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September 10, 2013

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News Brief
Sponsored by WG Security Products, Inc.

With TEN LP events over the next two months - Everyone's busy getting ready for the Holiday Season  This is the busiest two month period of the year for LP executives in North America as 10 different groups plan their annual meetings. That's virtually one every week over the next 12 or 13 weeks. All of them important and driving value and dispersed throughout all of North America. From the Retail Council of Canada's annual LP conference to CLEAR's meeting on Nov. 5th, the last one of the year before the holidays by the way. All ten drive information and networking opportunities for the LP industry. Make sure you check the list and see which one fits your needs and try to fit them in your schedule. Because you never know what you're going to learn and who you're going to meet that may just change your career.

Class Sues Home Depot for Alleged Shakedowns  A class action accuses Home Depot of using "demand letter mills" to shake down customers for arbitrary and unjust "damages" for civil shoplifting charges, with false threats of criminal prosecution. Lead plaintiff Jimin Chen claims Home used civil shoplifting law "to intimidate consumers into paying money to which Home Depot is not entitled." Chen claims that California's Civil Shoplifting Law allows merchants to demand $50 to $500 in damages from shoplifters. "Many retailers have begun to use the civil shoplifting law as a profit center," he says in the complaint. "They contract with third-party 'recovery services' and law firms to send out standard form letters demanding shoplifting 'damages' that they unilaterally determine and that are entirely arbitrary." The attorneys and "recovery services" do not investigate the merits of the claims, do not have the authority or intention to sue if the alleged shoplifter fails to pay, and do not initiate actions to recover statutory damages, Chen says. They send the demand letters to shake down the consumers, and split the money with the merchants. (Source courthousenews.com)

NRF’s first Virtual Career Fair
Connect with the retail industry’s latest crop of young professionals from dozens of university and colleges at NRF’s first Virtual Career Fair on Oct. 16. Showcase open positions in loss prevention and recruit entry-level talent with a virtual booth. Learn more and register here.

Judge: Abercrombie wrongly fired Muslim for hijab  A federal judge in San Francisco has ruled that trendy clothing retailer Abercrombie & Fitch wrongly fired a Muslim worker who insisted on wearing a head scarf. The company claimed the head scarf violated its policy governing the look of its employees, which it said was part of its marketing strategy. The store argued that deviating from its look policy would affect sales. But the judge said Abercrombie & Fitch offered no "credible evidence" that Khan's head scarf cost the company any sales. A trial on the company's liability is scheduled for later this month. The judge said the jury is free to award punitive damages if it chooses. (Source seattletimes.com)

Walgreens furthers reach into North Carolina with acquisition of 76 Kerr Drug stores

A&P supermarkets - Pathmark Closes 3 N.J. Stores, Including 'Food Desert' Site

Retailers must adapt to mobile's impact on recruitment process  To avoid missing out on top candidates, retailers need to adapt their HR systems to take into account the increased use of mobile devices for applying for jobs and the tracking of these applications. Mobile has happened much more quickly the social media and that many retailers are not where they should be in terms of adapting their recruitment platforms to take into account the way candidates increasingly prefer to engage with the recruitment process. (Source theretailbulletin.com)

Walgreens cutting 200+ Duane Reade workers
A Duane Reade distribution center in Queens will lose more than half its workforce in the next year as Walgreens starts trimming the post-merger fat. Some 175 of the 15-year-old plant's 400 workers will be laid off in December, according to a notice filed with the New York State Dept. of Labor. An additional 45 will be let go by June of next year, said a spokeswoman for Walgreen Co., the Deerfield, Ill.-based drugstore chain that purchased Duane Reade in 2010. She said the layoffs are part of an evaluation of Walgreen's distribution network to improve operations. (Source crainsnewyork.com)

Counterfeit designer labels, NCAA, NFL merchandise worth $2.04M seized in Santuck Flea Market bust  The regionally well-known and heavily attended Santuck Flea Market in Elmore County, AL., had visitors from the federal government Saturday morning as counterfeit goods worth a total manufacturer's suggested retail price of than $2.04 million were seized and a number of people were arrested. (Source cbsatlanta.com)

