Strengthening the eFence Defense

From September 2007


By Joe LaRocca

Last month the NRF, along with some retailers and other trade groups, made presentations to state legislators on the topic of eFencing.

One large auction company is pointing the finger back at retailers, saying we are not doing enough to protect our goods or monitor our own employees. It fails to see the simple truth: The Internet has become a common – and, indeed, preferred – venue for criminals (employees, shoplifters and organized retail crime groups).

In addition, while retailers are losing billions of dollars, consumers are paying higher prices and states are losing tax revenue, the auction sites continue to profit. The only way to fight these crimes is to increase the risk and eliminate the benefit.

In my view, when the world’s largest auction site creates a policy restricting the number and value of gift cards being sold per seller – but leaves it to retailers to report violations – something has to change.

Some retailers have learned the “super secret double handshake” to get limited information, but most are told to call the police; this is far short of what a good partnership is all about. There will be a lot more to follow on this topic in the coming months.

ORC Task Force
NRF’s Joint Organized Retail Crime Task Force met in Washington at the beginning of August. Attendees included representatives from the FBI, Walgreen, Gap, Mervyns, Target, Meijer, Big Lots, SuperVALU, Wal-Mart, Lowe’s and Staples.

The group is monitoring eFencing activity as well as ORC trends and is working on various initiatives to enforce the partnership between retailers and law enforcement. Once the meeting adjourned, members took a tour of FBI headquarters.

The Women in Loss Prevention Caucus held a quarterly conference call last month. Guest speaker Karen Kang, positioning and branding expert for Karen Kang Consulting, discussed "Positioning Your Department Within Your Company." The call was a resounding success and further illustrates NRF’s commitment to providing the loss prevention community with valuable educational content and resources.

Annual summit
NRF is holding its third annual Loss Prevention Senior Executive Summit in Dallas next month. I am excited to get this group together again to discuss the strategic direction of our industry and build on past accomplishments.

If you are the senior leader in your LP department and have not received your invitation, please contact me (laroccaj@nrf.com) or Angélica Rodriguez (rodrigueza@nrf.com).

A personal note in closing. Over the past few months we have all been reminded how fragile the human body can be. In late July, Kmart loss prevention associate David Busby was shot and killed when confronting a shoplifter.

On a more encouraging note, I’m pleased to report that Doug Wicklander of Wicklander-Zulawski Associates is recovering from the brain surgery he underwent last month. Our thoughts and prayers go out to families and colleagues of both men.

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