Loss Prevention

Powering Sales and Security

Merchandising solution allows Sony Style to charge and secure electronics

When you’re selling popular electronics devices, there are a lot of advantages to allowing customers to handle and inspect them — maybe even try out some of the features — while they’re still in the store. But it’s hard to sell consumers on the attractiveness of a product when false alarms keep sounding or the devices suddenly become inoperable.

That was the problem Sony Style had in displaying its Sony laptops, GPS systems, cell phones, radios, TVs and MP3 players. The security system it was using for its “phone bar” would resonate intermittently, even when there was no security issue, and the loud noise would often distract shoppers and require one or more staffers to leave other customers to turn off the alarm.

There were other problems with the old security system, as well. Each phone was required to be charged overnight using the manufacturers’ AC adapter, but with special promotions often requiring associates to perform other after-hours tasks, the recharging requirement was sometimes overlooked.

To address the problem, Sony Style implemented the G3 system from Oldsmar, Fla.-based Vanguard Products Group. The G3 system is a power-alarm security merchandising solution that eliminates the false alarms and the need for manual recharging.
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G3 trickles down the correct charge to each product and keeps the battery running throughout the day with no false alarms or interruptions in security. In addition, there are no disconnects or power losses as consumers pull the G3 retractable cord reels to examine products.

Implementation of the G3 also allowed Sony Style to redesign its phone bars to incorporate a sleeker style that would be more attractive to customers seeking high-tech products. “There is a coolness factor in selling high-tech equipment that our product facilitates,” says Pat Rosato, national sales manager for Vanguard.

Vanguard’s experience has shown that, when consumers have the ability see all the advanced features without interruption and can compare products more closely, they often choose to buy a more feature-rich and higher-priced product. Sony Style’s experience would seem to confirm that: it saw a 27 percent lift within 60 days of the G3 installation in the digital imaging area, according to Ralph Perez, the retailer’s director of asset protection.

Sony Style initially installed the G3 system in 40 stores; the results were so encouraging that it expanded the implementation to another 20 stores within four weeks.

The G3’s power coupler device is fastened with two hard-mounted screws and tape that looks like a rubber pad with adhesive. During set-up at Sony Style, a Vanguard installation team used alternate screw mount holes drilled to accept the Vanguard hard-mounted screws, which provided additional stability when consumers tug on the retractable cord reels.

Sony Style investigated solutions from several vendors, but determined that “integration was cumbersome, aesthetics of the product did not meet our needs or the post-maintenance function was too complicated,” Perez says. “The G3 system is easy to install, use and maintain, which facilitates employee compliance and overall customer satisfaction.”

Easily adjustable
No in-store operations needed to be changed to accommodate the G3 system. “In fact, the system facilitates customer interaction with the product and reduces wire maintenance issues,” Perez says.
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In most cases, store managers can make adjustments in the system configuration to reflect changes in products or special sales promotions without the aid of a high-level technician, Rosato says.

Phone manufacturers have been using the G3 system to display their products since 2005; other retailers using the system include Sears, Best Buy, Verizon and Alltel, and a number of supermarkets and department stores also use it to display cameras, Rosato says.

While Sony Style executives did not reveal the cost of the retrofit, Rosato says most retailers can implement the G3 system for less than $2,000 per store, including installation. “Most retailers report they can match their return on investment within less than six months,” he says.

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