ACADEMIC VIEWPOINT by Richard C. Hollinger, Ph.D. Dr. Hollinger is professor and chair of the Department of Sociology and Criminology & Law at the University of Florida, Gainesville. He is also director of the Security Research Project, which annually conducts the National Retail Security Survey. Dr. Hollinger can be reached at rhollin@ufl.edu or 352-294-7175. © 2013 Richard C. Hollinger
National Retail Security Survey: 20-Year Update
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wenty years ago there was no reliable industry-wide information on retail shrinkage. Not only did we not know how big the problem was, we knew very little about the various sources, causes, and effective solutions to preventing shrinkage. This empirical vacuum convinced Read Hayes, Professor Bart Weitz, and me to begin conducting the first National Retail Security Survey (NRSS). The basic concept was to collect data on the scope and causes of retail loss, including the various countermeasures that were being routinely used across the industry to fight the problem. The first report released in 1991 was only two pages long, but it was an important first step in assessing a problem that all retailers experienced, but few knew very much about. Prior to the first NRSS there were studies available on the problem. However, they all were conducted by accounting firms that clearly were not unbiased. Furthermore, the results were being used to sell various services to their clients in the retail industry. After consulting with key retail loss prevention executives, it was clear that there was a need for an empirical study on the shrinkage problem that was conducted by an unbiased entity that had no vested interest in the findings. The University of Florida seemed like a perfect institution that could conduct this unbiased research. On the faculty we had criminologists who specialized in occupational crime, a nationally recognized Retail Center in the Business School, and a few experienced individuals who knew enough about the problem to develop a useful survey.
However, it was agreed that no raw data or participant identities would be shared with the “solution providers.” For the past twenty years we at the University of Florida have held to these principles in order to provide unbiased data on the shrinkage problem without compromising the names of the participants. Given this firm anonymity and confidentiality pledge, we can safely say that most all major retailers annually participate in the National Retail Security Survey.
After consulting with key retail loss prevention executives, it was clear that there was a need for an empirical study on the shrinkage problem that was conducted by an unbiased entity that had no vested interest in the findings. The University of Florida seemed like a perfect institution that could conduct this unbiased research.
Anonymous and Confidential
The first issue to be resolved was the question of anonymity and confidentiality of the data. After discussing the survey with senior retail LP executives, most of them thought the results would be valuable, but all indicated that they could not identify the name of their firm when participating in the survey. Any data provided would have to be confidential and participation would be anonymous. This was not a negotiable point. Second was the question of how the project would be funded. It was suggested that security vendors would be an ideal source of funding as a “goodwill” gesture, indicating their support of decreasing retail losses.
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However, not enough retailers in the smaller vertical markets participate each year to give us the robust statistics that we would like to have. Some of this is due to lack of enthusiasm about the research, and some of the declining participation is due to the decreasing numbers of retailers that remain in business during the economic hard times that our nation is currently experiencing. Unfortunately, this is something over which we have no control. Nevertheless, it does put an increasingly higher burden on the viable retail chains to redouble their continued on page 26 |
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