$100,000 worth of shrimp stolen in Saddle Brook - cargo theft  Police are investigating the theft of a tractor-trailer containing $100,000 worth of frozen shrimp that occurred in a Saddle Brook parking lot on Aug. 25. (Source northjersey.com)

Burglar admits heists at Lilly, Glaxo warehouses - Dramatic cargo thefts were wake-up call to industry  The Cuban citizen pleaded guilty to the Lilly burglary in July. But Monday, Villa also admitted to stealing more than $13.3 million worth of inhalers from a GlaxoSmithKline ($GSK) warehouse in Colonial Heights, VA, the year before, according to a CBS New York report. He also pleaded guilty to stealing about $10 million worth of cell phones and cigarettes in two other burglaries in other states. DNA found on water bottles left at the Lilly and Glaxo scenes linked Amed Villa to both of those crimes. The details of the Eli Lilly heist were like something out of "Ocean's Eleven." The thieves dismantled the alarm, rappelled through a skylight and then used a warehouse forklift to load pallets of drugs onto a semi. Drugs taken included Lilly's schizophrenia drug Zyprexa, its antidepressant Prozac and the cancer drug Gemzar. Then they drove away. The Lilly, GSK burglaries and others were a wake-up call to the industry. Companies formed the Pharmaceutical Cargo Security Coalition, educating their peers about dangers and protections. The result has been that pharmaceuticals dropped from being one of the biggest cargo theft targets to being one of the least likely to be stolen. There have been 29 last-mile thefts this year, compared to just 12 in all of 2012. (Source fiercepharmamanufacturing.com)

Quarterly Same Store Sales Results

Five Below Q2 up 6.6% with sales up 34.9%
Pep Boys Q2 down 1.3% with sales up 0.4%
 

SEE ALL OF YESTERDAY'S INTERNET JOB POSTINGS - COMING TO THE D&D DAILY WEBSITE TOMORROW

In keeping with our obligation to the Loss Prevention industry, the Daily will be expanding its Industry Job Postings column to an attached page at the d-ddaily.com website starting tomorrow. You will have access to a comprehensive list of recent jobs published in the Daily - all in an effort to help YOUR career development. 

 

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Thought Challenge
 

By Francis Clark
VP Business Development
Profitect

I find myself being angry toward those that commit ORC, shoplift and even worse, bring violence into our retail stores. Reading D&D every day, I am perhaps too well informed as to the impact that all of this is having on the Retail Industry but am stunned when having conversations with those who are ‘just shoppers’ and are mostly oblivious to what I am seeing. Perhaps we have a role as Retailers to better warn our customers of what is happening, how it is impacting their cost of goods at purchase? Perhaps make them more aware of the ‘people around them’ when shopping and to identify to a ‘member of staff’ anything they see out of the ordinary. We have the obvious warnings over PA systems in some public buildings and all airports, train stations, etc.; but I am speaking of a more subtle way to communicate to our shoppers. Make them aware of ‘what we’re doing’ to combat these crimes and to protect our shoppers and associates. Maybe use receipts, cleverly positioned signage in certain areas of our stores, maybe even buttons worn by staff? The ‘spend’ dollar is getting tighter for many and all of the negatives that I have mentioned are having a grave impact on their shopping results.

We assume that our shoppers are seeing these things on broadcast news, radio, etc., but viewership has been declining for many years relative to broadcast news so it is less an avenue than we may think. I think there is MORE we can do being the clever people we are in Retail....what do you think?

