how much could minor shoplifting add to the economy if:

  • it was only targeting businesses that ship their profits offshore and/or avoid paying local taxes;
  • the shoplifted items were items that were going to be purchased; and
  • monetary savings redistributed to local businesses?
  • Gayhitler@lemmy.ml
    link
    fedilink
    English
    arrow-up
    5
    ·
    5 hours ago

    None.

    Businesses don’t respond to “minor” shoplifting because of an impact to their bottom line. Retail has an idea called “float” that’s meant to account for all the losses not covered elsewhere by spoilage, damage, actual confirmed theft, etc and its always an order of magnitude larger than the volume of loss from shoplifting.

    The response to shoplifting is primarily driven by insurance costs. It’s why the corner store down the street might hire some goon to stand around during peak hours and places that have to negotiate with insurance on millions of square footage spread over tens of thousands of locations tip the scales of local policy.

    If they don’t do something about the “shoplifting problem”(not a problem, not a serious impact to their bottom line), their insurance plan that covers all the stores for hundreds of millions in damages and costs as much in premiums is null and void.

    Okay but here’s why it won’t do what you’re asking about specifically: because not only does your shoplifting not impact the bottom line, the stores claiming there’s a shoplifting problem and then using their insurance premiums to justify draconian measures were already planning on implementing those draconian measures before they came up with the idea of shoplifting.

    Pushing security system upgrades across the board outfits all stores with high definition cameras and rack mount processing equipment that can do object, facial and gait recognition. It creates a stream of data that the store has complete ownership of and can use for whatever it wants. It’s the first step to reversing one area that big box retail has lost ground to online retail in: custom pricing.

    Custom pricing is arguably more powerful in the physical domain. Websites adopted it because getting people to buy shit they didn’t really want was already so hard that they said “shit, we got all this data, hey Jim, go infer what price this person will buy this stuff at!” And it worked.

    Physical retailers don’t have the convenience of letting you shop from your couch, but they do have a much higher conversion rate (that’s how often a sale gets made to someone who doesn’t want to buy) when controlled for other factors. The conversion rate thing is under contention in some circles and sales and marketing people get all their news and job training from magazines so expect funny headlines if you look this up.

    The point is that if you are online temporarily hovering over a marked down socket set you are only thinking about the price. If you’re stopped in target in front of a marked down socket set it’s cheap and immediate.

    It’s the same logic behind the candy at the grocery checkout.

    So if retailers can get the data that lets them fiddle with prices depending on who’s asking then they stand to make a tremendous amount of sales.

    All that is to say that no one cares if you shoplift and so you won’t actually make any difference by doing so.

    If you just wanna shoplift, do it. Your teenage girl ancestors are smiling down upon you as you palm that eye pencil.