Anti-shoplifting technologies are saving retailers offline

The technology to control and regulate shoplifting has changed from time to time depending on its success rate. In the early days, retailers installed video cameras in their stores to keep tabs on customers. Slowly evolved a number of other different strategies to reduce shoplifting, including storing small, expensive items in locked display cases; chain or otherwise attach items to shelving or fabric racks; attach magnetic or radio sensors or dye packs to items; install curved mirrors mounted above bookshelves or video cameras and video monitors; the hiring of “store detectives” and undercover security guards; and a ban on bringing backpacks or other bags.

However, strategies such as glass doors and fixing items on the shelves have mostly led to unsatisfied customer experience as they are not able to touch and feel the product leading to heavy losses. of sales. Subsequently, through many technological experiments, the Electronic Article Surveillance (EAS) system was a worldwide success.

The Global Electronic Article Surveillance Market is valued at USD 974.7 Million in 2020 and is projected to reach USD 1,190.9 Million by 2026, registering a CAGR of 3.60% over the forecast period . According National Retail Federation, organized retail crime (ORC) costs the retail industry an estimated US$30 billion each year. The National Retail Security Survey (NRRS) confirms that the leading cause of retail shrinkage is shoplifting. All of these cases have forced retailers to implement a solution that can prevent theft, thus driving the demand for EAS.

Electronic Article Surveillance System

The most effective anti-shoplifting tool that was used was CCTV and the tag and alarm system, better known as Electronic Article Surveillance (EAS). Separately, they are good options, but when used together, according to experts, they are almost unbeatable. EAS technology identifies the item as it passes through a closed area in a store. This identification is used to alert unauthorized removal of the item. EAS systems began to be used almost everywhere as they had no restrictions for items of any size. Using these EAS systems has allowed retailers to display popular items on the floor, where they can be seen and touched, rather than putting them in locked boxes or behind the counter. EAS technology basically uses electronic antenna, deactivator or detacher, electronic tag.

Special tags and labels are affixed to the goods. These tags or tags are removed or “deactivated” by POS employees, either after billing or before billing. Deactivation is done either using a ‘Label Deactivator’ (the cashier uses a ‘Detacher’ which releases the pin) or by passing each product label over the ‘Deactivation Pad’ after the label has been deactivated or a tag the customer can then pass in front of the antenna without any alarm.

If the labels are not removed, a detection system at the exit of the store sounds an alarm when it detects the passage of active labels. There are two commonly used types of EAS – radio frequency (RF) and acousto-magnetic (AM), and the difference between them is the frequency at which they operate. Acousto Magnetic systems operate at 58 KHz which means a signal is sent in pulses or bursts between 50 and 90 times per second while Radio Frequency or RF operates at 8.2 MHz.

One of the solution providers for the same is sensormatic, based in Switzerland, which helps retailers deliver frictionless personalized experiences to their customers. The company offers a wide range of solutions for loss prevention, including a detection system, sensors, deactivators and detachers and an analytical platform. The company offers three types of detection systems: pedestal systems that are installed at the door and exist; Concealed systems that are attached to wall antennas or door frames and recessed systems and surveillance zones that provide effective surveillance at exits and/or checkouts.

RFID tags with item-level tracking

Radio Frequency Identification (RFID) is the wireless transfer of digital identification and additional data between an RFID tag and a reader using electromagnetic waves.

Avery Denison, the adhesive labeling and supply chain solutions provider, is a leading provider of RFID solutions. The company offers AD-362r6-P inlays, a unique dual-technology design that integrates a UHF RFID inlay and an Electronic Article Surveillance (EAS) tag into a single die-cut tag. The solution combines item-level tracking capabilities for a wide range of retail apparel products with secondary loss prevention functionality. The solution is specially designed for the clothing and fashion industry.

The other company offering the solution is Zebra Technologies, based in the United States, which provides software, services, analytics and solutions to intelligently connect people, assets and data. One of the various technologies the company provides relies on the use of prescriptive analytics which uses machine learning to help companies decide on a course of action based on a program’s predictions. computer science. The solution automatically scans the data for any behavior that could potentially indicate ORC-like behavior, then alerts a retailer to the “opportunity” for resolution.

Facial recognition technology for a cashless store

Facial recognition technology has a large database of documented shoplifters, organized crime associates, disgruntled former employees and others who pose a risk. Shoplifters, if they enter a store, can be traced from video footage or following an arrest. As soon as the shoplifter returns to the store, the camera with a facial recognition algorithm can compare that individual’s face against the database of images in the case.

When the system recognizes a potential match, store security professionals can be alerted instantly. Technology therefore makes it possible to observe suspicious individuals and reduce the number of cases of shoplifting.

In the event that an individual succeeds in committing a crime, facial recognition can provide considerable added value. An image of the retail criminal can be pulled from the store’s CCTV or VMS systems and saved to the system. You may not know who the person is, but your security team will know when they return to a store.

One of the technology providers for this technology is Cognitec system based in Germany. It uses facial images, deep learning, computer vision and pattern recognition technologies to make accurate decisions.

Asia-Pacific – A growing potential market for EAS

The growing number of retail stores in the apparel, supermarket and mass retail sector is expected to create a significant demand for EAS systems in the Asia-Pacific region. According to a study conducted by the China Trade Association for General Commodities (CCAGM) in 2020, 84.4% of China’s top 90 department store operators planned to explore O2O (Online-to-Offline) integration. EAS demand has seen a marked increase, leading to the expansion of its market.

India’s Ministry of Economy, Trade and Industry has struck a deal with five major convenience stores, including Seven-Eleven Japan, FamilyMart, Lawson, Ministop and New Days, to roll out e-tags for all products sold in their stores by 2025, which totals 100 billion products. All these developments are expected to boost the market growth in the region.

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