 

Retail Crime News
 
Manhunt Monday: Walmart homicide suspect eludes police  A robber who shot and killed a Phoenix-area Walmart manager in 2012 remains on the loose and authorities need the public's help tracking him down. Surveillance cameras captured the suspect entering a Walmart store at 2020 N. 79th Ave. at 12:16 a.m. on April 7. As the suspect ran out of the store, he was confronted by Walmart manager Peter Marquez. Police said the suspect shot and killed Marquez and continued to run from the area. (Source kpho.com)

Police officer dies after shoplifting arrest - Cpl. Van Perry suffers heart attack during interview in Carthage, Miss.  Officials said Perry suffered a heart attack shortly after arresting a shoplifting suspect on Aug. 28. Perry transported the suspect to the Police Department and collapsed while interviewing him. (Source wapt.com)

Third Suspect Sought In Deadly Houston, Texas Denny's Restaurant Robbery  Two men were jailed and authorities were searching for a third after a robbery at a Denny’s restaurant in Houston that left a customer dead and an employee wounded. An employee who was also shot suffered injuries that were not believed to be life-threatening. Corey Hilton, 20, and Mario Hilton, 18, were held without bond Sunday in the Harris County Jail, charged with capital murder. (Source kwtx.com)

Portsmouth man sentenced to 32 years for string of 9 retail armed robberies  According to court documents, between May and June 2011, Allen and several co-conspirators robbed several check cashing businesses and other stores. Allen’s co-defendants pleaded guilty and agreed to cooperate while Allen went to trial. In court, 19 victims identified Allen as the person who robbed them at gunpoint. (Source washingtonpost.com)

Two sought in $6,000 gift card fraud case in Tulsa  Police said a man and woman reportedly used the credit card to purchase $6,000 in gift cards in August, according to a news release. They then used the gift cards to buy items in Chicago, police said. (Source tulsaworld.com)

Manager, 3 others arrested in 'staged robbery' of McDonald's in Heber City, Utah  Investigators say the robbery of a McDonald's on Sunday was staged by one of the restaurant's managers with the help of three accomplices. (Source desertnews.com)

Philadelphia Police Search for Dollar Tree Store Robbery Suspect  Philadelphia Police are seeking to identify a suspect who robbed a Dollar Tree store in the South Philadelphia section of the city. Surveillance video released by South Detectives Division on Monday shows a man entering the Dollar Tree Store located on Oregon Avenue on Aug. 29 at 9 p.m. Upon entering the rear of the store, the suspect forced an employee at gunpoint to open a safe. Police report that the suspect took an undetermined amount of money. The suspect quickly ran out the back door of the store. (Source abclocal.go.com)

Jewelry store employee gets 5 years; stole 9 pounds of solid gold valued at $200,000  Daniel Knaack was sentenced Monday to five years in prison for the theft of 15 gold bars from the safe of his employer, Costello Jewelry in Glen Ellyn. The jeweler would purchase scrap gold from customers, and then melt it down into gold bars. Knaack told the court that he stole the gold to support his drug problems. Knaack had worked at the store for over 12 years. (Source dailyherald.com)

Burglary Gang hits Best Buy Mobile in Ocala for $100,000 in merchandise  The Ocala Police Department has released surveillance video showing burglars breaking into the Best Buy Mobile store in Ocala late Saturday night and early Sunday morning. The burglars stole $100,000 worth of electronics from the store at 2645 SW College Rd, No. 102, according to OPD. The video shows the burglars entering the store to disable the alarm system and then re-entering several hours later to steal the electronics. Police said about 200 smartphones worth roughly $100,000 and other electronics were reported missing. The crime could be related to similar burglaries in South Florida. (Source wesh.com)

Suspect jumps off the roof of a Dollar Store, trying to elude New Haven Police  Shykwon Supreme Sunchild, 31 was arrested Sunday night after attempting to break into the Dollar Store in New Haven. Sunchild was attempting to elude police by climbing down a drain pipe, the pipe was wet, he slipped and police arrested the uninjured man. Sunchild was charged with burglary and criminal mischief. (Source wtnh.com)

Arson and Burglary hit Dollar Star store in Orange County Florida  Investigators are trying to determine if burglars set a coach on fire inside the store to destroy evidence, or were they attempting to sabotage the business. Cash from the register was stolen and the store was ransacked. Firefighters said they had little work to do because the sprinkler system put out the fire before they arrived, so the effort then turned to the criminal investigation. (Source wftv.com)

Dollar General Hit by Masked Gunman in Cantonment, Florida  A masked gunman entered the Dollar General at 8:35pm demanding money. The employees complied and the suspect quickly fled the store. No one was injured in the event. Escambia County Sheriff’s searched the scene with the K9 unit, but no arrests have been made at this time. (Source northescambia.com)

WE ALL GET SPOOFED!
Should have watched it more closely! Looks like it could be from a movie or commercial. Nonetheless, it is still funny and an entertaining video to watch! Enjoy!

