Tag: retailers

Theft and violence costing retailers hundreds of thousands of pounds per year

Shopkeepers step up measures to combat rising crime

  • Almost three-quarters of retailers surveyed have suffered from crime in the last 12 months
  • Crime costing retailers nearly £60,000 per year on average – with some losing more than £500,000
  • Retailers forced to adopt protective measures like bodycams, panic alarms and self-defence training
  • British Retail Consortium says ‘scourge in retail crime must be stamped out’
  • NFU Mutual issues key prevent and protect advice

New figures lay bare the true cost of crime to the UK’s high-street, as retailers look to take desperate measures in the face of an alarming rise in theft and violence.

The research* from commercial insurer NFU Mutual shows that nearly three-quarters of retailers (74%) surveyed have suffered from crime over the past 12 months – costing shops an average of almost £60,000 in that time. Shockingly, NFU Mutual found that one in 20 retailers had lost half a million pounds to crime over the same time period.

In a bid to try and combat the costly and widespread issue, almost two-thirds of retailers say they have had to take security measures in the last year alone. That includes a variety of physical and technological protection, with a quarter employing full-time security and 66% installing CCTV.

Some businesses have resorted to more drastic measures to protect staff, with 32% training employees on safety and self-defence, and just shy of a quarter giving staff both bodycams (24%) and nearly as many giving staff panic alarms on their person and on counters (23%).

The rise in crime is felt beyond monetary loss alone, with more than a third of retailers (37%) saying it’s impacted their mental health and three in 10 admitting they live in fear of theft or violence on their store.

Zoe Knight, Head of Commercial at NFU Mutual, said: “Our study shows a worrying number of our retailers are falling victim to crime, which continues to plague our shops, and more than eight in 10 (81%) believe it has increased in the last year.

“With retailers on average suffering losses of around £60,000 a year as a result of theft, the results of this survey will concern the industry.

“And the impact of this ongoing crime wave clearly extends way beyond a cost perspective, with a worrying number saying incidents have had a negative impact on their mental health and others constantly living in fear they will be targeted.

“What is clear, and important to see, is people are making a huge effort to protect their stock, staff and premises. While it does come at a cost, we would urge all retailers to do everything they can to deter thieves to feel as protected and supported as they can, should the worst happen.”

The most common type of crime retailers have suffered was the theft of goods from the shopfloor or stockroom in working hours (48%), with verbal violence or assault against staff and customers (38%), overnight theft (23%), criminal damage (20%) and theft of money from tills or safe (13%) also featuring highly.

The British Retail Consortium’s (BRC) crime survey, revealed in February, further highlighted the issue and the action that needs to take place to tackle incidents in the sector.

Tom Ironside, Director of Business & Regulation at the BRC, said: “Violence and abuse take a huge toll on retail workers, their families, and their friends. While incidents might be over in a few minutes, victims can carry these experiences with them for a lifetime – and can have a severe impact on victims physical and mental health.

“Everyone has a right to go to work without fearing for their safety, and we must stamp out this scourge in retail crime once and for all for the sake of all the hardworking people in retail.”

NFU Mutual Risk Management Services’ advice for retailers to protect against shoplifting:  

  • Use customer service as a tool to deter thieves – greeting them lets them know they have been acknowledged and may deter them as they have been identified 
  • Make sure store layouts are organised and tidy, placing high-value or items which are more desirable for thieves in monitorable areas. Consider adding mirrors to the store to reduce blind spots 
  • If possible, limit the number of high value items on display and secure remaining stock within a robust, lockable area 
  • Train staff to recognise shoplifting tactics and ensure they know how to keep themselves safe from the risk of violence 
  • Consider displaying signage in-store notifying thieves that they will be prosecuted 
  • Try to minimise cash takings and use counter caches to deposit cash during opening hours. Install a good quality compliant safe which is fixed in place and preferably kept in an alarm protected area 

NFU Mutual Risk Management Services’ advice for retailers to protect against break-ins:   

