Theft Is Now Costing Retailers in the United States About 100 BILLION Dollars a Year

DISCERN REPORT ^ | May 20, 2023 | Michael Snyder

[E. Pluribus Unum]

If we don’t fix this, will the retail industry be able to survive? There has always been shoplifting, but in the old days it was at a level that made it only a minor nuisance to the big box retailers. Unfortunately, now everything has changed.

Highly organized gangs have developed extremely sophisticated plans for how to rapidly loot our major retailers, and the best ones can be in and out in just minutes. Those goods are then resold online or in the streets, and the amounts that we are talking about are absolutely staggering. In fact, as you will see below, theft is now costing retailers in this country about 100 billion dollars a year.

This week, Target made headlines all over the nation when it publicly admitted that theft will cost it 500 million more dollars than it did last year…

Target said Wednesday that organized retail crime will fuel $500 million more in stolen and lost merchandise this year compared with a year ago.

Target’s inventory loss, called shrink, totaled about $763 million last fiscal year, based on calculations from the company’s financial filings. With the anticipated increase, shrink this year would surpass $1 billion.

Let’s do some math. 763 million from last year plus 500 million more this year equals 1.263 billion dollars. Please keep in mind that this is just one chain.

As Target CEO Brian Cornell openly admitted earlier this week, organized retail crime has become a massive problem “across the entire retail industry”…

‘The unfortunate fact is violent incidents are increasing at our stores and across the entire retail industry. And when products are stolen, simply put they are no longer available for guests who depend on them.

‘Left unchecked, organized retail crime degrades the communities we call home. As we work to address this problem, the safety of our guests and our team members will always be our primary concern.

[Dilbert San Diego]

wow, so people can scan the items, but don’t make their payment.

Well, this all adds up to inventory losses.

And all of us honest people pay for all of it. All of us are paying a little more for everything, to make up those losses and maintain profitability for the store. Even if they are able to take tax deductions for shrinkage, this still costs them real money.

[Salman]

What happens when you don't enforce the law for whatever "progressive" reason.

But there can be no "just going back" to how it was before.
Any such attempt will be successfully resisted by the unleashed ones.
Any solution must go way beyond just trying to go back.

[The people have spoken]

And they’d better check everyone, not just the likely suspects, because they’d be accused of profiling.

[Allegra]

if they spent a little on security and let them do their jobs, they’d have more $$ in the long run.

You’re right. Unfortunately, in thugocracies like California, nobody, including a security guard is allowed to do anything to the shoplifters except maybe kick them out if they catch them. And if the thug(s) won’t leave, all they can do is call the police.

And that tends to worsen a lot of situations.

California’s, New York’s and other blue states’ soft-on-crime laws are assisting in bleeding those companies dry.

[mewzilla]

this still costs them real money.

But not enough of theirs.

And if we want this to stop, the above needs to change.

[SaveFerris]

As I say often, retail theft is out of control

[Governor Dinwiddie]

#24: "These animals don't respect private property, or much of anything else for matter. They
will continue to lay waste to everything until someone lays down the law and puts a stop it."

[SaveFerris]

Tagged products, sign-in with phones, palm prints (Amazon One) are going to be the norm

[ronniesgal]

i live in Virginia, and actual gangs of thieves ride up and down 95 to rob ( shoplift) stores. Nothing happens- our local PD put out photos of the thieves, but the stores will do nothing to stop them. No private security when it is easily affordable to them.
They have even been so bold to mace the employees on the way out with the goods. Ridiculous- and i tend not to shop in those places because what’s to stop the group from robbing the customers, too? We all have handbags/wallets. Only a matter of time.

[ChronicMA]

Needs to be more mention of lawsuits in this thread. Enforcing security measures against obvious shoplifters sounds great until you realize it takes only one incident where an employee acts poorly or a jury can be convinced that the store’s actions were improper.

Keeping insurance rates down by having a lenient security policy is probably better for their bottom line.

[ronniesgal]

most “poor” people around here tend to shop at Dollar General/ Dollar Tree. Maybe Walmart. Target would be a stretch.

[bk1000]

There’s your reparations.

[PGR88]

The USA is morphing into a version of Venezuela/Bolivia/Mexico

Socialism is here, dictatorship is coming, poverty, inflation, chaos are growing

[rlmorel]

I have long thought the end goal of many of these Leftist “policies” is to divide, separate, isolate, and alienate people from each other, with the result people stay in their homes, all necessities, entertainment, and most importantly, information is brought to them there.

Human existence (which the Left opposes, except for the Party Members like them) is much like a mouth full of teeth.

Together, standing erect, side by side with each other, those teeth are strong and firmly rooted. They mutually support each other.

But if they aren’t next to each other, if they get isolated because teeth on either side of them aren’t there to support a tooth, that solitary tooth loses its mutual support, it becomes un-anchored, its foundation degrades, and that tooth becomes weak and vulnerable.

Humans together are much more difficult to tyrannize. Isolated teeth standing alone are much more easily lost or yanked out.

And so it is with the Left. They believe humans are an infestation on Gaia and need to be controlled. Dividing us, separating us, isolating us, and alienating us is just one tool to do that.

[bert]

the theft phenomena is income redistribution or reparations in another word.

The theft being permitted is actually Kissing Black Ass to insure the votes is not lost. A mere 5% loss of black vote is an existential change.

Theft is in fact a ploy presented to create an illusion of equality

[Allegra]

Man, Virginia has changed since I went to high school in Fairfax County a long time ago. The only shoplifting I knew about back then was usually kids and it wasn’t rampant. I worked part time in a department store in my college days and when the loss prevention people caught a shoplifter, it was a pretty big deal.

I remember once, a mom apparently found an unopened mascara and lipstick on her teenage daughter and dragged the daughter back to the store, making her return the items and apologize to the manager. You could see that the daughter was mortified and probably never did it again.

But life was more civilized back then. I don’t think gang-shoplifting was even going on in DC back then. Other thuggery was, if I don’t think they were doing that yet.

[Qiviut]

It appears to me they are checking in a non-profiling manner .... anyone with a large item that is not “baggable” is being checked, from what I can tell. I have seen plenty of older white men, retired types, getting asked to show a receipt. As I said, I keep mine out & if I have an unbagged item, I walk right up to them with the receipt ... one old guy “knows” me (we’ve had some interesting discussions when he’s on ‘greeter’ duty) & barely glances, pretty much just waves me on. Usually, I have bird seed, potting soil, stuff like that - cheaper at Walmart than anywhere else & saving money is a priority in these days of Bidenflation.

[Airwinger]

Got a lady here constantly posting multiple printers, cricut machines, heat presses etc,,,,, contacted management at wally world,, only local store that carries,,,,,,,no real interest.

[Airwinger]

Used to be a couple of stores like that,,

[BikerJoe]

More and more stores will go to on-line sales, the local stores will just close down.

However, there are just some things I want to SEE for myself, to actually judge quality. Online doesn't cut it for that (although a liberal return policy helps). Clothing material quality, fruit, vegetable and meat quality, tool and equipment quality, you name it, need to see it for myself. Of course, then you actually have to BUY the item locally to support the local store, so that it doesn't become a very temporary online showroom. But then, that's only for in the good areas. The downtowns and 'hoods are a whole different problem.