 

ORC News
Sponsored by Protection 1

3 Weeks - 239 ORC Suspects - $5,048,670 Stolen -
4 Fencing Operations - 2 International Gangs -
1 Global Gang = Tied to the Cartels?

All reported in the Daily since August 19th. The Proof is in black and white. Organized Retail Crime is alive, thriving and growing, and we have the proof to show it. With one glaring fact - the number of suspects and amounts stated is grossly understated as most of these cases didn't even have numbers attached to them and we all know these numbers only reflect the tip of the iceberg. To identify this much in three weeks alone is an incredible job on the part of the Loss Prevention executives and Law Enforcement individuals involved.

With $5M in three weeks, 4 established fencing operations, 2 international gangs and one global ring identified, it becomes fairly obvious that it is indeed a global epidemic. As we all know the 239 suspects indentified and busted are connected to hundreds of other ORC thieves and millions upon millions of stolen merchandise. Could this group alone be responsible for over $100M in theft - certainly could be. Now certainly most of these suspects are indeed local small time drug addicts feeding their habits. But to have 7 major cases in three weeks with the ability to unload major amounts of stolen merchandise is evidence enough to show that U.S. retailers are indeed feeding the global black market. For instance, take the five San Antonio women arrested last month in connection to an international theft ring that sold their loot on eBay. The complexity of their half-a-million-dollar global operation suggests a more organized force was really at play - the drug cartels perhaps?

And remember one cold fact - The Daily is very limited in reporting ORC cases, in that the retail industry, and quite frankly the Loss Prevention industry, doesn't report virtually anything to us at all. As we are reporting only that which appears in the papers for the general public. Just think if we could anonymously report all of the ORC cases. The numbers would be huge. Given all of the new ORC laws enacted over the last few years, we'll see a significant increase in the incidents reported. And quite possibly we're already starting to see it, as the journalists and reporters covering the police beats will be seeing the incidents. The problem there is with print media readership crashing and so many print publications facing economic problems the number of journalists are decreasing as are the number of publications. But if we really want to define the ORC problem and truly measure it how do we set up a process for the Daily to be able to report it? Your input or thoughts would be greatly appreciated. Just a Thought.



Recent parolee went on $50,000 shoplifting spree in Atlanta  A Georgia prison parolee released late last month is back behind bars after police said he shoplifted at least $50,000 in merchandise from metro Atlanta stores during his nine days of freedom. James Luther Maloney Jr., 51, was paroled August 21, after spending three years in prison for a long list of convictions including shoplifting, cocaine possession, theft-by-receiving stolen property and obstruction of a law enforcement officer. Maloney is believed to have hit Sears, Macy’s and Walmart stores. (Source 11alive.com)

Saturday night's Nashville undercover operation at the Mall at Green Hills nets two "serial shoplifters"  Officers watched Dominique Stone, 20, and Lamontiesha Johnson, 19, inside the Gymboree store putting merchandise into their purses. Stone ran to her car, police said, and when officers approached her vehicle, she drove toward them. One officer had to move quickly out of the way, police said. Stone then stopped and was arrested. Police recovered more than $2,000 worth of merchandise taken from several stores inside the mall, police said in the statement. Stone had previously been banned from the mall. (Source tennessean.com)

Two NYC men apprehended with booster bag in North Attleboro, Massachusetts  Employees at Hollister in the Emerald Square Mall identified two men and two women to the North Attleboro Police on Saturday, after they were observed concealing $950 in merchandise. Police detained the two men carrying Macy’s bags lined with foil, the two women were not detained. The suspects, Ruben D. Calero-Perdomo, 27, and Yulien A. Naranjo, 25, face larceny charges. (Source thesunchronicle.com)

93.5% of retailers report experiencing some sort of Organized Retail Crime in the past year, according to the National Retail Federation (Source retail-digital.com)
 

“Protection 1 is proud to be sponsoring the D-D Daily ORC column to ensure the LP industry gets the information, education and critical data they need to fight this  national epidemic.” Rex Gillette, VP Retail Sales, Protection 1.

