As Retail Theft Surges, Loss Prevention Becomes a Cornerstone of Store Operations
Loss prevention is no longer just a cost center—it’s a critical investment in keeping stores safe, profitable, and sustainable.
With retail crime on the rise across the United States, companies are investing more heavily in loss prevention as they grapple with the growing challenge of theft and its ripple effects on operations, profits, and employee safety.
Major retailers are reporting sharp increases in inventory shrink—industry terminology for merchandise lost to theft, fraud, or error. According to the National Retail Federation’s most recent data, organized retail crime and petty shoplifting contributed to over $112 billion in losses in 2024, up significantly from the previous year.
“This isn’t just about someone slipping a T-shirt into their bag,” said Angela Ramirez, a retail security consultant with over 15 years of experience. “We’re seeing coordinated groups clearing out shelves and reselling stolen goods online. It’s impacting bottom lines and pushing store safety to the forefront.”
Retailers like Target, Walgreens, and Home Depot have acknowledged the problem publicly. In several cases, stores have reduced hours, locked up more merchandise behind glass, or closed locations entirely due to safety concerns and theft.
As the stakes grow, the loss prevention industry—comprised of security personnel, surveillance systems, investigators, and analytics experts—is playing an increasingly vital role. Investments in technology like AI-powered cameras, RFID tracking, and predictive analytics are helping companies identify theft trends and prevent losses in real-time.
“Loss prevention isn’t just a backroom operation anymore. It’s part of strategic planning,” said Jamal Greene, Director of Asset Protection at a major U.S. retailer. “We’re working closely with law enforcement, tech vendors, and our frontline staff to stay ahead of evolving threats.”
But it’s not just merchandise at risk. Employees, particularly those on the sales floor, are facing rising threats to their personal safety. In a recent survey by the Retail Workers Safety Alliance, nearly 60% of respondents reported feeling unsafe at work due to theft-related incidents.
In response, some retailers are training workers in de-escalation tactics and limiting employee involvement in theft prevention, encouraging staff not to intervene directly. Others are advocating for stronger legal penalties for retail theft and better coordination with law enforcement.
Despite the challenges, experts say that a proactive, well-resourced loss prevention strategy can make a measurable difference.
“Deterrence is key,” said Ramirez. “Visible security, well-trained personnel, and strong community partnerships can create an environment where crime is less likely to occur in the first place.”
As retail crime continues to evolve, so too will the methods and tools used to combat it. For now, loss prevention is no longer just a cost center—it’s a critical investment in keeping stores safe, profitable, and sustainable.
Subscribe to the D&D Daily newsletter here