Shopping Centers Today

MAY 2013

Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)

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reports that shrinkage decreased in 2011, to $34.5 billion — 1.41 percent of sales, down from 1.49 percent of sales in 2010. The majority of shrinkage was related to employee theft, according to the survey. Shoplifting accounted for about 36 percent of total losses, up from just over 32 percent in 2010. Mellor attributes the decline in shrinkage to better management of inventory. He and others say the concurrent rise in organized retail crime activity may be a function of increased awareness on the part of rethe Lanehawk Loss-prevention device is designed to ensure that everything tailers in recent years. Many that Leaves the grocery store is paid for. are collaborating more closely with each other, pushing for more-agbat organized retail crime." courses that teach financial skills and gressive police investigations and stiffer Retailers' policies for prosecuting healthy lifestyle habits. "Part of the dipenalties, and training workers to spot shoplifters vary, particularly when it lemma many retailers face is whether signs of organized retail crime activity, comes to petty theft. Macy's and Sears it is cost effective to process small-time among other measures. "We, as an inare among those inclined to press theft," said Levenberg. "The constricdustry, and our partners continue to get charges, says David Levenberg, presition of the public sector has created a smarter about investigating and appredent of Center Security Services. Other huge problem with police and courts hending and prosecuting these folks," retailers that aggressively pursue shopwhen it comes to misdemeanor crimes." said Lisa LaBruno, senior vice president lifters include CVS Caremark, Home Retailers in Britain are urging pofor retail operations at the Retail IndusDepot, 99¢ Only Stores and Safeway, lice to get tough on retail crime, which try Leaders Association. "There used to he says. A Walmart representative says has grown in severity there. Experts say be a time when offenders felt safe going the company takes petty theft seriously, many U.K. retailers are reluctant to refrom one retailer to another. Today rein part because it is often linked to orgaport shoplifting because they believe tailers are working together — not alone nized retail crime, but would not comthe perpetrators will never face proseculike they tried to do years ago — to comment on the company's specific policies tion. "The government has an aversion for shoplifting. In some areas of the to building more jails and sending more U.S., it has become harder for retailers people to jail," said Hume. "Very often if to press charges against those caught for a store manager catches a shoplifter, the Police in Dallas petty theft. Police in Dallas and Housshoplifter ends up getting a caution from and Houston no ton, for example, no longer respond police. There is a strong feeling among to calls from retailers that apprehend retailers that police don't deal with shoplonger respond to thieves caught with merchandise valued lifting seriously enough." The cost of calls from retailers at less than $50, Levenberg says. retail crime rose by nearly 16 percent to Rather than go through the hassle £1.6 billion (about $2.4 billion) between that apprehend and expense of pressing charges at a 2011 and 2012, according to a British thieves caught with time when courts are backlogged and Retail Consortium survey of 44 retailers police agencies are stretched thin, some that collectively account for 58 percent merchandise valued retailers offer first-time offenders the of U.K. retail sales, and yet dramatically at less than $50. chance to pay a civil fine and enter a fewer incidents get reported to police. remedial program, including online Unlike in the U.S., where employees 184 SCT / M a y 2 0 1 3

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