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Vendor Spotlight
 

 

Spencer Gifts, LLC Selects Agilence for Exception Reporting

Retail 20/20 exception reporting solution to provide visibility to all Spencer
Gifts and Spirit Halloween locations

MOUNT LAUREL, NJ, September 10, 2013 – Agilence, Inc., the leading provider of cloud-based exception reporting solutions, today announced that Spencer Gifts, LLC will deploy Retail 20/20 exception-based reporting to replace NaviStor which has reached end-of-life. Spencer’s evaluated multiple software solutions before choosing Retail 20/20. Spencer Gifts, LLC operates over 600 permanent Spencer Gifts locations and over 1000 seasonal Spirit Halloween locations.

“After evaluating multiple solutions, Agilence was the only company that was able to handle our unique environment and offer the flexibility to expand to meet the demands of our 1000 additional seasonal locations,” said Scott Terrell, Divisional VP of Asset and Risk Management, Spencer Gifts, LLC. “The ability for any user to build complex reports and dashboards will unlock the power of the data we have been collecting and give us near real-time visibility into our store operations.”

“Retailers using Retail 20/20 in-house or as a SaaS solution are seeing dramatic improvements in store operations and a significant reduction of losses,” said Russ Hawkins, CEO, Agilence, Inc. “We are pleased that Spencer Gifts, LLC recognizes the power that our application can deliver.”

About Agilence

Agilence (www.agilenceinc.com) is the industry leader in next-generation exception-based reporting solutions for retail loss prevention and operations. Agilence develops Retail 20/20, a highly flexible and powerful, cloud-based reporting solution that provides visibility into daily store operations to reduce fraud and operational inefficiencies. Retail 20/20 provides users with a complete view of their business, empowering them to make informed decisions faster, to increase efficiency and improve profit margins across the enterprise. Founded in 2006, Agilence, Inc. is headquartered in Mount Laurel, NJ. To learn more about Agilence, please email sales@agilenceinc.com or call 856-366-1200.

Contact:
Derek Rodner
VP, Product Strategy
856-366-1200 x500

drodner@agilenceinc.com

 

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Management Rule No. 1: Show Don't Tell
As a leader this rule applies especially to you. If you TELL your employees that their hard work and dedication will be rewarded, but then you SHOW yourself giving the biggest bonuses and rewards to the ones you favor or suck up, then what message is that sending? Show your employees and team members how to behave and what you expect, don't just tell them. (Showing matters)

One Tough Thing All Great Leaders Do
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Getting advice from trusted friends, family members, co-workers and former bosses is always a great thing to do and, quite frankly, it can help you to see more clearly. But remember, at the end of the day it's your decision to make and it's your decision that you have to live with. Your friends, co-workers, and former bosses won't be living with the consequences, but your family will be. So you've got to be more sensitive to their advice. Advice is easy to give, hard to follow and almost impossible to live up to. And everyone has a lot of advice to give; it's the easiest thing to give. Just remember, at 5 a.m. after all the advice has been given, the mirror may be where the answer lies.

Just a Thought,
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Upcoming Events

Retail LP Summit 2013
September 10, 2013
London, W1

Retail Loss Prevention Conference 2013
September 10-11, 2013
Toronto, ON

APIS and Aspect Users Conference
September 16-19, 2013
Bloomington, MN

New England ORC Symposium and Trade Show
September 19, 2013
Worcester, MA

ebay Proact Power User Conference
September 26, 2013
Salt Lake City, UT

Axis Sales Essential Training Course
October 2, 2013
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WSORCA Annual Training Conference
October 3, 2013
Tacoma, WA

Northeast Regional Conference on Loss Prevention
October 29, 2013
Eatontown, NJ

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November 5-7, 2013
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