Loss Prevention 2024 Has become a High Priority for Retail

Strategic Focus on Omnichannel Efficiency and Loss Prevention Amidst Labour Challenges

A recent survey by Incisiv sponsored by Verizon and Cisco has shed light on the challenges retailers face in 2024, particularly in terms of focussing on Loss Prevention, The survey, encompassing 161 retail executives surveyed, reveals that Retailers will focus on improving their omnichannel operational efficiency amidst challenges in loss prevention and labour. Pragmatic innovation will be prioritised over blue sky ideas.

2024 innovation

Retailers are increasingly focusing on omnichannel operational efficiency to drive strategic investments, recognizing its importance in enhancing customer satisfaction and profit margins. Investments are being channelled towards improving inventory

accuracy, associate productivity, and overall process efficiency. Amidst these efforts, pragmatic innovation is taking precedence over more abstract, ‘blue sky’ ideas.

The survey highlights several key areas:

Associate Experience:
The digital expectations of associates, especially younger employees, are not being met, leading to a discrepancy between recognition and execution of digital strategies.

Automation and AI:
While there is enthusiasm for the potential of automation and AI, a lack of consensus on their applications hinders cohesive strategy development.

Loss Prevention:
Rising concerns over theft and shrinkage have made loss prevention a high priority. Retailers are adopting innovative technologies for proactive prevention, moving beyond traditional deterrence methods.

Omnichannel Efficiency:
Retailers are investing heavily in omnichannel strategies to improve store efficiency and loss prevention, with a focus on integrating digital and physical systems.

Staffing Challenges:
Hiring and retaining store associates remains a predominant struggle, especially for grocery and general merchandise retailers. This challenge is compounded by outdated technology, affecting associate productivity and operational efficiency.

Retailers are also grappling with the integration of digital and physical systems, with speciality retailers placing more emphasis on this aspect due to their varied inventory and customer experience needs. Both sectors agree on the importance of enhancing associate productivity, but grocery stores are more concerned with reducing customer wait times.

The AI revolution in retail is hindered by knowledge and talent gaps. Despite recognizing AI’s pivotal role, there is a widespread lack of understanding within organisations, and a scarcity of analytical talent to leverage AI effectively.

In conclusion, the retail industry in 2024 faces a complex landscape of operational challenges and technological innovations. Retailers must navigate these challenges with strategic investments in omnichannel efficiency, loss prevention, and workforce management while bridging the gap between digital sophistication and practical implementation.

At New World Norm, we recognise the facts of the report as a reflection on today’s retail operations and that’s why we are able to support businesses of all sizes to upgrade their Loss Prevention in this dynamic world. Find more details here or contact us directly