Just over half (57 per cent) was attributed directly to shoplifting, with a 22 per cent dishonest employee theft, 15 per cent non-crime related losses, and 6 per cent supplier fraud. There’s a tinge of guilt but it certainly doesn't keep me up at night. Male shoplifter Direct customer theft was estimated to have cost the industry $2.26 billion in 2017/18. Dr Emmeline Taylor, the report's lead researcher and Reader in Criminology at the University of London said retailers were being hit from all angles when it came to theft, with criminals going out of their way to find ways around loss-prevention methods. "Every time a retailer introduces new technology or a new system there’s a backlash from criminals, which is then followed by an attempt to discover the system’s vulnerabilities," Dr Taylor said.

Loading "Shop theft is an age-old crime, and where we used to see the occasional items being taken by customers, we’re now seeing things like organised gangs, and individuals doing refund fraud." The study was undertaken by Aptus Research, loss-prevention software company Checkpoint and the newly-formed Profit Protection Future Forum, a consortium led by loss prevention leads at prominent Australian retailers such as David Jones, Chemist Warehouse and JD Sports. Results were compiled from a survey of retailers, a survey of loss-prevention heads, and a survey of shoplifters themselves, who Dr Taylor said have become increasingly brazen. Compared with a similar survey undertaken in 2015, customer theft was up 18 per cent. "Thieves feel that it’s become easier than ever, they feel they’ve got complete free rein to steal with impunity," Dr Taylor said.

"This is because there’s a perception shoplifting is a ‘victimless crime’ because thieves assume it’s built into the company's profit margins." In-store crime is costing Australian retailers upwards of $3.3 billion a year, and self-service checkouts are partially to blame. Credit:Sergio Dionisio A male shoplifter quoted in the report said while he "definitely felt bad" about his crime, he felt less bad because of the retailers' size. "They are not going to feel the pinch and have probably costed in a certain amount of petty theft into their targets and things," he said. "There’s a tinge of guilt but it certainly doesn't keep me up at night."

Self-service checkouts have been an increasingly prominent fixture in major Australian retailers for the past decade as companies like Woolworths and Coles look to cut wage costs, often one of their most significant expenses. Dr Taylor said this had bred a "new type" of thief: customers who would usually never entertain the idea of stealing but do so due to the "psychological difference" of interacting with a machine rather than a human. The report labels these as SWIPERS, or Seemingly Well-Intentioned Patrons Engaging in Routine Shoplifting "Those we spoke to who stole from self-service checkouts say it happened accidentally the first time, and after that, it became easier and easier," she said. "These thieves will use any sorts of justification to convince themselves what they’re doing isn’t that bad, such as that it’s a form of compensation for them having to pack their own bag."

A female shoplifter quoted in the report said she targeted any product that wasn’t packaged and didn’t have a fixed price, such as bananas and grapes. "I’m always switching one vegetable for another. It’s not a lot but still it’s probably $2-3 on a $15 run. I learnt that was far less risky," she said. Retailers are turning to technology to help tackle shoplifting, including increased use of radio frequency ID tags and video surveillance. Much of this action is being taken due to retailers feeling support from law enforcement is lacking, with just 20 per cent saying they felt they were receiving sufficient support to tackle retail crime. “This was almost always followed immediately by the caveat that police resources are overstretched, but there should be a better relationship between law enforcement and retailers,’ Dr Taylor said.