Shoppers Move Possessions for Financial Gain - Extensive Financial Impact from Shoplifting - Increase in Shoplifting Incidents - Stealing Billions from Retail Outlets
Hey there, let's dive into the world of retail and the jaw-dropping increase in shoplifting incidents in Germany.
Shoplifting has become a burning issue in Germany, according to a study by the EHI Retail Institute. In 2024, customers made off with goods worth a whopping 2.95 billion euros, marking a 4.6% increase from the previous year. This isn't the first time theft has surged— losses have been climbing since 2022, reaching a record high this year. However, the increase was less dramatic than in 2023, when a shocking 15% hike was recorded.
Frank Horst, EHI expert and study author, explains the trend: "It seems that more and more people can no longer afford or don't want to pay for certain products, or they're protesting against prices. And it's not just the younger generation— seniors and families are joining in."
For their research, the EHI surveyed 98 companies with a combined 17,433 stores about their inventory discrepancies. All major retail sectors participated. The companies estimated how the losses are distributed among customers, employees, and other culprits.
The final bill comes to €4.95 billion— a 3% increase over 2023. Over half of this damage is attributed to customers, with approximately €890 million going to employees. The remaining losses are caused by suppliers, service personnel, or organizational errors like incorrect price labeling. Around a third of customer theft is organized— carried out by hired individuals or gangs.
Popular targets are alcoholic beverages, designer clothing, sneakers, electronic devices, and tobacco products. Drugstores are hit hardest, with thieves frequently stealing small, high-value items like perfumes, cosmetics, baby food, and razor blades.
Experts attribute the escalating theft mainly to the increased use of self-checkout cash registers. Nearly half of retailers using them reported more shrinkage. Frank Horst notes, "More theft happens at self-checkout, sometimes unintentionally due to operating errors."
While the amount of damage is skyrocketing, the number of reported thefts is decreasing according to police crime statistics. However, this figure only scratches the surface of the actual theft situation, with a massive 98% of cases remaining undiscovered. This equates to approximately 24.5 million incidents of customer shoplifting per year, valued at around €120 each.
Three out of four retailers anticipate shoplifting to continue growing, according to an EHI survey. Staff shortages and prolonged opening hours make it challenging to monitor the situation, says study author Horst. Cases often go undetected or unreported, also because the effort rarely leads to conviction and punishment of the culprits.
Stefan Genth, CEO of the German Retail Association, criticizes the inefficiency of the legal process: "Many retailers are frustrated when reports rarely lead to conviction and punishment of the perpetrators." He advocates for stronger political action.
As thieves grow more audacious, employees often face attacks. Every fourth company has boosted its security spending. In 2024, retailers invested about €1.6 billion in theft prevention, primarily on staff training and technology like video systems and anti-theft devices. Markus Trojansky, dm expansion manager, comments, "We rely on well-trained employees and technology like video systems and anti-theft devices."
So there you have it— Germany's retail sector is battling a significant increase in shoplifting, leading to a staggering 20% rise in economic damage since 2022. Retailers are calling for tougher legislation, and technology is stepping in to help prevent theft, but the problem remains complex and widespread. Stay tuned for more updates on this evolving situation.
In response to the growing issue of shoplifting in Germany, various industries including retail are implementing stronger policies to protect their assets. For instance, the employments policies of retail companies are being reviewed and enhanced to mitigate internal theft, ensuring staff training and technological solutions like video systems and anti-theft devices are adequately implemented. In the world of finance, investments are being made to fund security measures and theft prevention strategies. Since shoplifting isn't an issue confined to one industry, an all-inclusive, collaborative community policy may also be necessary to effectively combat this increasing trend. The German Retail Association is advocating for stronger political action to address the inefficiency of the legal process and ensure a swifter conviction and punishment of perpetrators.
