by Mike Delaney (c)2001

Simply put, losses due to shoplifting can put the small- to medium-sized retailer out of business. A business operating at a 4% net profit requires sales in excess of $10 to compensate for every $1 lost to a shoplifter.

Studies have shown that as many as one in twelve customers is a shoplifter, and that shoplifters commit an average of 50 thefts before being caught. That's if they are caught at all. It's estimated that only one in ten shoplifters are caught, and personally, I was caught only once in over 20 years as a shoplifter.

Fortunately, there are some effective and inexpensive things you can do to minimize shoplifting in your store. This is the second of two articles that will give you ten such ideas.

6.MONITOR YOUR FITTING ROOMS
Do not let customers enter and exit your fitting rooms without encountering your staff. A fitting room is an ideal place to conceal merchandise: if shoplifters can get merchandise into the fitting room, they have complete privacy and even a mirror to gauge how nicely the merchandise is concealed.

A favorite shoplifting method is to place several items of clothing on a single hanger. This relies upon the employee counting the number of hangers, not the number of clothing items. Shoplifters then enter the fitting room and conceal the extra merchandise brought in on the single hanger. Also, make sure your fitting rooms do not have anyplace to discard labels and price tags.

7.SIGNAGE
Posting the correct signs around your store can deter many shopliftings. Shoplifters are dishonest people, so don't be afraid to stretch the truth on your signage for effect.

For example, you might make up a sign that says simply, "Smile, You're on Candid Camera", whether you use cameras or not. Or a sign with changeable numerals on J-hooks that says "## Shoplifters Prosecuted This Year. Are you next?"

Be creative, and remember your goal: to have shoplifters take their trade elsewhere.

8.CAMERA DOMES
A recent study has shown that closed circuit television (CCTV) cameras are the most feared anti-shoplifting device. Perhaps this is due to cameras being mentioned so often in the nightly news. Whatever the reason, shoplifters don't like them.

CCTV systems can be costly. But as with signage, if shoplifters can be deceptive, why can't you? The smoke-colored dome housings used to mount CCTV are fairly inexpensive. Buy several, and place in the ceiling tiles around the store.

You don't have to prove you have cameras to deter theft, all you have to do is make the shoplifter think you have cameras!

9.PROSECUTE ALL THIEVES
Call the police on every shoplifter you catch. No exceptions. In the shoplifters' minds, if you don't call the police, they win, and they will continue to hit your store over and over.

Do not release juvenile shoplifters to their parents. The one time I was caught, I was thirteen years old. The police were not called, and I continued shoplifting another 15 years -- including from the store in which I was caught.

Prosecute all thieves. Period.

10. EXCEPTIONAL CUSTOMER SERVICE
This is, far and away, the single most effective thing you can do to deter shoplifting. By knowing where your customers are, offering your assistance, and anticipating needs, you will virtually eliminate shoplifting. An alert employee is your most effective weapons against thieves who thrive on anonymity.

Isn't it strange how virtually everything about successful retailing eventually comes around to quality customer service?

To read part 1 of 2 of "10 Simple Ways to Deter Shoplifting" click here.

Credit:
Mike Delaney is a shoplifting prevention trainer with over 20 years experience as a shoplifter, and almost 10 years stopping them. He is the author of "How to Beat Shoplifters and Increase Profits" available at Bison Creek Desktop Publishing http://www.zianet.com/bisoncreek

Reprint of this article does not constitute an endorsement by the National Business Association; the article is for informational purposes for our members and viewers of our Web site.