  • Ensure all doors and windows have good quality locks (to BS3621) which cannot be opened from the outside or from the inside without the use of a key 
  • Always keep keys to doors, windows, and safes, in a secure location. Always remove them from your premises outside of business hours and limit their distribution amongst managers or staff.  
  • Consider investing in good shutters, grilles and bars on doors and windows. 
  • If investing in an intruder alarm, ensure it is installed by a NSI or SSAIB approved company, compliant to EN1350-1 and provides remote signalling to an alarm receiving centre 
  • If investing in surveillance (CCTV) ensure it provides good quality images, is recorded to the cloud with links to mobiles and/or remote monitoring, and meets requirements of GDPR 
  • Be aware of cyber threats and make sure you have cyber insurance in place should the worst happen 
  • Consider hiring data protection specialists to provide ongoing security of your data 
  • Have a robust policy in place for responding to intruder alarm activations – i.e. don’t let a keyholder turn up on their own 

Find out more about NFU Mutual’s information for retailers: https://www.nfumutual.co.uk/insurance-for-retailers/

CASE STUDY – BRADBEERS DEPARTMENT STORE

For Bradbeers Department Store, the issue of theft has been a problem which has cost thousands in both stock loss and prevention.

Over the last seven years, Bradbeers – which has five department and furniture stores in Hampshire and Wiltshire – has seen thousands of pounds worth of stock stolen and thousands of pounds spent on various deterrents.

A family-owned, independent retailer, Bradbeers stocks male and female clothing brands including Barbour, Gant, Joules, Ben Sherman, Hobbs and Phase Eight, while also selling high-end fragrance and beauty products, fashion accessories and homewares.

The most recent incident in December saw thieves smash through a toughened window in the early hours of the morning and make their way to steal men’s stock, including Gant and Barbour.

“Staff are called, and police alerted by the alarm monitoring company as soon as an incident happens, which can be at any time of the night,” Mark Hall, Bradbeers’ Property and Procurement Manager, said.

“The problem isn’t just the stock loss but it’s the whole process afterwards – getting the glass cleared, boarding up and re-securing, police reporting and forensics, quotations for repairs, alarm resetting – it is a time-consuming process.

“Attempted theft in our geographical area has been on the increase from what we have noticed. It could well be to do with the cost of living with thieves trying to get expensive goods they can then sell on easily – some stock has been recovered by police, but it’s often been the sort of items that criminals can move on fairly quickly, that never get found.”

A further incident in December last year highlighted another increasing issue in the industry – violence towards staff, as thieves engaged in an altercation with shop workers who tried to stop them from stealing vacuum cleaners.

“It was an afternoon incident and thieves took four vacuum cleaners and tried to run out with them,” said Mark. “Two of our female members of staff managed to recover some items after trying to fight them off.

“Staff safety is paramount, but sometimes the adrenaline kicks in. We are an independent, family business and people that work here feel upset that others would come in and try to steal from us.”

The company has installed metal roller shutter doors and smoke cloak fogging devices among a host of other protection measures, and extensive CCTV which has proved useful to police in identifying perpetrators.

“It really is a big issue and not just for us, but for the retail sector as a whole,” said Mark.  “However, we have certainly seen the benefit of the investments we have made to minimise incidents.”

The Pegasus initiative: Action plan to tackle shoplifting launched

The UK Government has brought together retailers and policing to set out measures to tackle the rise in shoplifting, catch more offenders and keep retail workers safe.

Policing Minister Chris Philp chaired a meeting with senior police leaders and 13 of the UK’s biggest retailers yesterday to launch the Retail Crime Action Plan. 

Commissioned by the minister and published yesterday, the plan includes a police commitment to prioritise urgently attending the scene of shoplifting instances involving violence against a shop worker, where security guards have detained an offender or where attendance is needed to secure evidence. Police attendance will be assessed based on risk, and prolific or juvenile offenders will be treated with elevated priority. 

Police have also reaffirmed their pledge to follow up on any evidence that could reasonably lead to catching a perpetrator. Forces will step up targeted hotspot patrols in badly affected areas. 

The plan sets out advice for retailers on how to provide the best possible evidence for police to pursue in any case. They should send CCTV footage of the whole incident, and an image of the shoplifter from the digital evidence management system, as quickly as possible after an offence has been committed. 

Where CCTV or other digital images are secured, police will run this through the Police National Database using facial recognition technology to further aid efforts to identify and prosecute offenders – particularly prolific or potentially dangerous individuals.

A specialist new police team is also being created to build a comprehensive intelligence picture of the organised crime gangs that fuel many shoplifting incidents across the country, to help target and dismantle them.

The initiative, called Pegasus, is a business and policing partnership that will radically improve the way retailers are able to share intelligence with policing, to better understand the tactics used by organised retail crime gangs and identify more offenders. This will include development of a new information sharing platform and training for retailers.

