March 18, 2026
Modernizing Retail Loss Prevention Technology for Today’s Digital Landscape
Technology is redefining the way retailers operate more than ever. Retailers should view these innovations as both a challenge and a solution to loss prevention.
Retailers today face a convergence of challenges: rising shrink, organized retail crime, employee safety concerns and increasing digital fraud. Simultaneously, many are focused on modernizing stores with artificial intelligence, self-checkout and unified commerce. In this environment, traditional loss prevention strategies are no longer sufficient.
AI-powered technologies such as computer vision, advanced analytics and radio-frequency ID (RFID) are redefining loss prevention, helping retailers reduce risk while preserving customer experience. By closing the visibility gap between physical and digital channels, retailers can take a more proactive approach to loss prevention. The same solutions and insights that help retailers reduce theft and fraud can also improve operational decision-making and cross-team collaboration, leading to faster ROI from technology investments.
Partnering with an expert that understands technology and the retail industry can help retailers move from fragmented security tools to integrated, outcome-driven strategies that balance protection, performance and experience.
Advanced loss prevention strategies help retailers reduce loss, optimize operations and enhance customer experiences.
Retailers today face a convergence of challenges: rising shrink, organized retail crime, employee safety concerns and increasing digital fraud. Simultaneously, many are focused on modernizing stores with artificial intelligence, self-checkout and unified commerce. In this environment, traditional loss prevention strategies are no longer sufficient.
AI-powered technologies such as computer vision, advanced analytics and radio-frequency ID (RFID) are redefining loss prevention, helping retailers reduce risk while preserving customer experience. By closing the visibility gap between physical and digital channels, retailers can take a more proactive approach to loss prevention. The same solutions and insights that help retailers reduce theft and fraud can also improve operational decision-making and cross-team collaboration, leading to faster ROI from technology investments.
Partnering with an expert that understands technology and the retail industry can help retailers move from fragmented security tools to integrated, outcome-driven strategies that balance protection, performance and experience.
Advanced loss prevention strategies help retailers reduce loss, optimize operations and enhance customer experiences.
Retailers today face myriad challenges: margin compression, rising shrink, organized retail crime (ORC) and digital fraud. Theft rings are shifting from isolated incidents to coordinated, technology-enabled crimes, and counterfeits are increasingly convincing. E-commerce has opened new avenues to exploit digital and in-person channels together, with 40% of retailers reporting more fraud tied to online purchases with in-store pickups or returns.
In 2025, 53% of retailers reported an increase in shoplifting and theft, and 51% said shoplifters are more aggressive and violent. These risks affect profitability and staffing, with 37% of store managers saying safety concerns hinder hiring. To protect employees, many retailers allow only loss prevention personnel to confront shoplifters.
To respond further, retailers are modernizing stores with artificial intelligence, advanced video cameras and related platforms and systems. Unified platforms aggregate data from cameras, point-of-sale (POS) systems and RFID to develop analytics that guide loss prevention and operational decisions. Modern solutions also enable proactive prevention while minimizing friction in the customer experience. AI-enabled cameras can detect scan avoidance and product switches at self-checkout, face recognition can alert staffers to known shoplifters, and RFID tags make theft and counterfeiting more difficult. The right technology solutions — deployed as part of a holistic loss prevention strategy — can help retailers reduce losses while optimizing operations and maintaining safe, welcoming environments for customers and employees.
A further challenge to retailers: Technologies are changing quickly. An expert partner can help leaders assess their environments, recommend strategies that align with loss prevention challenges and business objectives, and develop custom solutions. By establishing a modern, comprehensive loss prevention program, retailers can reduce theft and fraud protection margins, and enhance customers’ and employees’ experiences.
52%
The percentage of retailers reporting an increase in shoplifting and merchandise theft by organized retail theft groups
Source: National Retail Federation, “The Impact of Retail Theft & Violence Report,” October 2025
Advanced loss prevention strategies help retailers reduce loss, optimize operations and enhance customer experiences.
