ECR Retail Loss

Enabling the Retail Sector to Sell More and Lose Less

New ECR Retail Loss Report Offers Roadmap to Cut Waste and Boost Compliance

Good news, our new report sets out a clear, practical roadmap for how 2D/QR codes with embedded expiry dates can transform grocery retail — cutting food waste, reducing losses, supporting compliance, and ultimately helping businesses sell more and lose less. The benefits are substantial. By embedding expiry data into scannable 2D/QR codes, retailers can: Block expired items from being sold — meaning shoppers are never sold an out-of-date product again Gain real-time visibility of product freshness Enable dynamic markdowns and smarter replenishment But while the technology is ready, scaling adoption across the grocery sector will require coordinated effort. That’s why this new report, Scaling QR Codes with Embedded Date Codes, outlines 10 critical steps to accelerate adoption by 2030. The framework is the result of a major collaborative exercise involving more than 60 food waste experts, including representatives from 25 retailers and academics from five universities, who worked together to map out the industry-wide conditions needed for success. The 10 critical steps: Support regulatory requirements – QR codes can help retailers comply with emerging food safety and waste reduction laws Make food waste a strategic priority – Progress depends on C-suite buy-in and cross-company investment Standardisation across the industry – The sooner that retailers and industry bodies (inc CGF and FMI) agree end-to-end standardisation of 2D/QR codes powered by GS1, the faster adoption will accelerate Appoint a clear internal owner – Assigning a “Directly Responsible Individual” (DRI) helps drive momentum across functions Build a business case – Define success, measure ROI, allocate costs and measure benefits for all stakeholders Ensure tech readiness – From POS to ERP, update systems so they can read and act on QR code data Engage internal teams – Train staff. Roll out tools, and build capacity to embed QR code use into new daily routines Prepare suppliers and partners – Prepare the entire supply chain - from label printers to fresh food vendors. Help them buy into your vision. Build consumer trust – Show how QR codes can offer real value to customers. From checkout accuracy to added product info Think inclusivity – Ensure systems work for all users — including smaller suppliers and offline shoppers Our report provides a clear roadmap to help grocery businesses transition successfully by 2030. However, it is not claiming to be, nor is intended to be the definitive, most exhaustive or the only version of the truth. But as a starting point for further discussion it should be a useful checklist for retailers looking to adopt this technology. And for industry bodies looking to speed up adoption of this game-changing new technology. The full report is available for download at Scaling QR Codes with Embedded Date Codes | ECR Retail Loss

