Gomputerized security

HE RETAIL industry loses from

TI $9 million to $40 million each year to shoplifting, resulting in a drain of about 2Vo of allretail sales. And the problem is intensifying, with shoplifting identified by the FBI as the fastest growing of all larceny-theft crimes.

But the electronics industry is responding, equipping home centers with a wide range of high tech loss prevention devices. Ongoing technology is making the devices more difficult to disable or even recognize, less likely to sound a false alarm, and smaller and less constraining so products can be fully examined and the store doesn't look like Fort Knox.

Still, completely hiding the device can work against the program. "Part of the deterrent is a sticker on a door, an attendant at a door, plus tags. If you conceal them completely, the deterrent effect plunges rapidly," said one loss prevention specialist.

Hottest now is electronic article surveillance (EAS). Security tags are attached to merchandise and, if not removed or desensitized at checkout, they sound an alarm when passing through secured exitways. Some tags are applied to or inserted in products by manufacturers; others can be attached by the retailer.

Checkpoint Systems' Impulse sensor, a paper-thin, throwaway circuit, is placed inside a product's packaging. Other companies disguise the security tags as custom labels, price tags or bar codes. Sensormatic's TellTag emits a series of beeps if someone tries to remove the tag from the package.

Products protected by EAS labels canbe openly displayed, ideal forhome centers which usually operate with lean sales staffs and feature extensive, open, self-service display areas. "As home center retailers recognize increased sales from openly displayed, EAS-protected products, manufacturers whose products are protected with EAS Labels will have a real advantage over competitors whose products are not EAS-protected," said Sensormatic's George E. Curnutte.

Video monitorsystems are also available, allowing one detective to cover an entire store. To combet e:irployee theft, special cameras focus specifically on cash registers. If the register is being opened more often than normal, for example, the camera zeroes in on the employee and the register, and the transaction can be reviewed on a monitor.

The power tool department is the area in home center and lumber yard where shrink is more prevalent. Because of their high value and portability, tools are an easy target for in-store theft. In 1990, an estimated $8.7 million worth of power tools were stolen.

Sealed display cases turn off shoppers who want to lift and inspect the tools without a clerk handy. Se-Kure Controls offers wires and coil plugs which link the tools to a wall, shelf or alarm system.

Tool Guard from R Enterprises includes an alarm box with red and black terminals for connecting two 25-foot cables. Cables are inserted through or crimped around tool handles. If anyone tries to disconnect or cut the cables, a shrill, piercing tone sounds.

The advanced loss prevention systems are a valuable new tool in helping retailers protect their profits.

Story at a Glane

A review of various electronac devices that combat shoplifting and inhibit employee theft ... miniaturization vs. deterence in electronic tags.

Undercover EAS Study

The Home Center hstitute will conduct a nationwide test study to gauge the effectiveness of elechonic surveillance labels indetening shoplifting in home centers.

For two months, inventory and sales of certain products will be monitored to deiemine the level of shrinkage. During the next two months, Sensormatic's UltraMax tags will be placed on the products to compare shrinkage levels.

The test later this year will include 24 leading home centers, including Builders Square, Home Depot, Lowe's, and Emst. Test markets are Seattle and Kent, lVa"; San Antonio, Tx.; North Sy'ilkesboro, N.C., and Lauderdale Lakes, Fl.

Tagged products will be from Stanley Tools, Black & Decker, Makita, Channellock, American Tools, BernzOmatic, Eagle Electric and Honeywell.