Retailers today face myriad challenges: margin compression, rising shrink, organized retail crime (ORC) and digital fraud. Theft rings are shifting from isolated incidents to coordinated, technology-enabled crimes, and counterfeits are increasingly convincing. E-commerce has opened new avenues to exploit digital and in-person channels together, with 40% of retailers reporting more fraud tied to online purchases with in-store pickups or returns.
In 2025, 53% of retailers reported an increase in shoplifting and theft, and 51% said shoplifters are more aggressive and violent. These risks affect profitability and staffing, with 37% of store managers saying safety concerns hinder hiring. To protect employees, many retailers allow only loss prevention personnel to confront shoplifters.
To respond further, retailers are modernizing stores with artificial intelligence, advanced video cameras and related platforms and systems. Unified platforms aggregate data from cameras, point-of-sale (POS) systems and RFID to develop analytics that guide loss prevention and operational decisions. Modern solutions also enable proactive prevention while minimizing friction in the customer experience. AI-enabled cameras can detect scan avoidance and product switches at self-checkout, face recognition can alert staffers to known shoplifters, and RFID tags make theft and counterfeiting more difficult. The right technology solutions — deployed as part of a holistic loss prevention strategy — can help retailers reduce losses while optimizing operations and maintaining safe, welcoming environments for customers and employees.
A further challenge to retailers: Technologies are changing quickly. An expert partner can help leaders assess their environments, recommend strategies that align with loss prevention challenges and business objectives, and develop custom solutions. By establishing a modern, comprehensive loss prevention program, retailers can reduce theft and fraud protection margins, and enhance customers’ and employees’ experiences.
Advanced loss prevention strategies help retailers reduce loss, optimize operations and enhance customer experiences.
Retail Loss Prevention Is Evolving
21%
The percentage of retailers reporting an increase in internal or employee collusion with organized retail theft groups
Source: National Retail Federation, “The Impact of Retail Theft & Violence Report,” October 2025
27%
The percentage of self-checkout users who had intentionally taken an item without scanning, as of 2025, up from 15% in 2023
Source: lendingtree.com, “More Consumers Stealing From Self-Checkout, With Many Blaming Higher Prices,” Dec. 2, 2025
49%
The percentage of self-checkout users who had intentionally taken an item without scanning and said cameras and AI-assisted monitoring have made theft more difficult
Source: lendingtree.com, “More Consumers Stealing From Self-Checkout, With Many Blaming Higher Prices,” Dec. 2, 2025
Retail Loss Prevention Is Evolving
21%
The percentage of retailers reporting an increase in internal or employee collusion with organized retail theft groups
Source: National Retail Federation, “The Impact of Retail Theft & Violence Report,” October 2025
27%
The percentage of self-checkout users who had intentionally taken an item without scanning, as of 2025, up from 15% in 2023
Source: lendingtree.com, “More Consumers Stealing From Self-Checkout, With Many Blaming Higher Prices,” Dec. 2, 2025
49%
The percentage of self-checkout users who had intentionally taken an item without scanning and said cameras and AI-assisted monitoring have made theft more difficult
Source: lendingtree.com, “More Consumers Stealing From Self-Checkout, With Many Blaming Higher Prices,” Dec. 2, 2025
- AI-POWERED LOSS PREVENTION
- CLOSING THE PHYSICAL–DIGITAL VISIBILITY GAP
- TURNING STRATEGY INTO ACTION
AI is transforming loss prevention from reactive surveillance to proactive intelligence, helping retailers detect, deter and reduce loss without compromising the customer experience. Retailers can increase the ROI on these investments by leveraging AI-enabled data insights to reduce loss while also driving operational improvements across the business.
SMART SELF-CHECKOUT: Although self-checkout theft is increasing, AI-enabled cameras are proving to be an effective defense, detecting scan avoidance, product switching and other behaviors. Among shoppers who have stolen from self-checkout previously, 49% say that AI-assisted monitoring near kiosks has made theft more difficult.
