prepared to deal with any suspected shoplifting or inventory theft either by shoppers or staff. Time is of the essence, as is the manner with which you deal with suspected shoplifters. Ensure you and your staff are protected by following local law and abiding by police and law enforcement protocol.

Another way to prevent additional loss due to shoplifted items is to insist on a receipt for all refunds and exchanges. This policy puts off would-be shoplifters from targeting your inventory. In addition to the above, conducting bag checks, a visible store security presence, such as a security guard and CCTV cameras, further aid you in decreasing instances of inventory theft. That said, these methods aren’t always sufficient.

Adequately securing your inventory from theft requires the help of some data-driven insight.

The store analytics that come with people counters allow you to measure all in-store metrics that contribute to revenue generation. Using staff rostering functionality, you can better align your staff scheduling to customer demand. By identifying your ideal staff to customer ratio, you’ll know exactly how many staff you need on the floor at any given time. This mitigates against inventory theft as staff aren’t overworked and as a result, are less likely to let suspicious shopper activity go unnoticed. 

In addition to optimised staff scheduling, you can also use foot traffic analytics to optimise your store layout.

Labyrinth-like, cramped shop floors are what shoplifters’ dreams are made of. To make sure you’re not unknowingly facilitating theft, use store analytics data to determine how your customers are navigating your shop floor. By tweaking your store layout for increased visibility, you can further deter would-be shoplifters and give your customers a convenient in-store experience. People counter tools help some of the country’s leading retailers optimise their store performance. 

As well as using store analytics data to mitigate against inventory theft, Blix provides you with accurate, real-time data to help you provide a better in-store experience. You can monitor foot traffic trends, such as dwell times, walk-bys, repeat shoppers, and store navigation to give you insight into all areas of your retail operation.

Find out more about how Blix’s people counter and store analytics solutions help retailers increase revenue and customer engagement here.

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