Organized Retail Crime. Not Your Average Shoplifters.
‍The dramatic forms of shoplifting described as “Smash & Grab” – Organized Retail Crime (ORC) that we’ve previously described have been discovered now by the mainstream media. Not unheard-of in previous times, the tactic suddenly exploded in 2021, when theft by ORC went up 26%, cooled in 2022 but then has shot back up in 2023.

Then recently, we were subjected to the spectacular news that on successive days (09/26 & 09/27) an extensive, “Smash & Grab” was executed – most likely organized over social media – in Philadelphia. A Lululemon, Foot Locker, and Apple Store, as well as more than a dozen chain liquor stores were hit by ransacking mobs. By the first of October, The PPD had announced that a full 72 arrests had been made in connection with the assaults.

Then, as if on cue, on 09/26 the Target Corp. announced it will be closing 6 outlets, 5 on the West Coast (3 in California) and one in New York due to ORC. Customer and employee safety concerns were cited ahead of the cost of retail shrinkage as the reasons for the store closures. But Target has been quietly closing underperforming stores anyway.

A Crisis? Or merely Annoying.
‍Retail Loss however, annoying to retailers as it naturally is, has consistently been at around only 1.3% of gross annual sales over the last ten years, with a sudden spike up to 1.5% in 2023 – hence the attention given recently. Ecommerce – unconverted clicks or returned merchandise sold online account for roughly 20% of gross annual retail sales – and those numbers are not categorized as Retail Loss, are not included in the equation.

“If it bleeds, it leads”. T
he media doesn’t do as good a job reporting on events that are complex, have moving parts, or events that are taking long periods of time to unfold. Immediate, extreme, and violent events such as by nature capture our attention more readily, as it is a critical defense mechanism that has aided our evolution. “Smash & Grab” plays much better in a 5-minute story on the evening news than say, the Retail Crime statistics for the last ten years, stories which are saved for the niche-outlets, CNBC, or Fox Business to name a few.

Distorted Perceptions?
‍But airing video captures caught by surveillance cameras of outrageous “Smash & Grab” events will certainly produce a distorted general perception among consumers of what is stressing retail. They probably won’t remember it as an individual event, but they will recall the feeling of revulsion they experience when viewing the behavior of such hooligans on the TV news.

In the minds of the American consumer – dominated now by the socially conservative and aging population, crime is always getting worse. From media outlets showing signal events such as a violent theft caught on surveillance camera, to the political candidate arousing fear in order to get elected – bad news sells. Recently, an uptick in ORC and the video trail left by “Smash and Grab” incidents has added much fuel to the loud woe of, “It’s the end of  civilization” folks. Surprisingly though, at least with shoplifting, the retail loss the numbers have been minor and consistent, rarely rising above 5% of total retail earnings. However, In Retail, theft, in the form of employee pilferage or shoplifting at the end of the supply chain by all accounts represents roughly 60% of all Retail Shrinkage.

An understated benefit of carrying Odorless, Hydrocarbon and 100% Natural Biomass Firelighters is their relative resistance to Retail Shrinkage. A+A Price never ships orders that are under a container. Considering the rather lengthy shelf-freshness of this essentially consumable item makes advance purchase less of a risk. Diversity of warehousing adds to the attractiveness and let’s face-it; cooking with charcoal is still immensely popular. And if inflation drives the price further up, a retailer’s gross margins improve. Call Andrew today at 519-620-9873. Don’t wait.

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