Putting the squeeze on shoplifters

nhulsman

Globe and Mail Update

Fred Tarasoff once challenged a friend who managed a grocery store to an experiment: Over three days, Mr. Tarasoff and an accomplice would try to rob him blind. "We ended up shoplifting about $2,000 worth of merchandise," he recalls, "and I was by no means an experienced shoplifter." A Nelson, B.C.-based who trains retailers on theft prevention, Mr. Tarasoff first realized the price that shoplifting exacts when a small rec­ord shop he ran went belly up in large part because a fifth of the stock was walking out the door. That's not an uncommon scenario, he discovered. External theft accounts for more than a third of retail shrinkage, and most stolen goods are gone for good: For every dollar recovered, $30 is lost.

While trained staff are the best defence against thieves, a floor plan that limits hidden areas and provides an open view of the store is not far behind. "The whole idea is to have potential shoplifters think twice," says Mr. Tarasoff, who interviewed many shoplifters in developing his training program. "You want to make them uncertain if and when they may be under surveillance." If a shoplifting gang identifies your store as an easy target, your losses will climb quickly, because the pros can get around most anti-theft devices, he says.

Mr. Tarasoff has more than twenty five years experience in retail and is now considered one of Canada's foremost experts in loss prevention. He is here now to provide insights and advice to anyone seeking to ruin a shoplifter's day. To ask him a question or leave a comment, please click here .

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Noel Hulsman, Globeandmail.com, writes: Fred, thank you so much for joining us today. We've got a number of questions waiting, so clearly this is an issue on a lot of people's minds, but before we get into the specifics of actually stopping shoplifters, can you give us a quick state-of-the-union on the problem today? Is shoplifting on the rise? Or becoming more sophisticated? When I was a kid, it was sort of rite of passage to rip off magazines, gum, chocolate bars, etc. from the local corner store (not that I ever did it, of course). Are kids still doing that? Or has that fad passed, or given way to more organized heists?

Fred Tarasoff writes: Shoplifting continues to be on the rise and there tends to be a direct correlation between the state of the economy and the level of shoplifting. During tougher economic times there tends to be a bit of a spike in shoplifting as well as other crimes such as internal theft. Other countries such as Australia and England have reported a drastic jump in external theft suspected to be due to the increase in fuel and energy prices. In Canada shoplifting continues to be the number one property crime and has doubled since the late 1990's.

It is believed that shoplifting techniques have become much more sophisticated than in the past and the information now available on the internet maybe to a large part responsible for this increase. It is estimated that a typical retail business will suffer between five and six percent of total sales in losses due to retail shrinkage. This translates to approximately three billion dollars in losses to Canadian Retailers.

Things really have not change very much since we were kids, kids still rip off small items like chocolate bars, magazines, gum, small toys, etc., as a rite of passage.

David Guy from Canada writes: Mr. Tarasoff, I've always been intrigued about this question - why do most shoplifters steal? Is it because of the challenge, or, in the case of the grocery store, because of a genuine human need for the goods and inability to pay for them otherwise?

Fred Tarasoff writes: There are numerous reasons why shoplifters steal. Some shoplifters can not afford items and will steal as a form of necessity as in the case of groceries, in order to feed their family. But this usually makes up a small percentage of the total shoplifting cases.

For many teen shoplifters it is the challenge and the peer pressure that can have an influence.

Professional shoplifters can be the most costly to retailers and for these shoplifters it is considered a lucrative money making business.

Some shoplifters steal as a means to support an addictive habit, such as drugs and alcohol, while others steal because of boredom and depression. During my interviews with various shoplifters, most referred to the activity as a "high" very similar to the feeling you get on certain drugs.

But my research has concluded that for the vast majority, the reason they steal is because of opportunity. These are generally law abiding citizens that in a moment of weakness and if the opportunity presents itself will shoplift an item. These impulse shoplifters do not commit any other types of crimes and their act is not premeditated. In most cases they will feel extremely guilty and remorseful after the shoplifting incident.

I should also mention that there is a small segment of shoplifters known as a kleptomaniac. This person suffers from a compulsive, neurotic desire to steal. A kleptomaniac is not motivated by economic gain and they strictly steal for the thrill of it. You can often tell if someone is a kleptomaniac by what they steal. For example: A widow steals a five dollar pair of men's sock, then walks out and drives away in a brand new Mercedes. Most estimate kleptomaniacs at less than 1% of all shoplifters.

Noel Hulsman writes: You mention that shoplifters have become more sophisticated, and that more information is now available online. Information on how to steal without getting caught? Are there social networking sites now for thieves?

Fred Tarasoff writes: When I was doing my research into shoplift prevention, I had interviewed more than two hundred shoplifters and many explained, especially the pros and the compulsive thieves that they often exchange shoplifting tricks and tips with other shoplifters. Often posting this information online. There is a great deal of information on how to "successfully beat" the EAS (Electronic Article Systems). These are the expensive security systems that many large retailers use at store exits. There is plenty of information on "What to do if you get caught". Suggestions of "How to ditch items". "How to test a store's security". Today are many resources for shoplifters, especially throughout the internet, from all over the world by experienced thieves. This certainly can pose a challenging task for retailers.

Noel Hulsman writes: Can you talk a bit about how to recognize the various shoplifters? The Mercedes-driving kleptomaniac, the professional booster, etc? Is there anyway surefire ways to spot a thief before he or she strikes?

