More Retailers Victimized by Organized Crime Rings: NRF

In a survey of 114 senior loss-prevention executives representing all segments of retailing, the National Retail Federation found that 85% said their company was a victim of organized retail crime (ORC) in the past 12 months, up from 79% in 2007.

WASHINGTON — In a survey of 114 senior loss-prevention executives representing all segments of retailing, the National Retail Federation here found that 85% said their company was a victim of organized retail crime (ORC) in the past 12 months, up from 79% in 2007. NRF’s 2008 Organized Retail Crime report, released today, also noted that 66% of respondents have seen an increase in ORC, less than the 71% who said that last year. In addition, 68% said they have identified or recovered stolen merchandise and/or gift cards from a fence location, up from 61% last year. In a conference call yesterday, Joseph LaRocca, NRF’s vice president of loss prevention, attributed the growth of ORC to its low-risk profitability for the crime rings who pilfer merchandise like baby formula and over-the-counter medication and then sell it at such places as flea markets and pawn shops or online. “The reward is so great vs. the risk,” he said. But he noted that recent large arrests of ORC rings around the country suggest “we’ve started a good trend.”