- Arenas/Stadiums/Leagues /Entertainment
- Construction, Real Estate, Property Management
- Critical Infrastructure: Electric, Gas, Water
- Education: K-12
- Education: University
- Government: Federal, State and Local
- Hospitality & Casinos
- Hospitals & Medical Centers
- Ports: Sea, Land & Air
- Retail/Restaurants/Convenience Stores
- Transportation/Supply Chain/Warehousing
Items Tagged with 'organized retail crime'
The retail industry will lose an estimated $8.76 billion to return fraud this year, and $3.39 billion during the holiday season alone. Overall, 5.8 percent of holiday returns are fraudulent, up slightly from 4.6 percent last night.
Shrink, comprised of shoplifting, employee or supplier fraud, organized retail crime and administrative errors, cost the retail industry more than $112 billion globally last year, according to the 2012-2013 Global Retail Theft Barometer, and represented 1.4 percent of retail sales, on average.
As if the retail industry hasn’t suffered enough in recent years, growing in severity, number and type, retailers are reporting that organized retail crime (ORC) has become more troublesome than ever before.
Businesses lost $30 billion a year to organized retail crime, according to The National Retail Federation. Several Cook County enterprises are teaming up to get crime data and investigation material out to retailers in seconds, not days.
The National Retail Federation’s ninth annual Organized Retail Crime (ORC) Survey found that 93.5 percent of retailers say they have been a victim of organized retail crime in the past year, down slightly from 96.0 percent in 2012.
Up to five years in prison faces anyone guilty of knowingly committing organized retail crime, such as reselling stolen items to other stores or on the Internet.
Employee theft, shoplifting/organized retail crime and administrative error are the main sources of loss affecting retailers.
Retailers have a systemic problem. They know that a percentage of the people walking into their stores are there solely to steal. But with full knowledge, they still welcome all as if they will be paying for their purchases. They also know that unbridled access to goods leads to higher sales, but allowing that also creates a gateway for higher theft.
Shoplifters in Britain make off with goods worth almost £400,000 (approx. $637,000) every day, British retailers have said.
It’s a telling case: a few years ago, members of two criminal organizations in California were charged for their role in a large-scale fencing operation to buy and sell over-the-counter health and beauty products—as well as other items like camera film, batteries, and infant formula—that had been stolen from major retail chain stores. The merchandise was then passed off to crooked out-of-state wholesale distributors, who just sold it back to unsuspecting retailers.