Spearheaded by Katy Bourne, the Business Crime lead for the Association of Police and Crime Commissioners (APCC), Pegasus is the first national partnership of its kind. It is backed by the Home Office, John Lewis, the Co-op, M&S, Boots, Primark and several more, who have collectively pledged to provide over £840,000 to get the initiative off the ground.

Crime and Policing Minister Chris Philp said: “I want a new zero-tolerance approach to tackling shoplifting. It is a blight on our highstreets and communities and puts the livelihoods of traders at risk. I am determined to drive forward change.

“While it is encouraging to see a 29% increase in charges for shoplifting in the past year, the rise in offending is unacceptable and there is much more to do to stop it happening in the first place.

“That’s why we’re taking action and bringing together government, policing and business to commit to smarter, more joined up working when it comes to retail crime, which will help to drive down criminal behaviour and rebuild public confidence in the police response when it does occur.”

The majority of funding for Pegasus will go towards the creation of a dedicated team of specialist analysts and intelligence officers to work within OPAL, the national policing team that oversees intelligence on serious organised acquisitive crime.

OPAL is run by Detective Chief Superintendent Jim Taylor and overseen by North Wales Chief Constable Amanda Blakeman. Recruitment has already started, and the team will be operational later this month, delivering outcomes across the country by the New Year.

Pegasus will deliver a new digital interface to streamline information sharing between retailers and the police and also provide training for retailers on appropriate information and intelligence to share with policing.

Chief Constable Amanda Blakeman, National Police Chiefs’ Council Lead for Acquisitive Crime, said: “Dealing with retail crime requires a multi-faceted approach and through the launch of Pegasus, plus the Retail Crime Action Plan, we have bolstered the policing response to tackling offenders and supporting retailers in reducing shoplifting and attacks on retail staff.

“We welcome the collaboration between retailers, police and crime commissioners and policing through Project Pegasus which centralises intelligence and enhances our ability to identify and tackle the groups involved.

“We continue to target those prolific and habitual offenders whose behaviour causes misery and takes profit from our communities and retailers. Local police forces assess each report through a threat, harm and risk model to determine their police response and will deploy resources where they can be most effective in catching offenders and keeping people safe.”

Paul Gerrard, Campaigns, Public Affairs and Board Secretariat Director of the Co-op, said: “The Co-op has long called for greater police prioritisation so they tackle the rampant rise in retail crime especially those involving violence or prolific offenders; this is now what happens at present as our colleagues see every day.

“We, therefore, welcome the commitments in the ‘Retail Crime Action Plan’ to attend incidents of violence, incidents where offenders have been detained and ensure all evidence is collected so every reasonable line of enquiry can be followed.

“Alongside Operation Pegasus, which the Co-op is helping to fund, we are hopeful that this will mark the point at which the police will provide the support to protect shopworkers and shops so they can help the communities they serve thrive.

“The Co-op stands ready to work with every police force to ensure our colleagues and the shops they work in can continue to serve their communities.”

Katy Bourne, PCC and APCC National Lead for Business and Retail Crime, said:  “Pegasus will be a game changer in the fight against retail crime providing for the first time an accurate national picture of the organised groups from local families to cross border criminals driving organised shop theft. 

“Retailers will agree ways to capture information that can be shared and analysed to create intelligence packages for police forces to target and track perpetrators. I am very grateful to all the contributors to Pegasus and to Mitie in particular for helping to get Pegasus airborne.”

Nicki Juniper, Head of Security for the John Lewis Partnership, said: “While there’s no silver bullet for tackling retail crime, we welcome this significant step forward.

“Retail crime is not victimless, it has an impact on Partners, customers and on prices. We look forward to continuing to work collaboratively with police and others in the sector to keep our Partners and customers safe.

Which?: Don’t Dwell on a second-rate retailer

Which? reveals best and worst shops for furniture and homeware

In a difficult year for retailers, high-quality products and five-star customer service proved the difference between the winners and losers in Which?’s survey of the best and worst shops for furniture and homeware. 

With many people turning their attention to home improvements in the period between Christmas and New Year, the consumer champion surveyed thousands of members in August who had recently bought items ranging from cushions and lamps to beds and sofas.

Which?’s experts asked for their views on value for money, customer service and product quality, as well as their experience with deliveries and returns.

In a list of almost 50 shops including Argos, Ikea, John Lewis, Marks and Spencer and TK Maxx, the lowest rated of all the retailers in the Which? survey was Harveys (58%), which went into administration in June and has now stopped trading.