RFID AND AUTHENTICATION: More sophisticated product counterfeiting is enabling criminals to purchase authentic items and return counterfeits for a refund. In response, more retailers are deploying RFID tags to prevent fraud and support inventory control. Paired with AI, RFID helps retailers fight ORC by identifying loss patterns and bolstering law enforcement reporting.
COMPUTER VISION: Computer vision uses AI to analyze surveillance camera feeds and other visual inputs to provide real-time detection of theft, self-checkout fraud and suspicious behavior. Unlike legacy cameras, which are typically used to investigate an incident after it has occurred, AI-enabled cameras help retailers take a more proactive stance to security and safety.
VIDEO INTELLIGENCE: Video intelligence applies data analytics and advanced capabilities, such as face recognition and anomaly detection, to inputs from computer-vision and other systems. For instance, it can enable real-time alerts to known shoplifters on the premises. Insights derived from video intelligence can help retailers improve staffing, store layouts and other areas.
Click Below To Continue Reading
Deterring ORC Fraud and Theft
ORC is evolving, with some groups becoming more sophisticated and others becoming more dangerous. In a National Retail Federation survey, 81% of retailers said that ORC-associated aggression and violence had increased year over year. A Loss Prevention Research Council survey found that nearly 49% of retailers believe fear of crime is a factor in their staffing and turnover issues.
• Retailers need layered strategies that address prevention, disruption and de-escalation, and post-crime response. Tailored technology solutions can help retailers collect and leverage data to combat these crimes at each stage.
• Advanced video cameras empower retailers to respond quickly to threats through capabilities such as face recognition, which can flag known criminals or disgruntled employees, and AI-enabled weapons detection.
• Technologies can also facilitate data collection about “close call” incidents. For instance, if retailers observe a repeated pattern of near conflicts in a specific area, they can proactively address contributing factors.
• Many retailers report that ORC thefts and frauds are increasing across crime categories. Phone scams and frauds, digital and e-commerce frauds, and shoplifting and merchandise theft top the list of tactics becoming more prevalent.
In contrast to e-commerce sites, physical locations offer much less visibility into customer behavior. With online customers, retailers can see every step of the journey, from which products customers viewed to how long they engaged with onsite videos and reviews. When customers are in physical stores, retailers lose those insights if they have not implemented technologies that enable real-time visibility. The impact on loss prevention can be significant, but this gap also means missed opportunities to develop insights that drive operational improvements.
Understanding customers’ behavior in real time is crucial to loss prevention. AI tools such as computer vision are restoring in-store intelligence by eliminating blind spots and enabling retailers to see traffic patterns, dwell times and product interaction. Unified camera and analytics platforms help loss prevention teams increase their efficiency and effectiveness by providing real-time alerts that enable timely intervention. The benefits of shared data go well beyond loss prevention, offering opportunities to increase ROI by leveraging this visibility to improve operations, merchandising and customer experience.
INTEGRATED INSIGHTS: By aggregating AI-enabled video analytics from multiple incidents and locations, retailers can identify patterns in criminals’ methodologies. For example, AI models can identify consistencies among incidents that appear to be isolated, such as times of day or vehicles used. That empowers retailers to better protect their locations, share alerts when ORC risks are elevated, and coordinate responses with other retailers and law enforcement. In addition, integrating video analytics with POS systems and sensors provides visual context that can speed up incident response and support law enforcement reporting. According to the National Retail Federation, 43% of retailers are researching AI-enabled POS and data analytics software, and 31% have it fully operational or in progress.
UNIFIED DATA PLATFORMS: Unified data platforms increase efficiency and improve outcomes by giving loss prevention teams a single dashboard instead of multiple applications. AI tools automate manual, time-consuming tasks and make it easier to search across data sources. Staffers can use conversational language to quickly locate relevant video footage instead of reviewing hours of video. These capabilities help teams focus their efforts where they will be most effective as workloads and threats grow. For example, loss prevention teams often overlook minor security incidents to prioritize major events. Over time, however, small issues can snowball into larger internal or external theft. Platforms that aggregate these incidents provide a more complete picture, helping teams identify patterns and act quickly.
