UK retailers suffer most from shrinkage, Checkpoint Systems
UK retailers are experiencing annual losses of £11 billion due to shrinkage, the highest of any country in Europe, according to a new report released by Checkpoint Systems.
Stores across Europe are spending a total of £3.09 billion on measures to prevent losses of around £7.86 billion every year. The most common criminal causes of shrinkage in the UK is shoplifting, followed by robberies and burglaries. Among profiles of shoplifters, together with micro-gangs of two to three persons, UK retailers have highlighted individuals, sometimes customers, who become thieves by frustration or opportunity, especially in the presence of self-scan and self-checkout services
“Despite high levels of investment in anti-shrinkage measures across the continent, factors such as non-compliance and obsolete technology are causing unsustainable levels of retail shrinkage. Retailers need to take urgent action to reduce this if they are to remain competitive and profitable,” says Mike French, Business Unit Director at Checkpoint Systems UK.
“The fact that shrinkage, if converted to turnover, would represent the fourth largest retailer in Europe should not be taken lightly. It’s extremely worrying that the actions of the few can financially impact businesses and employees. In light of today’s tough retail climate, it’s more important than ever for retailers to take note of the findings of our report and take the necessary actions to reduce their losses.”