Fred Tarasoff writes: One of the biggest problem with recognizing a shoplifter is that there is no real profile for a shoplifter. Contrary to the stereotype a shoplifter can look just like you and me. They can be dressed in a business suit or in raggedy jeans. In fact some pros will intentionally get dressed up in order to reduce suspicion. Now of course if someone is wearing clothing that is unseasonable, for example a coat in July, that would raise my level of suspicion. I would quickly attend to that person. With kids, knapsacks are still a common method of stealing. Keep an eye on open packages as these can be placed at the shoplifters feet and then objects can be casually dropped in. I think it is also important to look at behaviour. I recently saw a kid eating a big bag of chips that he brought into the store and then when nobody was looking he dropped in several candy bars into the chip bag, then continued to eat the chips.

Noel Hulsman writes: How much can a retailer intervene in those circumstances? Can you demand that the kid show you what's in the bag?

Fred Tarasoff writes: I would certainly ask him. Although I can not force him to show me, many thieves, especially younger ones will follow your instructions.

John Richardson from Toronto writes: Mr. Tarasoff, Are there statistics which break down the percentage between external and internal shoplifting?

Fred Tarasoff writes: Statistics generally break down the percentage between external and internal shoplifting as almost half and half. In a 2002 study of retail shrinkage was as following: External theft 40%, Internal theft 33%, Vendor fraud 7%, Paperwork error 20%.

John Peterson from B.C. writes: Perhaps the courts could play a bigger part in preventing some of these characters from stealing from stores owners. As in offer a deterrent by sending them to jail. Even just for a short time. Some of these shop lifters are out for a thrill and are not pros. Make the thieves known to the public by posting their pictures in the entrance way to all local businesses. And update employees as to who these people are. Regardless of age!

Fred Tarasoff writes: Unfortunately the entire justice system often does not make shoplifting cases a priority even though overall it is Canada's number one property crime. I do agree that more can be done by our court system especially with youth offenders, as well as repeat offenders. Perhaps changes to the youth offender act would put more power in the hands of the court system and would act as a deterent. Currently one store owner can not legally share information with another store owner about a convicted shoplifter youth, because the youth is protected by the Young Offender Act.

M.O. from Canada writes: I have often felt that one of the greatest deterrents to shoplifting is having an adequate number of staff on hand. I can't count the number of times I have wandered around a store, looking for someone to take my money for an item that I could have just as easily slipped into a pocket or purse, and nobody would have been the wiser. It seems like a no-brainer to pay a minimum wage of $10.00 per hour—and save $100.00 in merchandise from disappearing during the same time period.

Fred Tarasoff writes: I fully agree with you. I prefer to focus on preventing and deterring shoplifting, it is a safer, more cost effective method of dealing with a growing crime. I have discovered that the best method of achieving this goal is to have an adequately trained staff as well as an adequate number of staff especially during peak hours. Retailers need to be more aware that sufficient staff not only reduce the incidence of shoplifting, but greatly reduce the incidence of internal theft. Employees tend to police themselves.

Considering the fact that most retailers suffer losses between five and six percent of total sales, it would be a wise investment to have an adequate number of staff members. Having said that, it is not enough to have staff members if they are not properly trained. Employees must be visible to customers, they must provide good customers service and should be able to recognize a potential shoplifting incident, this all comes with a good on going training program in customer service and shoplift prevention.

George Brownlll from Christmas Island writes: Catch 'em shame 'em punish the heck out of them. Shoplifting by customers, staff and staff that rings for less or packs in more than they should are the most important facilitators.

Fred Tarasoff writes: Before you can punish them and shame them you must be able to catch them. Currently a shoplifter is caught only 1 in 50 times they steal and they are only turned over to the police 50% of the time. We also need to be aware that although security systems have become more sophisticated, so have shoplifters as well as employee thieves. Often shoplifting secrets are shared on the internet.

First retailers need to be aware that this is an on going problem and not become known as an easy target. Offenders, including dishonest staff members may need to be prosecuted in order to send out a strong message of no tolerance.

From a preventive point of view, employers should include employees in shoplift prevention training and weekly discussions. This will have a good positive effect on reducing overall retail shrinkage. I strongly believe that this may also help reduce employee theft as this will send the message that management is serious in preventing retail shrinkage.

Noel Hulsman writes: Is there one or two things that you tell all of your clients?

Fred Tarasoff writes: A suspect's behaviour can often be a clear give away and should raise the level of suspicion. Many shoplifters may appear to be nervous, and will avoid eye contact, in fact some will not want any assistance, even becoming defensive when asked if they need help. This is the type of person that I would watch very closely. Although this behaviour applies to many shoplifters, the pro is generally very calm, cool and are very comfortable with what they do.

I would also pay extra attention to someone who picks up a lot of merchandise with no attempt to purchase it, this person may just appear to be uninterested and not even look at the item that is in their hand.

Here is another common tell tale sign. Just prior to concealing an item many shoplifters will look over one shoulder and then the other.

On a final note to retailers my suggestion is to provide your staff with an going training in shoplift prevention, it is a wise investment. Prior to making acusations, you as a retailer must make certain that the suspect actually stole the item and has it concealed. Also make the safety of your staff a priority.

Noel Hulsman writes: Fred, that is all of our time. Thank you so much. It's been an extremely interesting and informative discussion. I can't say that it's been terribly encouraging — certainly not for retailers — but at least we have a much better sense now of the challenges they face (and that we, ultimately, pay for). Thanks again.

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