SHARED DATA AND ROI: Historically, loss prevention and IT teams have worked in silos, using separate tools and missing opportunities to fully leverage insights from modernized operations. By overcoming cultural, logistical and technological barriers to collaboration, retailers can meaningfully increase the ROI of loss prevention investments. Unified platforms make this collaboration worthwhile by enabling data sharing that supports goals beyond loss prevention. Greater security visibility in stores can also inform operational improvements, such as understanding customers’ dwell time, queue behavior and movement patterns. These insights help to optimize staffing, store layout and service. Unified platforms also enhance the customer experience with seamless cross-channel features such as synced carts, which 30% of Generation Z shoppers now expect.
PRIVACY BY DESIGN: As retailers deploy new technologies to enhance video surveillance and aggregate data about customers and store activities, they must prioritize privacy, transparency and data governance. While 34% of customers want personalized support and experiences, 70% percent are uncomfortable with brands using their data. To balance these preferences, retailers should clearly explain how they use customer data and give customers opt-out options. For example, about one-third of customers are uncomfortable with AI-enabled face recognition, whether for authentication or personalization. Retailers need to understand customers’ preferences and implement strong cybersecurity, privacy protections and data governance to keep customer data safe, reliable and accurate.
Retailers turn to CDW for the industry experience, technical depth and execution at scale that they need to manage risks and reduce losses.
RETAIL EXPERTISE: Retailers’ slim margins often leave them with outdated technology, yet modern infrastructure is essential to fully leverage AI and advanced tools. This includes optimized networks, sufficient compute capacity, strong cybersecurity and well-governed data, all guided by clear priorities. Many leaders feel overwhelmed by the rapid pace of retail technology change, while others underestimate the complexity of modernization.
CDW helps retailers assess their environments through a loss prevention lens and build roadmaps that improve ROI by aligning technology with business outcomes and shrink reduction. Our experts include seasoned retail leaders who understand the industry’s challenges and have partnered with retailers nationwide. CDW’s AI engineers also work at a strategic level to design and implement custom software and solutions for specific challenges.
SECURE BY DESIGN: Retailers need confidence that as they unify data systems and integrate AI, customers’ and employees’ data remains private and protected. CDW’s retail expertise and breadth of services can help retailers establish a holistic security posture. Being secure by design means ensuring that everything they build is protected and that every solution they deploy includes strong, appropriate security controls.
Many retailers benefit from an expert-led, end-to-end assessment of their environment and loss prevention strategies. CDW’s assessment includes a complimentary Threat Check of the network to detect malware, external intrusions and other vulnerabilities. CDW can also assess Payment Card Industry Data Security Standard (PCI DSS) and General Data Protection Regulation (GDPR) compliance to ensure retailers meet relevant data security standards.
ONGOING OPTIMIZATION: Retail technologies evolve quickly, as do threat and fraud tactics. An expert partner can help retailers stay ahead of these changes and understand how peers are adapting. CDW works with retailers of all sizes and meets regularly with its Retail Customer Advisory Board to stay current on industry challenges, trends, security risks and best practices. These engagements, combined with our hands-on industry experience, allow us to provide nuanced guidance and deep technical expertise so that retailers can meet today’s risks while preparing for tomorrow’s. CDW’s tailored support and extensive partner relationships enable us to deliver the most appropriate solutions for each customer, ensuring that their loss prevention strategies remain advanced, competitive and secure.
- AI-POWERED LOSS PREVENTION
- CLOSING THE PHYSICAL–DIGITAL VISIBILITY GAP
- TURNING STRATEGY INTO ACTION
AI is transforming loss prevention from reactive surveillance to proactive intelligence, helping retailers detect, deter and reduce loss without compromising the customer experience. Retailers can increase the ROI on these investments by leveraging AI-enabled data insights to reduce loss while also driving operational improvements across the business.
