Washington, DC grocer will pull national brands off beauty, health aisles to deter shoplifting

19:25 03.09.2023

A Giant grocery store in Washington D.C. is taking drastic measures to combat the high rate of theft and avoid shutting down. The store has decided to remove popular brands like Advil, Colgate, and Tide from their shelves. This decision comes after the grocery chain increased security measures in May, including limiting entrances and locking up certain products.

According to the Washington Post, Giant shoppers will now be required to show their receipts before exiting the store, further highlighting the urgency of the situation. Giant president Ira Kress expressed the need to protect their associates and serve the community without incurring significant losses. With theft increasing "tenfold in the last five years" and violence escalating, Kress emphasized the importance of running the stores safely and profitably.

The situation at the Giant store on Alabama Avenue in D.C. has only worsened despite the implementation of additional security measures. Diane Hicks, senior vice president of operations, lamented the fact that even though they have invested more in security at this particular store than any other, the crime rate continues to rise. As a result, the store will be removing highly targeted items such as Tide laundry detergent, Schick razor blades, Dove soap, Degree deodorant, and Pantene shampoo.

Hicks explained that leaving these products out for customers has only attracted more crime, forcing their hand in removing them from the shelves. Kress also acknowledged that selling these products is not profitable as they are often quickly stolen and unable to stay on the shelves for more than two hours.

The Giant Food grocery chain is not the only retailer facing these challenges. Whole Foods, for example, has closed locations in San Francisco due to rampant theft and safety concerns. Other major stores, including Home Depot, Target, Walmart, and Lowes, have also experienced losses due to organized retail crime.

The increase in theft incidents involving violence or threats of violence has prompted retailers to take action. The National Retail Federation reported a 25 percent surge in organized retail crime in 2021, contributing to $94.5 billion in losses from product shrinkage.

To combat this issue, many stores have resorted to locking up products and discontinuing certain items. However, for grocers operating on slim profit margins, even minor changes in costs can have significant impacts. Giant's decision to remove national brands and only leave generic store brands on the shelves is a final attempt to keep the struggling store open and avoid closure.

As retailers across the United States grapple with the wave of shoplifting and organized crime, finding effective solutions to protect their stores and profits remains a challenge.

/ Sunday, September 3, 2023, 7:25 PM /

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