Customers told Which? they were particularly unimpressed by Harveys’ product range/availability, its after-sales service and performance on returns. One unhappy customer said the company “Did not deliver the sofa as promised, they had very poor customer service and could not tell us if the sofa was in the warehouse or even in the country”.

Furniture store Dwell (60%) fared only slightly better in the rankings, receiving poor ratings for its product range/availability and quality of products.

One Dwell customer, who had bought bedside cabinets, said: “I didn’t receive the service I expected from Dwell, the online store wouldn’t apply a discount so I ordered over the phone, and had trouble getting a firm delivery date. The goods arrived damaged although when I eventually got to speak to someone they did give me a discount.”

DIY store Homebase (62%) came third from bottom, with product range/availability and quality both only receiving two out of five stars from customers. Staff were given three stars for their helpfulness and knowledge. One shopper told Which? “the store is quite depressing” although several noted the layout was good for maintaining social distancing.

John Lewis & Partners (84%) was the top rated retailer for homeware and furniture.

The well-loved department store had customers raving about its after-sales service, product guarantees and warranties, and customer service. When explaining their experiences shoppers used words like “reliable”, “trustworthy” and “consistent”.

In second place was specialist kitchenware supplier Lakeland (83%).

Shoppers gave it five stars for its range/availability, product quality, staff helpfulness, after-sales service and guarantees. One customer summed up their experience by telling Which?: “Products aren’t cheap but are always of excellent quality. Service is first class.”

Ikea (80%) came in joint third place. Best known for its flatpack furniture, shoppers gave it top marks for value for money. While the in-store shopping experience was described as a “day out” by one shopper, another complained about the “marathon trek which is difficult to shortcut” and instead opted for home delivery as a result.

Also in third place were TK Maxx and Homesense (80%). Shoppers gave the stores a full five stars for value for money. Many said they were good for store browsing, using words like “unique” and “unusual”. However not all customers were convinced as one shopper said the store could be “chaotic”.

Marks and Spencer (79%) was the joint-fifth highest rated for furniture and homeware. Shoppers gave it a full five stars for product quality and staff helpfulness as well as for its warranty or guarantees. Many shoppers used words like “convenient” or “easy” to describe their experience.

When it came to Amazon (75%), customers gave the online marketplace a full five stars for product range and ease of delivery. One shopper who had bought kitchenware praised the “tremendous range of goods and the fast and reliable delivery”. However, other customers criticised the excessive use of packaging.

Customers rated Argos (73%) highly for value for money, ease of delivery and staff knowledge. Many of those surveyed noted that the Argos website is easy to navigate, however some found that products were at times out of stock.

Overall, three in 10 shoppers told Which? that cost was the most important factor when choosing a retailer to buy their furniture and homeware from. One in five (18%) customers looked for the shop that had the best range.

Gareth Shaw, Head of Money at Which?, said: “Spending so much time at home this year has inspired many of us to upgrade our interiors – and the challenges of this year have really emphasised the differences between retailers that offer a great experience and customer service, and those that don’t.

“If you’re investing in new furniture and homeware, our research shows it’s worth looking beyond enticing deals and buying from a retailer you can rely on.”

Minimum Unit Price awareness campaign kicks off

Owners of the 5,300 convenience stores across Scotland will be the focus of a new awareness-raising campaign on the introduction of a minimum unit price for alcohol. This is the first stage in a large-scale campaign to ensure retailers and customers are ready for the implementation of the new legislation on 1st May.

It comes as the Scottish Government is set to recommend a minimum unit price to the Scottish Parliament.

Health Secretary Shona Robison said: “Minimum unit pricing will tackle the scourge of cheap, high-strength drink that causes so much damage to so many families and is going to save the lives of thousands of Scots.

“Retailers are the key to ensuring the legislation is implemented, which is why it is crucial we raise awareness of this change in the law early and give people time to get prepared.

“These materials will allow shop-owners to access a valuable bank of information to educate themselves and their staff ahead of the change on 1 May.

“Our consultation on the price of a unit of alcohol recently closed, and I am looking forward to presenting our recommendation to the Scottish Parliament next week.”

Posters, leaflets and adverts in trade magazines will be distributed from next week highlighting the changes to alcohol licences from 1 May.

Online resources will be available shortly after to provide guidance for retailers on issues like calculating the minimum unit price of a product, enforcement, and money-off vouchers.