SMART SELF-CHECKOUT: Although self-checkout theft is increasing, AI-enabled cameras are proving to be an effective defense, detecting scan avoidance, product switching and other behaviors. Among shoppers who have stolen from self-checkout previously, 49% say that AI-assisted monitoring near kiosks has made theft more difficult.
RFID AND AUTHENTICATION: More sophisticated product counterfeiting is enabling criminals to purchase authentic items and return counterfeits for a refund. In response, more retailers are deploying RFID tags to prevent fraud and support inventory control. Paired with AI, RFID helps retailers fight ORC by identifying loss patterns and bolstering law enforcement reporting.
COMPUTER VISION: Computer vision uses AI to analyze surveillance camera feeds and other visual inputs to provide real-time detection of theft, self-checkout fraud and suspicious behavior. Unlike legacy cameras, which are typically used to investigate an incident after it has occurred, AI-enabled cameras help retailers take a more proactive stance to security and safety.
VIDEO INTELLIGENCE: Video intelligence applies data analytics and advanced capabilities, such as face recognition and anomaly detection, to inputs from computer-vision and other systems. For instance, it can enable real-time alerts to known shoplifters on the premises. Insights derived from video intelligence can help retailers improve staffing, store layouts and other areas.
Click Below To Continue Reading
Deterring ORC Fraud and Theft
ORC is evolving, with some groups becoming more sophisticated and others becoming more dangerous. In a National Retail Federation survey, 81% of retailers said that ORC-associated aggression and violence had increased year over year. A Loss Prevention Research Council survey found that nearly 49% of retailers believe fear of crime is a factor in their staffing and turnover issues.
• Retailers need layered strategies that address prevention, disruption and de-escalation, and post-crime response. Tailored technology solutions can help retailers collect and leverage data to combat these crimes at each stage.
• Advanced video cameras empower retailers to respond quickly to threats through capabilities such as face recognition, which can flag known criminals or disgruntled employees, and AI-enabled weapons detection.
• Technologies can also facilitate data collection about “close call” incidents. For instance, if retailers observe a repeated pattern of near conflicts in a specific area, they can proactively address contributing factors.
• Many retailers report that ORC thefts and frauds are increasing across crime categories. Phone scams and frauds, digital and e-commerce frauds, and shoplifting and merchandise theft top the list of tactics becoming more prevalent.
In contrast to e-commerce sites, physical locations offer much less visibility into customer behavior. With online customers, retailers can see every step of the journey, from which products customers viewed to how long they engaged with onsite videos and reviews. When customers are in physical stores, retailers lose those insights if they have not implemented technologies that enable real-time visibility. The impact on loss prevention can be significant, but this gap also means missed opportunities to develop insights that drive operational improvements.
Understanding customers’ behavior in real time is crucial to loss prevention. AI tools such as computer vision are restoring in-store intelligence by eliminating blind spots and enabling retailers to see traffic patterns, dwell times and product interaction. Unified camera and analytics platforms help loss prevention teams increase their efficiency and effectiveness by providing real-time alerts that enable timely intervention. The benefits of shared data go well beyond loss prevention, offering opportunities to increase ROI by leveraging this visibility to improve operations, merchandising and customer experience.
INTEGRATED INSIGHTS: By aggregating AI-enabled video analytics from multiple incidents and locations, retailers can identify patterns in criminals’ methodologies. For example, AI models can identify consistencies among incidents that appear to be isolated, such as times of day or vehicles used. That empowers retailers to better protect their locations, share alerts when ORC risks are elevated, and coordinate responses with other retailers and law enforcement. In addition, integrating video analytics with POS systems and sensors provides visual context that can speed up incident response and support law enforcement reporting. According to the National Retail Federation, 43% of retailers are researching AI-enabled POS and data analytics software, and 31% have it fully operational or in progress.
