Organized retail crime (ORC) has taken center stage, especially during the holiday season. In this era where online shopping, security measures, and global markets dominate the retail industry, organized retail crime (ORC) has emerged as a significant challenge for retailers.

With the festive season around the corner, we had an insightful interview with Brand Elverston, a retired Walmart Director of Asset Protection with over 20 years of experience. His unique perspective highlights the changes, challenges, and strategies to combat ORC. In this blog, we will dive into the ever-evolving issue from the viewpoint of an end user in the security industry.

Understanding Organized Retail Crime

ORC isn't merely shoplifting. As Brand points out, it is about goods stolen for resale, usually by groups, differentiating from common shoplifters who steal for personal use. The rise of the internet, with platforms like eBay and Instagram, has amplified ORC since the late '90s. The genuine concern, however, isn't just monetary losses. The growing levels of aggression and violence from these criminals overshadow the financial implications.

Recent Trends in Organized Retail Crime

The pandemic played an indirect role in accelerating ORC. Retailers, in light of COVID-19, often reassigned staff or reduced store operating hours. The diminished attention allowed criminals easy access. Moreover, with the increased frequency of offenses, law enforcement and the courts are overwhelmed, making it challenging to address every ORC incident.

E-commerce and Its Role

While e-commerce has revolutionized shopping, it has also provided criminals with a new playing field. Many retailers were initially slow to mitigate online fraud. The virtual world requires a different skill set than brick-and-mortar shops. With online platforms, retailers face potential threats from all over the world at all hours.

Targeted Products

The holiday season witnesses certain products becoming hot commodities for ORC groups. Items that are easy to sell and transport and aren't unique, like razor cartridges, cosmetics, jewelry, video games, and printer cartridges, top the list. Their high demand in legitimate markets ensures they'll also be lucrative in the illegitimate world.

Tactics Employed by ORC Groups

For ORC criminals, poorly staffed or inattentive stores are easy targets. In the e-commerce sphere, fraud tactics evolve rapidly, highlighting the importance of specialized teams dedicated solely to eComm fraud channels.

Countermeasures for Retailers

Security measures, though abundant, often fail to evolve with the rapidly changing retail landscape. Traditional solutions like locking showcases, security guards, and product tethering are still prevalent. However, some innovative solutions, such as Everseen, Ocucon, and ZeroEyes, use AI to combat ORC. Yet, as Lowe's CEO Marvin Ellison stated, the best strategy remains to ensure appropriate store staffing.

The Role of Law Enforcement

Law enforcement, with its finite resources, primarily responds based on priorities. A comprehensive strategy to address ORC should include:

• Robust legislative measures with more vital consequences.

• Engagement and commitment from Retailer and Supplier C-Suite leadership.

• Investment in next-generation solutions like AI and store redesigns.

• Consumer Awareness

Although not a prime concern for retailers, consumers must be wary of counterfeit products, especially during the holiday rush. Staying informed and vigilant is essential.

Looking Ahead

The landscape of ORC is unlikely to witness a drastic change in the near future. Brand's advice echoes the sentiments of many in the industry: be vigilant. Whether you're a retailer or a consumer, if you "see something, say something." As the holiday season approaches, awareness, combined with the right strategies, will be our best defense against organized retail crime.

Final Note

Brand Elverston's wealth of experience offers invaluable insights into understanding and effectively combating this evolving threat. To fortify our defenses, a synergy of advanced technological solutions, vigilant store operations, and active collaboration between retailers, law enforcement, and consumers is imperative.

The complexities of ORC continue to evolve, demanding proactive and informed responses. As the retail industry confronts these challenges, it is essential to remember that awareness and diligence are the greatest allies. Whether you are a retailer or a consumer, the adage holds: "See something, say something." With these strategies in place, we can collectively safeguard the holiday spirit and ensure a safer, more secure shopping experience for all.