Retail Security Officers: Key Insights & Best Practices

In the context of an increasingly difficult and hostile external context to retailing, and the absence of any meaningful sanctions and / or law enforcement support, retailers have been increasing their investment in Security Officers. However, at the same time, the availability in the market of officers has reduced, with hourly wage rates growing at a rapid rate. Consequently, many retailers are now spending more than ever on Security Officers, leading to a big, for some even a nine figure, number that inevitably attracts the attention of the CFO and questions about the return on investment, is there one or is it just a cost of doing business? And the follow on question, and how the budget owners, most retailers will use third parties, are getting the most value from this huge investment? To discuss these trends, open questions and the latest thinking on best practices, our working group met and heard perspectives from academia and retailers. Below are the key insights and best practices from that discussion. Key Insights 1. Evolving Role of Security Officers The term “security guard” is increasingly seen as outdated and pejorative. Retailers are shifting toward titles like “security officer” or “protection officer” to reflect broader responsibilities, including customer service, de-escalation, and proactive deterrence. Their role is no longer just about guarding but about being integrated, visible, and responsive members of the retail team. 2. Training Is Necessary but Not Sufficient As Professor Martin Gill emphasized, “you can’t train your way out of a problem.” Training must be part of a broader strategy that includes clear role definitions, supportive management, and realistic expectations. Training is most effective when it is purposeful, context-specific, and aligned with the actual challenges officers face. 3. Retailer Expectations and Officer Alignment A recurring theme was the disconnect between what retailers expect and what officers are trained or empowered to do. Misalignment can lead to preventable incidents, poor morale, and high turnover. Clear communication, consistent policies, and shared goals between retailers and security providers are essential. 4. Retailer Best Practice Model One of the retailers in the working group presented a comprehensive overhaul of their security officer training and deployment strategy. Key elements included: - A bespoke retailer branded training academy. - Mandatory induction videos and e-learning modules. - An accredited, with an established and reputable education college, training course covering conflict resolution, counter-terrorism, ED&I, and dynamic risk assessment. - Regular feedback loops through “Officers’ Voices Matter” surveys. - Recognition programmes like the Outstanding Security Officer initiative. 5. Return on Investment (ROI) Their approach yielded measurable benefits: - 34% reduction in preventable incidents. - 20% improvement in store feedback. - Higher officer retention and fulfilment rates. - Fewer complaints and better alignment with store teams. 6. Support and Integration Are Critical Officers are most effective when they feel supported by store teams and management. Integration into store culture, regular communication, and recognition contribute to morale and performance. Training alone cannot compensate for poor working conditions or lack of support. Best Practices for Retailers - Use the Right Terminology: Adopt respectful, role-reflective titles like “security officer” to elevate the position and foster professionalism. - Define Clear Roles: Ensure all stakeholders—officers, store teams, and management—understand the officer’s responsibilities and limitations. - Invest in Tailored Training: Go beyond regulatory requirements with brand-specific, scenario-based, and ongoing training programs. - Measure What Matters: Track KPIs such as incident preventability, customer satisfaction, and officer retention to assess training impact. - Foster Two-Way Communication: Use surveys and regular check-ins to gather officer feedback and adjust strategies accordingly. - Recognise and Reward: Celebrate success stories and provide career development opportunities to retain talent. - Align with Store Culture: Ensure officers are seen as part of the team, not external enforcers, to improve collaboration and effectiveness. Future meetings will continue to discuss and explore how the Security Officer role in the store and then remote monitoring from Security Operations Centres (SOC's) can work together to deliver a stronger capability for retailers, exploring specifically the use of body worn cameras and two way audio communications and how this all comes together to help prevent incidents and keep store staff and officers, safer. Additionally, the group will also explore the emerging use of face matching technology and the role that the Security Officer can and will play in the successful deployment of this technology. If you would like to join our retailer peer retail loss, safety and security working group click here to see our latest research, upcoming meetings and new initiatives.

Disrupting the Illicit Market for Stolen Goods - Five Action Steps

With 60+ retailers joining our May meeting, interest was high as to the different ways that retailers could go about tackling the illicit market in stolen goods. However, as the meeting concludes, these actions require retailers invest in resources, be that lobbying groups or investigators, or data systems that support these activities. Being able to prove the ROI of these investments to the CFO is highly problematic. So here are the five steps that emerged from the meeting discussion. #1. Strengthen Online Marketplace Oversight Action: Collaborate with platforms such as Amazon, Facebook and eBay to enforce stricter seller verification and transparency. Why it matters: Online marketplaces are a major channel for fencing stolen goods. Enhanced oversight can significantly reduce this avenue. Implication: Platforms will require retailers bring evidence and cases, easier for retailers when it is their own product, especially new products not in stores but found for sale on their platforms, but for branded goods, very hard to prove that they are stolen or stolen from their store. #2. Leverage Technology for Product Tracking Action: Implement AI tools to detect suspicious listings and use unique identifiers (UIDs) or smart labels to trace products. Why it matters: These technologies help identify stolen goods and support law enforcement investigations. Implication: Retailers would need to invest in track & trace type technology and the data systems that can support the transparency required to prove ownership and theft from their business. One retailer in the group has such a system, a unique 15 digital number, for every unique item that is sold in their business. If their investigations, often requiring a test purchase, prove that the item was NOT sold, there can be a case for possible prosecution. #3. Partner with Law Enforcement and Policymakers Action: Advocate for stronger legislation (e.g., INFORM Consumers Act), consistent enforcement, and tougher penalties for organized retail crime. Why it matters: Elevating the issue on political agendas ensures systemic support and deterrence. Implication: Retailers need to make the case for the disruption of this illicit market in stolen goods to be prioritised with their government relations teams. With so many competing priorities, often this strategy is relegated. #4. Secure the Supply Chain Action: Conduct risk assessments, enhance cargo tracking, and coordinate with logistics partners to prevent theft and fraud. Why it matters: A secure supply chain reduces opportunities for goods to be stolen before reaching stores. Implication: This is a strategy within the "gift" of the loss prevention teams for most retailers, and arguably part of "business as usual", however managing cargo theft risks and the investigations and possible "stings" that could follow require a lot of resource and coordination with law enforcement if successful actions are to follow. #5. Launch Retailer Merchant Awareness Campaigns Action: Educate the retail buyers and merchants on the consequences of buying stolen goods and how continued "demand signals" from their desks for cut price hot products can fuel greater theft from stores. Why it matters: Reducing demand from the retailers buying desk is critical to shrinking the illicit market. In fact, previous cases have shown that retail buyers have bought back hot products stolen from their own stores. If it seems too good to be true, it probably is! Implication: This requires the retail loss prevention teams to convince the buyers to desist from the buying practices that help the buyers deliver their KPI's, namely higher gross margin / lower costs of goods. If you would like to participate in future working group meetings on retail loss, safety and security please click here to see the research and next meetings.

