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Powering Up Your Loss Prevention Strategy

How convenience retailers can actively prevent theft and ensure safety at their stores

by Linda Lisanti

Retail crime is a major issue of concern for convenience store retailers today as incidents and their severity are on the rise. Read on for an in-depth perspective on how to power up your loss prevention strategy, including an exclusive interview with a senior executive from Envysion, a Motorola Solutions Company, which partners with c-store retailers to provide actionable information through enterprise video security and business analytics solutions.

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POV: Powering Up Your Loss Prevention Strategy

An exclusive Q&A with Envysion's Faith Klein, National Sales Director

Retail crime is not a new problem for the convenience channel, but it has become a top issue of concern in recent years due to an alarming increase in incidents and their severity. To protect their businesses and keep their employees safe, convenience store operators are having to take such measures as closing locations early, hiring security guards and even shuttering stores.

“Since January 2020, the monthly-per-store losses due to theft in the convenience industry have more than doubled. With that increase, by August of last year, merchandise losses due to theft reached an average per store per month total of $1,953. This is a huge blow for businesses that survive on tiny profit margins of less than 2.5%,” industry associations NACS, NATSO and SIGMA said in a joint letter sent to members of the House Committee on Small Business.

At Freemont, Calif.-based Loop Neighborhood Markets, which operates 50-plus locations throughout the Bay Area, Sacramento and Southern California, Loss Prevention and Employee Development Director Matthew Makarem told Convenience Store News that retail theft (i.e., shoplifting and/or burglaries) continued to rise in 2024, while internal theft leveled down.

He attributes the rise in retail theft to “money problems, cost of living increases [and] economic hardship due to inflation,” as well as poor security measures in some stores. Makarem also pointed out that for the criminals, there’s a “perceived low risk of being caught and/or the feeling of ‘So what, it’s worth the risk even if I get caught; the punishment is just a simple slap on the wrist.’” This rationale is supported by ineffective local government policies, he said.

The impact of increased retail crime is being felt across the entire retail sector. According to a new study released by the National Retail Federation (NRF), retailers reported a 93% increase in the average number of shoplifting incidents per year in 2023 vs. 2019, and a 90% increase in dollar loss due to shoplifting over the same timeframe. Collectively, the retailers surveyed experienced an average of 177 shoplifting incidents per day in 2023.

What’s making matters even worse is that the nature of the crime has changed as thieves have become more brazen and violent. About three-quarters of those surveyed for the NRF study (73%) indicated that shoplifters are exhibiting more violence and aggression than they were a year ago, while 91% said shoplifters are exhibiting more violence and aggression compared to 2019. More than seven in 10 retailers (71%) said they have increased their budgets vs. their last fiscal year to support employee training related to workplace violence.

Creating Cravings

In their letter to the House Committee on Small Business, NACS, NATSO and SIGMA noted that the “potential for violent crime against employees” is one of the fastest-rising areas of concern for the industry, citing NACS’ 2023 Crime & Loss Prevention Survey.

“It is imperative that customers and employees feel safe in our stores. The associations’ members have therefore invested in ways to combat crime and promote security in their locations — resources that negatively impact on their bottom line,” the letter further stated.

What’s a Retailer to Do?

The four approaches to crime control are deterrence, retribution, incarceration and rehabilitation, according to Loop’s Makarem. However, three out of the four are out of retailers’ control.

“I wish I can say there are measures such as tougher laws and/or proper punishments for the crime and/or programs to rehabilitate criminals. Unfortunately, whatever exists does not and is not preventing crime today,” he said. “That leaves us retailers with the one and only measure, which is deterrence. Costly, yet the most effective measure to monitor crime today.”

He has found one of the most effective measures for loss prevention to be using an advanced closed-circuit television (CCTV) surveillance system throughout the operation. For the past 12 years, Loop has partnered with Envysion and used its video security solution, which he said provides advanced monitoring and reporting hardware and software that has helped support the chain’s surveillance needs and been a major contributor in reducing its shrink.

Makarem advocates for finding a CCTV surveillance system that: can integrate with point-of-sale systems; captures clear images; has facial recognition, talk down/up features and security monitors throughout the locations; and uses artificial intelligence (AI) technology that assists in minimizing research times and can capture and auto-generate reports of red flags in the stores.

A surveillance system benefits the retailer, employees and customers. “Our customers feel safer when they know we have ways to monitor our businesses. [They] view our surveillance systems [as a way] to not only protect our business and staff, but to also protect them,” he added.

Other effective measures for loss prevention, he said, are:

Implementing strong inventory control and record-keeping systems by using an advanced point of sale, as well as back-office technology.


Keeping stores well organized with low shelving, clear and unobstructed windows and doors, and an environment that feels safe and inviting through certain design elements such as lighting, layout and proper landscaping. Also, sensible access control such as entry systems, access codes and clear signage.


Getting involved with the community and attending community functions to discuss the homelessness situation and ways the business can provide support.

Getting to know the local policing agencies. Build a direct relationship with them and make your stores inviting for officers to frequent.


Conducting ongoing inventory audits to prevent, or at minimum reduce, theft. Identify potential issues early on and take proper action when results are not within company measures. 

Some Marketing Dos and Don’t

Employee training also plays a critical role in Loop’s loss prevention and security strategy. The way Makarem sees it, employers must equip staff with the knowledge and skills to identify potential risks, report suspicious activity and respond appropriately to security incidents. Loop’s employees are trained to be “approachable while vigilant” and given guidance on “customer servicing thieves out of our stores,” he explained. 

Through comprehensive training programs, “employers ultimately create an internal culture of attentiveness and care where employees feel empowered to protect themselves, as well as the company assets, while feeling supported during potential threats,” said Makarem.

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