Australian retailers are feeling the pinch as a dangerous new trend is sweeping across retail stores, especially with the biggest shopping season around the corner. Many shop owners note that petty theft incidents have grown much more quiet and unseen. Real wage growth remains elusive as inflation and the cost of living go unabated. Experts argue that these economic and social pressures are forcing more individuals to resort to theft.
Harry Zhao, owner of local high-tech shop Geek Xi County, pointed out that theft is now an every day reality for shop owners. “Basically, theft happens every day,” he stated. Zhao explained that most offenders come from various backgrounds and ages. He proceeded to outline these events in depth. He added, “The biggest cases tend to be the smallest, with people slipping drinks or snacks into a purse or satchel while walking around and keeping it low-key.”
Lizhen Cai, an owner of a Sydney independent supermarket revealed that her store was losing $200-300 a day to shoplifting. At times, those losses can be as high as $500 or $600. When you add those losses over the course of a year, they can add up to as much as $150,000. Cai’s concerns underscore an increasing trend. According to the Australian Bureau of Statistics, incidences of retail theft rose 7 percent last year—nearly 270,000 thefts.
Every year, as Christmas approaches, retailers gear up for a spike in theft they predict comes with the holiday season. Underscoring the need for increased awareness from shopkeepers, Stephanie Atto, a representative for a retail trade group, lamented the tragic experience of many. We anticipate that the risk of retail crime will increase with the approach of Christmas. We strongly encourage retailers to be on high alert during this upcoming peak season,” she continued. Atto further noted that law enforcement must re-focus its efforts in safeguarding retailers during this period.
Vincent Hurley, a consultant and former Dollar General executive, blamed the increase in theft in part on high prices and flat-lining wages. There is wage inflation and stagnation, particularly for workers working part time. He continued by saying that many consider shoplifting to be a way to get by in the current cost-of-living emergency. Or they’re desperate and just overwhelmed by these increasing costs. Hurley shared an alarming trend. He warned that the expansion of self-checkouts would increase crime by increasing opportunities for undetected theft.
The normalization of shoplifting among Gen Z and millennials has shocked many people too. Atto underscored one of the most shocking and unexpected discoveries from her organization’s recent survey. More than 60 percent of people between the ages of 18 and 34 consider retail theft acceptable at least in part. “At a time when crime is understandably at the forefront of everyone’s minds, Australians should not accept an increase in retail theft,” she stated.
Zhao shared his concerns as well about what it means that there is such an acceptance of theft. He stated, “If you steal, it is selfish and inconsiderate of others,” adding that it creates a feeling of insecurity within the community. He further focused on the difficulties that store workers have when dealing with shoplifters. He pointed out that when we apprehend a terrorist stealing, they start to run from the beginning. They would perhaps beat us to get back the stolen goods or even kill us. To protect their lives, many retailers make the decision to allow thieves to escape rather than risk violent encounters.
Technology has advanced considerably, with new facial recognition systems able to identify known repeat offenders. These efforts have seen little success at stopping the rising tide of retail theft. Atto stressed the importance of maintaining an ongoing conversation around the issue. He emphasized the need to address the root cause — society’s perception of theft.
“Also, law enforcement needs to be out there looking after retailers, as well.” – Stephanie Atto
Retailers in Australia are now faced with the challenge of balancing loss prevention with maintaining a safe environment for their employees and customers. As retailers prepare for the upcoming holiday, they need to be vigilant against increasing theft. They need to recognize the attitudes of the times that may be fueling this new USP behavior.