UNIFIED DATA PLATFORMS: Unified data platforms increase efficiency and improve outcomes by giving loss prevention teams a single dashboard instead of multiple applications. AI tools automate manual, time-consuming tasks and make it easier to search across data sources. Staffers can use conversational language to quickly locate relevant video footage instead of reviewing hours of video. These capabilities help teams focus their efforts where they will be most effective as workloads and threats grow. For example, loss prevention teams often overlook minor security incidents to prioritize major events. Over time, however, small issues can snowball into larger internal or external theft. Platforms that aggregate these incidents provide a more complete picture, helping teams identify patterns and act quickly.
SHARED DATA AND ROI: Historically, loss prevention and IT teams have worked in silos, using separate tools and missing opportunities to fully leverage insights from modernized operations. By overcoming cultural, logistical and technological barriers to collaboration, retailers can meaningfully increase the ROI of loss prevention investments. Unified platforms make this collaboration worthwhile by enabling data sharing that supports goals beyond loss prevention. Greater security visibility in stores can also inform operational improvements, such as understanding customers’ dwell time, queue behavior and movement patterns. These insights help to optimize staffing, store layout and service. Unified platforms also enhance the customer experience with seamless cross-channel features such as synced carts, which 30% of Generation Z shoppers now expect.
PRIVACY BY DESIGN: As retailers deploy new technologies to enhance video surveillance and aggregate data about customers and store activities, they must prioritize privacy, transparency and data governance. While 34% of customers want personalized support and experiences, 70% percent are uncomfortable with brands using their data. To balance these preferences, retailers should clearly explain how they use customer data and give customers opt-out options. For example, about one-third of customers are uncomfortable with AI-enabled face recognition, whether for authentication or personalization. Retailers need to understand customers’ preferences and implement strong cybersecurity, privacy protections and data governance to keep customer data safe, reliable and accurate.
Retailers turn to CDW for the industry experience, technical depth and execution at scale that they need to manage risks and reduce losses.
RETAIL EXPERTISE: Retailers’ slim margins often leave them with outdated technology, yet modern infrastructure is essential to fully leverage AI and advanced tools. This includes optimized networks, sufficient compute capacity, strong cybersecurity and well-governed data, all guided by clear priorities. Many leaders feel overwhelmed by the rapid pace of retail technology change, while others underestimate the complexity of modernization.
CDW helps retailers assess their environments through a loss prevention lens and build roadmaps that improve ROI by aligning technology with business outcomes and shrink reduction. Our experts include seasoned retail leaders who understand the industry’s challenges and have partnered with retailers nationwide. CDW’s AI engineers also work at a strategic level to design and implement custom software and solutions for specific challenges.
SECURE BY DESIGN: Retailers need confidence that as they unify data systems and integrate AI, customers’ and employees’ data remains private and protected. CDW’s retail expertise and breadth of services can help retailers establish a holistic security posture. Being secure by design means ensuring that everything they build is protected and that every solution they deploy includes strong, appropriate security controls.
Many retailers benefit from an expert-led, end-to-end assessment of their environment and loss prevention strategies. CDW’s assessment includes a complimentary Threat Check of the network to detect malware, external intrusions and other vulnerabilities. CDW can also assess Payment Card Industry Data Security Standard (PCI DSS) and General Data Protection Regulation (GDPR) compliance to ensure retailers meet relevant data security standards.
ONGOING OPTIMIZATION: Retail technologies evolve quickly, as do threat and fraud tactics. An expert partner can help retailers stay ahead of these changes and understand how peers are adapting. CDW works with retailers of all sizes and meets regularly with its Retail Customer Advisory Board to stay current on industry challenges, trends, security risks and best practices. These engagements, combined with our hands-on industry experience, allow us to provide nuanced guidance and deep technical expertise so that retailers can meet today’s risks while preparing for tomorrow’s. CDW’s tailored support and extensive partner relationships enable us to deliver the most appropriate solutions for each customer, ensuring that their loss prevention strategies remain advanced, competitive and secure.
Advanced loss prevention strategies help retailers reduce loss, optimize operations and enhance customer experiences.
Andy Szanger
Director of Strategy
