How AI Fights Shrinkage and Protects Your Retail Chains

Digital connection between multiple mall stores seen from above.
Digital connection between multiple mall stores seen from above.

Contents

The Challenge of Unknown Shrinkage for Retail Chains 🛒

Unknown shrinkage, which includes shoplifting, administrative errors, and vendor fraud, represents a significant loss of revenue for retail chains. Whether it’s supermarkets, pharmacies, or hardware stores, this phenomenon directly impacts profitability.

For multi-site businesses, this challenge is amplified. Managing security consistently across dozens, or even hundreds, of outlets is a real operational headache. The lack of centralised visibility makes it difficult to identify trends, compare performance between stores, and implement effective, uniform prevention strategies.

Facing this major issue, traditional security approaches are showing their limits, paving the way for innovative technological solutions to finally streamline loss prevention efforts .


AI for Prevention: Real-time Suspicious Gesture Detection 🤖

Unlike traditional video surveillance, which primarily serves to investigate after a theft, intelligent video surveillance changes the game by adopting a proactive approach . Innovative solutions like Oxania no longer just record: they analyse video streams in real-time to identify specific behaviours and gestures considered suspicious, often associated with shoplifting.

  • ➡️ Concealment of a product in a backpack, handbag, or under clothing.
  • ➡️ Suspicious behaviour or manipulation of packaging in sensitive areas.
  • ➡️ Consumption of products directly on the shelf.

When such a gesture is detected, the system sends an almost instant alert to security personnel or the store manager. This capacity for immediate intervention allows a situation to be defused even before the theft is committed, transforming security from a reactive function into a powerful prevention tool .


Standardisation and Efficiency: The Advantages for a Retail Network 📈

Deploying a unified AI detection solution offers crucial advantages for network management. The first is the standardisation of security protocols . Each store benefits from the same level of technological protection and can apply consistent and professional response procedures across the entire chain.

Furthermore, management benefits from centralised visibility via a dashboard. They can track key performance indicators (number of alerts, most affected areas, types of incidents) for all sites, identify the most vulnerable outlets, and make informed strategic decisions . This gain in efficiency frees up in-store staff. Instead of passively monitoring screens, teams can focus on customer service, only being called upon when a potential threat is actually detected, thus optimising their time and their positive impact on sales .


Beyond Security: Enhancing Customer Experience and Operations ✨

An intelligent detection solution isn't just about reducing losses; it positively contributes to the overall store environment. By proactively preventing incidents, it creates a safer and more relaxed environment for both customers and employees.

Interventions become more subtle and effective. Rather than a confrontation at the exit, an early alert allows an employee to approach the person and simply offer assistance. This customer service-oriented approach often defuses the situation without any conflict. The data collected is also a goldmine for operational optimisation. It can reveal flaws in the store layout, allowing for adjustments to the positioning of sensitive products to make them less vulnerable, without harming the shopping experience.


A Strategic Investment for Secure Growth 🚀

Implementing an AI-powered suspicious gesture detection system should be seen not just as an expense, but as a strategic investment in profitability and the longevity of the brand. The return on investment (ROI) is tangible and quick. It is first measured by the direct reduction of unknown shrinkage , which positively and immediately impacts the net margin of each outlet.

Added to this are significant indirect gains: improved team productivity , a reduction in conflict situations, and the collection of valuable data to refine marketing and operational strategy. Such technology is scalable and supports the chain's growth, easily deploying to new stores. By securing its assets and optimising its processes, a brand gains a sustainable competitive advantage for a resilient future.

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