Building the Case for Video Surveillance

Retail professionals know that eliminating theft is an ongoing battle requiring a well-planned strategy. Gone are the days when they relied solely on floor walkers and security guards to keep theft in check; today retailers are not only concerned about shoplifters diminishing their bottom line, they’re struggling with losses related to employees who feel wages aren’t enough compensation and high-tech hackers who seek customers’ personal information. It has become clear that on-site security personnel require some form of back-up.

In the 1970s, retailers breathed a collective sigh of relief at the advent of video cameras and recording equipment. Shortly thereafter, electronic article surveillance systems came onto the scene. But just as retailers began to gain a sense of control over loss prevention, thieves discovered ways around this technology, such as using foil-lined bags to mask tags from EAS readers.

Layers of security
VCR technology sophisticated enough to interface with POS servers and capture up to 30 images per second emerged in the 1990s. While this advancement helped curtail theft, it still left retailers battling theft after the fact, requiring costly investigations and manpower. This limitation was especially pronounced in cases of slip-and-fall thieves, who fall when no one is watching and often supply their own witnesses.

It eventually became clear that the best way to prevent loss was to place at least four layers of security methods between thieves and your inventory. So what measures are savvy retailers implementing in addition to people, processes and technology? They’re increasing lighting at entrances, and updating cameras and VCRs to high-resolution color units.

Some are heightening employee awareness of shoplifting strategies and replacing unarmed security guards with armed off-duty police officers. Others are installing covert cameras in areas not known to employees or customers.

Many of the most successful retailers have updated alarm-monitoring contracts to include remote video monitoring or surveillance. Layering security measures that include video surveillance has significantly reduced the price tag associated with shoplifting and employee theft (in excess of the cost of the service) when measured over a multi-year period.

While shrinkage losses are still increasing, they are doing so at a much slower rate than the overall growth of the retail industry. Video monitoring has proven especially effective when used as evidence against fraudulent slip-and-fall claims, helping reduce or eliminate payments to claimants, avoid or reduce legal fees and minimize investigative costs.

One mathematical model geared for supermarket chains calculated a 370 percent return on investment in the three years following implementation of video surveillance technology. Additionally, a recent survey revealed that CCTV systems are now the most feared anti-shoplifting devices because thieves can’t be sure where or when the camera “sees them” stealing.

One of the greatest advantages of video monitoring is the freedom it gives investigators to remotely view video images at any time. It can even become an invaluable weapon in the fight against remote techno-hackers attempting to steal confidential information.

Technological revolution
In the case of a recent network intrusion at a popular retail chain, hackers simply sat in their cars and remotely hijacked data from the stores’ wireless systems. A video surveillance system could have picked up cars parked for long periods of time and generated an alarm linked to images of the car and, possibly, the driver.

Video surveillance technology is just the beginning of a technological revolution. Diebold has been at the forefront of the LP and security industry for nearly 150 years, providing cutting-edge technology and end-to-end security solutions that include system monitoring and project management, installation and maintenance services.

As technology advances, Diebold will continue to champion advances in integrated security solutions to meet the greatest challenges facing retailers today.