RFID in Grocery Stores - Five Key Points To Consider.

The Product [RF] ID working group had a chance in May to reflect on what is known about the use of RFID in grocery retail stores, with three retailers sharing their learnings from their trials and deployment in the fresh meat categories, with other retailers and academics contributing to the discussion. Here are the five biggest takeaway learnings for retailers from this discussion. #1: RFID in Grocery Is Technically Feasible but Economically Challenging Retailers have demonstrated that RFID can technically work in grocery environments, including with complex products like meat. However, the business case remains difficult to justify due to high tag costs, production line integration challenges, and the need for widespread supplier adoption. #2: Case-Level and Tray-Level Tagging Offer the Most Immediate Value Among the different levels of RFID application (pallet, case, item), case/tray-level tagging emerged as the most promising. It provides better inventory visibility and intake accuracy without the high costs and technical hurdles of item-level tagging, especially in environments with high product turnover and perishability. However, one early RFID "unlock" for some retailers has been the use of RFID labels for in-store production items, with tags applied in the store not upstream, such as bakery items, to improve inventory visibility on the floor, more accurately and at less cost, to inform better production planning. Click for Kroger example. #3: RFID Enables Operational Efficiencies and Shrink Reduction Retailers reported improved stock accuracy, faster inventory counts, and better date rotation using RFID. In some cases, RFID also helped reduce theft by enabling real-time detection of unpaid items at the exit and improving shelf availability, particularly for high-value items like meat and alcohol. #4. QR and 2D Barcodes Are Viable Alternatives for Some Use Cases While RFID offers unmatched speed and automation, 2D barcodes and QR codes can deliver many of the same benefits (e.g., date tracking, markdowns) at a lower cost. These alternatives are being actively explored as interim solutions or as a complementary technology to RFID. #5. Supplier Integration and Standardisation Are Major Barriers A recurring theme was the difficulty of integrating RFID into supplier operations, especially for fresh food lines with fast-moving production and multiple, sometimes very small, vendors. One retailer shared that in their fresh category, they had over 350 vendors, some local vendors are supplying less than 5 stores. The encoding of RFID tags in real time, for the date code application, would be a huge change for many. For the retailer, managing multiple suppliers with varying capabilities will be and remain a significant hurdle. Notwithstanding the above points, interest remains super high in RFID, over thirty different retailers participated in the meeting, including Albert Heijn, Auchan, Carrefour, Coles, Jumbo, Lidl, Mercadona, M&S, Target, Tesco, Sainsburys. Walmart and Woolworths If you would like to join this working group, click here.

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The research priorities are determined by its members – they drive the agenda to ensure ECR delivers research that meets the need of the industry bringing new insights, tools and techniques that enables retailers to sell more and lose less.