Organized Retail Crime
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Organized Retail Crime costs the retail industry approximately $30 billion each year. It is continuing to grow, with 83 percent of merchants surveyed reporting an increase in the past year, according to the annual Organized Retail Crime survey by the National Retail Federation. NRF believes successfully combating this issue requires a concerted effort across retailers, law enforcement, and legislatures.
- Organized retail crime continues to pose a serious threat to retailers. Over 9 in 10 responding retailers have been a victim of ORC in the past 12 months.
- The financial impact of ORC is considerable. ORC costs retailers an average of $726,351 per every $1 billion in sales.
- Aggression shown by ORC gangs continues to rise. More than a quarter of responding retailers say these gangs are exhibiting much more aggression compared to last year.
Organized retail crime is a serious issue for large and small retailers nationwide. The survey of 59 senior retail loss prevention executives found that 100 percent said their companies had experienced ORC in the past year, up from 97 percent in 2015 and marking the first time in the survey’s history that all responding companies reported being a victim. NRF's annual survey finds that retail management understands the complexity and severity of ORC, so they are allocating more resources to combat it. With the problem growing, 71 percent of loss prevention executives said they now believe their top management understands the severity and complexity of the crimes, up from 63 percent last year.