News Limited outlets reported last week that retailers in Queensland claim a 70% increase in shoplifting (theft) over the last six years. Russell Zimmermann of the Australian Retailers Association was quoted:
“Retailers end up having to put the cost of theft into their business and it then behooves the public, if they realise there could be theft going on, to alert the retailer.”
Queensland has the third highest rate of shoplifting in Australia, behind NSW ($2.3 billion) and Victoria ($1.9 billion).
While I have not seen the 70% increase reported, I have seen an increase – not only of shoplifting but also fraud by employees. Indeed, tracking employee fraud is something I am often asked for help with by newsagents. Some of these cases are shocking in their magnitude.
Through the newsagency computer systems there are steps newsagents can take to track and protect against theft. My challenge for newsagents today is: what are you doing about managing theft in your business? If it is not part of your management plan it needs to be. Talk to your software provider and get their best practice theft management advice.
From a theft policy to regular spot stock takes to password management to tight cash control, there are steps newsagents often ignore that could save tens of thousands of dollars in business expenses.
This is something completely within our management control.
Given the number of newsagents hit by theft each year I am surprised at the lack of comment on something we can have more control over.
Our problem is defintely with employees. It’s irregular but significant. We can see that it’s being taken but have trouble to get evidence of who and prove it.
We do all of the spot checks and controls but they still somehow get around it.
The worry for us is not what we know about employee theft, but what we don’t know. Mark outside the computer steps what other ways can we eradicate or find out more about employee theft?
Joe, here’s a like to something I wrote a few weeks ago about tho. It has practical tips: http://towerblog.towersystems.com.au/2012/08/27/advice-on-how-to-cut-customer-and-employee-theft-in-retail/
I had some Moron last week walk into the shop and pick up two adult mags and take them to the counter for a refund. He told our staff member he had bought them yesterday (tuesday) and his wife told him she didnt want “those” mags in the house anymore. Our girl gave him his money back but when i had a look one of the mags had only came in that morning. Got him on camera and then went looking for him. Found him in Woolworths and we fronted him for our money back. He tried to give us all the excuses and i just told him “Scumbags like you are whats wrong with this world”……he gave me the money back. My guess was that he probably didnt need to be found out for a previous warrant over $25 worth of mags.
The lesson learnt for our staff was to check the details.
i find out the aprox time they say they purchased it ALT t look at sales history see if one was sold and then go from there . I did get done on a packet of smokes a year ago . He said him and his wife doubled up on buying the smokes and wanted a refund and me not thinking said yes . Later i had a look at the sales and i had not sold a pack of that brand for over 2 weeks , so i git ripped off but that was the last time for that ..
Allan you need a formal process for handling returns.
First up have it that only senior management can approve. many scammers will walk off at this point. Get a small form made for them to complete asking for the return – get their mobile number and a signature.
Next, check when the item was last sold if they don’t have a receipt – this is very easy to find. If you did not sell the item when they say they bought it then no refund.
wow lucky that you found him! I probably wouldn’t even give him a refund with a weak excuse for refund.
Allan, did you call the police? It may not seem a big deal but thieves are usually serial thieves and any decent police officer will gladly add another theft to a long rap sheet. This happened to us some years back. The drugged out thief who swore it was the first time she had stolen eventually admitted she was already reporting to the police weekly. The police said she was going to court over a LOT of charges and made sure they added our theft to the charges. Don’t give these scum an inch.
Systems now in place to prevent this from happening again. Brendan, i have the footage and you are right, no matter how small we think it might be we all should report these things to the police. I think the Police may probably know him because it was all a bit too easy in confronting him.
We have a strict policy of “no returns on
magazines”. It only takes a minute for
someone to flick through and read it and
why would you give the money back.
I just tell them “for obvious reasons we
do not have any returns on magazines”.
I say it with conviction so that there is no
argument about it and they leave.
If they are genuine they understand and
if they are thieves we have beaten them (this time)