Four Ways Monitored CCTV Can Improve Your Bottom Line
With their broad, cross-departmental oversight, today’s security professionals are uniquely positioned to make an impact on their companies’ bottom line. And often, doing so is as simple as applying existing tools in new and unexpected ways. Here are four ways some Viewpoint customers are using our monitored CCTV service for more than just averting break-ins:
1. Nipping organized crime in the bud: Is that a flash mob or a “flash rob”? At holiday time, it can be tough to tell, with devastating organized crimes like flash robs on the rise in the brick-and-mortar retail industry. A full 97 percent of retailers were victimized by organized retail crime last year, according to the National Retail Federation’s (NRF) 11th annual Organized Retail Crime Survey, an increase of over 10 percent from the prior year. Video analytics can identify red flags, such as large groups gathering outside a store’s doors, that might otherwise escape the notice of busy retail workers. With this intel, our monitoring staff can take steps to determine if the threat is real. Elsewhere in your organization, social media/marketing staff can work cross-functionally to flag and report any flash rob chatter online, and we can work with them as well to confirm what’s legit or not. Like the crime itself, prevention is a team effort.
2. Curbing employee theft: The NRF survey also reported that organized crimewithin companies is on the rise, with 84.9 percent of retailers reporting experiences with it, versus 60.3 percent last year. As we discussed back in October, employee theft accounts for 43 percent of shrinkage (inventory loss) in retail settings — a bigger piece of the pie than consumer shoplifting. The problem, which extends beyond retail to office and industrial settings as well, can be greatly reduced, if not eliminated, with strategically placed cameras and professional monitoring. By creating an atmosphere that doesn’t enable bad behavior, you can also improve your team’s overall morale and drive.
3. Buttoning up the supply chain: According to NRF VP of Loss Prevention Bob Moraca, “Brazen and often dangerous criminals are finding new ways every day to manipulate the retail supply chain, [including] the docks where merchandise comes in.” Wholesale delivery sites and transition points are frequent and often overlooked targets, with 37.9 percent of NRF survey respondents having experienced cargo theft in the past year, up from 35.4 percent last year. Technology is helping criminals pull these logistical heists off, but the right technology on the company side can also bring them to a halt. With CCTV monitoring — particularly analytical systems that sound an alarm as soon as a pattern deviates from the norm — every pallet of smartphones can stay right where it belongs: in your supply chain.
4. Boosting retail sales: Some security managers are working across departments to leverage CCTV data in ways that don’t just minimize loss, but also help to increase sales. Video feeds hold incredible data that can be used to study customer habits and trends. Merchandisers and store designers can synchronize their work with foot traffic patterns, managers can make informed decisions about where to place sales staff on the floor and marketers can see which displays are catching eyes and which promotions are translating to sales. As much as cameras can help retailers understand their risks of loss, they can also bring clarity to where opportunities exist for smarter marketing.
Compared with the $453,940 in inventory lost per $1 billion in sales over the last year, the investment in a system that effectively stops inventory loss can pay off quickly. If you use CCTV to enhance marketing and study your customer trends, the ROI is even greater.
Organized retail crime is on the rise, but don’t let that news ruin your holidays. With the right tools and the right team, your business can outsmart threats and even come out ahead. Keep following our blog in 2016, and together, let’s watch your business grow.