Attracting a diverse target market of women, men, young adults and children, Italian retailer La Rinascente is known as one of Italy's most important companies in the upscale department store segment offering high-end apparel and household merchandise. As a fashion forward retailer La Rinascente is continually focused on their customers' desires. With an appealing variety of high end Italian and esteemed international fashion brands including apparel, accessories and lingerie, La Rinascente operates a chain of 12 unique stores located in major cities across Italy. Running a large number of stores that caters to a wide audience compelled La Rinascente to implement a more effective anti-theft program offering efficient shrink reduction while enhancing the customer shopping experience. In their Milan's central square store, the Risk Management team was concerned about protecting their most-vulnerable and popular merchandise in their perfumery, apparel, lingerie, life style, home and accessories sections.
According to the 2009 Global Retail Theft Barometer shrink losses for retailers globally amounted to almost U.S. $115 billion, with Europe ranking second out of the five regions at $44 billion (or 38.4%) of the total global loss due to shrink and inefficiencies, up 4.7% from 2008. Italy's total shrink was $4.6 billion, ranking fourth out of the 22 European countries surveyed.
Retailers in Europe regarded customer theft (including shoplifting and organized retail crime) as their single largest problem totaling 47.5% of shrink, posing a serious threat to their bottom line. The highest shrink rates by retail vertical market were identified as: apparel/clothing and fashion/accessories at 1.84%, and cosmetics/perfume/beauty supply/pharmacy at 1.77%, which represent the most-vulnerable merchandise available at La Rinascente stores requiring protection.
In order to protect their popular, high-valued products from theft while enhancing the customer experience, La Rinascente replaced their existing electronic article surveillance (EAS) anti-theft solutions with Sensormatic Ultra•Exit EAS system from ADT. Based on the highly effective Ultra•Max acousto-magnetic (AM) anti-theft technology, Ultra•Exit delivers wide exit protection in a contemporary design that blends into their environment while maintaining the retailer's upscale image.
ADT combined its Sensormatic Ultra•Exit system with a variety of other anti-theft solutions capable of covering the security needs for all product categories in different sections of their stores. Building upon their strong customer focus, La Rinascente now has enhanced the shopping experience by improving its security standards to make products more accessible to customers, allowing sales associates to concentrate on customer service — ultimately driving sales and profits.
"After having kept commonly stolen goods such as perfumes, lingerie, creams and cosmetics, locked in cabinets or under the POS for years, our sales staff can now display these items openly as a result of implementing the Sensormatic anti-theft solution," said La Rinascente. "ADT offered the best system capable of perfectly merging aesthetics and performance. Their stylish and innovative design complemented our fashion forward setting, proving to be a winning solution from a return on investment and cost containment perspective."
AM-based EAS systems are the preferred anti-theft technology for retailers, especially those selling metal foil-packaged goods commonly found with cosmetics, perfume, beauty care and other general merchandise. Compared to RF systems, research has shown AM systems to have the highest detection rates to protect all types of highly pilfered goods.