How Big is the Problem?
| Scope of Organized Retail Crime |
WASHINGTON, October 18, 2016 - Organized retail crime is continuing to grow, with 83 percent of merchants surveyed reporting an increase in the past year, according to the 12th annual ORC study released today by the National Retail Federation.
"Retailers continue to deal with the challenges that come with fighting organized retail crime," NRF Vice President of Loss Prevention Bob Moraca said. "Every day, criminals are getting more creative in the ways they manipulate the retail supply chain. Combating ORC is a full-time job, and it is a constant battle industry-wide for retailers large and small to stay one step ahead of these savvy criminals."
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. In addition, 83 percent said ORC had grown: The average loss was $700,259 per $1 billion in sales, a significant increase from $453,940 last year.
Four new states -- New Mexico, Oregon, New York and Vermont -- have enacted ORC laws in the past year, bringing the total nationwide to 34. Retailers continue to support creation of a federal ORC law, which is backed by 79.7 percent of those surveyed.
"Organized retail crime continues to impact retailers at a larger scale now more than ever before," said NRF Vice President for Supply Chain and Custom Policy Jonathan Gold, who heads NRF's lobbying efforts on ORC. "ORC also poses a threat to unwitting consumers who may purchase stolen merchandise that is not stored properly or may have expired. It is critical for our industry to continue pushing for strong federal legislation that would properly define ORC and make it a federal crime. Until there is a federal ORC law to counter this increasing criminal activity and the ability to transport stolen products across state lines, it will be nearly impossible to put a dent in this $30 billion-a-year problem that threatens retailers, the economy and consumers across the country."
LVMPD Joins Together With SNORCA
| The Response and Fight Back!|
The National Retail Federation's 2011 Organized Retail Crime Survey reveals organized retail criminals are becoming more violent. They use fake price tags or grab anything they want - from designer jeans to medicine to baby formula. Sometimes, they steal the items from the stores. Other times, they steal the items straight off the trucks.
Retail theft not only costs stores money, it drives up prices for everyone else.
Metro Police Property Crimes Detective Mona Connell says Metro is now part of the Southern Nevada Organized Retail Crime Association or SNORCA. The agency enables law enforcement and retailers to share information about troubling trends.
"It's to communicate with other retailers, to explain to them that this is what's going on at our store or stores, and there's a possibility you can be a victim as well," Det. Connell said. "We're in the top ten in the country currently. We just became part of the top ten, and nationally, it's a $30 billion loss every year."
A $30 billion-a-year problem is huge, so federal authorities are also working to fight this theft.
The FBI says it uses many of the same investigative techniques against organized retail theft groups as it does any criminal enterprise or terror network.
Las Vegas Review Journal June 28, 2011