How can you collaborate with other retailers to prevent shrinkage?

1 Share information

One of the benefits of collaborating with other retailers is that you can share information about common sources of shrinkage, such as shoplifters, dishonest employees, or vendor fraud. By exchanging data, tips, and best practices, you can identify patterns, trends, and risks that affect your businesses. You can also alert each other about suspicious activities, incidents, or individuals that may pose a threat to your inventory. For example, you can join a retail crime alert network, such as the Retail Industry Leaders Association's Crime Alert System, which allows members to report and receive alerts about organized retail crime.

2 Coordinate security

Another way to collaborate with other retailers is to coordinate your security measures and policies. By aligning your security standards, procedures, and protocols, you can create a consistent and effective deterrent against shrinkage. For instance, you can agree on common signage, cameras, alarms, locks, tags, and sensors that signal to potential thieves that your stores are well-protected. You can also coordinate your security staff, training, and schedules to ensure that you have adequate coverage and support in case of an emergency. Additionally, you can collaborate on security audits, inspections, and investigations to identify and resolve any vulnerabilities or issues.

3 Leverage technology

Technology can also help you collaborate with other retailers to prevent shrinkage. By using software, apps, or platforms that allow you to communicate, monitor, and analyze your inventory, you can improve your visibility and control over your stock. For example, you can use a cloud-based inventory management system, such as Vend or Square, that enables you to track your inventory across multiple locations and devices. You can also use a loss prevention analytics tool, such as Profitect or Sensormatic, that uses artificial intelligence and machine learning to detect and prevent shrinkage. Furthermore, you can use a social media or messaging app, such as WhatsApp or Slack, that allows you to chat, share, and collaborate with other retailers in real time.

4 Build trust

Finally, to collaborate with other retailers to prevent shrinkage, you need to build trust and rapport with them. By establishing a relationship based on mutual respect, honesty, and transparency, you can foster a culture of cooperation and accountability. You can also avoid conflicts, misunderstandings, or competition that may hinder your collaboration. To build trust, you can start by reaching out to other retailers in your area or industry, introducing yourself and your business, and expressing your interest in collaborating. You can also join or create a retail association, network, or forum that provides opportunities for networking, learning, and sharing.

Shrinkage is a serious problem that affects all retailers, but you don't have to face it alone. By collaborating with other retailers, you can leverage your collective knowledge, resources, and influence to prevent shrinkage and boost your bottom line.

5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?