Loss Prevention 101: Five Tips Your Business Needs To Know

Hannah Whittenly

November 20, 2013

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Smaller businesses have a tougher time than larger businesses in protecting their inventory. Larger businesses have inventory tags on all of their merchandise, and as long as the tag is not removed, an alarm will be set-off as soon as someone tries to leave the store without paying. Smaller businesses cannot afford to purchase this type of system, but there are several things a smaller business can do to cut down on the amount of inventory theft.

Keep valuable items in display cases

Every store has items that are their most valuable inventory, and they should be under lock. Naturally, they can be in a display case so customers can look at what inventory is available, but an employee can unlock the case if a customer is interested in a particular item.

Make customers check-in backpacks and large bags

When customers enter the store with a large backpack or other type of bag, simply have them check it at the front register. A ticket can be given to them so they can claim their bag on the way out. In smaller stores that do not have bar codes that trigger alarms, this is a low cost way to prevent theft.

Use mirrors in vulnerable areas of the store

Every retail store has areas that are difficult to monitor, and it is in these areas the people will move to when they try to conceal merchandise. Large round mirrors positioned correctly can help employees see what is happening in these areas.

Do not allow customers to take merchandise into the restroom

For some retailers, it simply makes sense not to have public restrooms at all. If someone needs to use a restroom there is usually a larger store nearby that they can be directed to. If you decide to allow customers to use the store’s restroom, make sure that there is a warning sign about store merchandise taken into the restroom and instruct employees how to enforce this.

During closing times

During closing time, a business can use Vivint security systems to protect inventory during closing times. This will monitor doors, glass breaks and other emergency services like fires. This will help cover the inventory even when all employees are gone.

Employees are the front line in fighting theft and need to be informed of what they need to look for as well as the procedure to follow when theft is suspected. During business hours, a low cost approach utilizing your employees must be formulated and implemented. The five tips above are a great place to start.