Loss Prevention Calculator -3 WC Blog 550
Can Loss Prevention Be Free? – 3
Understanding ROI Of A Checkpoint System With The Loss Prevention Calculator
Shortage reduction and theft prevention should be one of the top priorities for store owners to add profitability to their businesses. Trying to determine the best way to achieve this can be a difficult decision but the Loss Prevention Calculator can be of help. An article in LPM Insider titled, “How Do You Calculate ROI in Retail?” Feb 18, 2018 by Robert L. DiLonardo, the author discusses the methods of calculating return on investment in retail environments. Much of the article is discussion involving investment in retail theft prevention equipment and how to make investment decisions. Factors he mentions include the costs of equipment, devaluation, ongoing maintenance and even IT expenses that have to be taken into consideration. The costs then have to be weighed against the benefits and these may include how much is saved in labor reduction, reductions in inventory shortage, etc. The author also points out that, “Additional sales may be generated in other ways.” He explains in one example that more merchandise is available as EAS (electronic article surveillance) reduces shortage. Loss Prevention Systems Inc. CEO, Bill Bregar agrees with this assessment and encourages store owners that EAS is the best way to go to prevent shortage. It is so effective that Loss Prevention Systems Inc. knows that the Return On Investment in a Checkpoint EAS system will pay for itself over time. The ROI is enough that you could ask, “Can Loss Prevention Be Free?”
“Can Loss Prevention Be Free?” It is an interesting question that deserves an answer. Mr. DiLonardo makes the case that there are tangible benefits from using retail theft prevention equipment as I pointed out above. If you were to install a Checkpoint system and your shortage drops by 30% (a low estimate for an electronic article surveillance system) that 30% is added to your bottom line. There are a number of factors that come into play but let’s just say as an example you experience $10,000 in shortage each year. You invest $6,000 in a new Checkpoint system. Your Shortage decreases to $7,000 the following inventory at the 30% reduction we mentioned. You have just paid for half of that EAS system you installed. Using the Loss Prevention Calculator on the Loss Prevention Systems Inc. website you can try putting in different variables. You can enter how much you want to invest in a Checkpoint System and your estimated annual sales. The estimated number of months your new system would take to pay for itself is calculated for you. Can Loss Prevention Be Free? You bet it can be!
Another interesting point to make from the article is that Mr. DiLonardo uses a hypothetical comparison between the impact of a closed circuit television (CCTV) system and an electronic article surveillance system. He points out the potential increase of shoplifter apprehensions and what that amounts to when considering the dollars saved and the number of cases. The point makes sense when a store has a Loss Prevention Associate but most small retailers can’t afford a Loss Prevention Associate. An investment in a CCTV system will have little real impact on theft in those smaller businesses. It is good as a safety measure and can be used in identification for fraud cases and perhaps identifying shoplifters after the fact. It has little impact on shoplifting as it takes place and therefore makes less impact than it does in bigger stores and chain stores.
Bill Bregar, CEO of Loss Prevention Systems Inc. has made it his goal to help the small and medium size retail store owners who can’t afford a Loss Prevention Associate. A Checkpoint System will add profit back to stores and the Free Loss Prevention Calculator is one way he can prove it to you. You can use the calculator without any obligation but I think after you see the results you will want to discuss how soon you can start reducing shortage in your shops with Bill and his team. Don’t delay; try out the calculator now…What are you waiting for?
The Loss Prevention Calculator is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
Shortage reduction and theft prevention should be one of the top priorities for store owners to add profitability to their businesses. Trying to determine the best way to achieve this can be a difficult decision but the Loss Prevention Calculator can be of help. An article in LPM Insider titled, “How Do You Calculate ROI in Retail?” Feb 18, 2018 by Robert L. DiLonardo, the author discusses the methods of calculating return on investment in retail environments. Much of the article is discussion involving investment in retail theft prevention equipment and how to make investment decisions. Factors he mentions include the costs of equipment, devaluation, ongoing maintenance and even IT expenses that have to be taken into consideration. The costs then have to be weighed against the benefits and these may include how much is saved in labor reduction, reductions in inventory shortage, etc. The author also points out that, “Additional sales may be generated in other ways.” He explains in one example that more merchandise is available as EAS (electronic article surveillance) reduces shortage. Loss Prevention Systems Inc. CEO, Bill Bregar agrees with this assessment and encourages store owners that EAS is the best way to go to prevent shortage. It is so effective that Loss Prevention Systems Inc. knows that the Return On Investment in a Checkpoint EAS system will pay for itself over time. The ROI is enough that you could ask, “Can Loss Prevention Be Free?”
“Can Loss Prevention Be Free?” It is an interesting question that deserves an answer. Mr. DiLonardo makes the case that there are tangible benefits from using retail theft prevention equipment as I pointed out above. If you were to install a Checkpoint system and your shortage drops by 30% (a low estimate for an electronic article surveillance system) that 30% is added to your bottom line. There are a number of factors that come into play but let’s just say as an example you experience $10,000 in shortage each year. You invest $6,000 in a new Checkpoint system. Your Shortage decreases to $7,000 the following inventory at the 30% reduction we mentioned. You have just paid for half of that EAS system you installed. Using the Loss Prevention Calculator on the Loss Prevention Systems Inc. website you can try putting in different variables. You can enter how much you want to invest in a Checkpoint System and your estimated annual sales. The estimated number of months your new system would take to pay for itself is calculated for you. Can Loss Prevention Be Free? You bet it can be!
Another interesting point to make from the article is that Mr. DiLonardo uses a hypothetical comparison between the impact of a closed circuit television (CCTV) system and an electronic article surveillance system. He points out the potential increase of shoplifter apprehensions and what that amounts to when considering the dollars saved and the number of cases. The point makes sense when a store has a Loss Prevention Associate but most small retailers can’t afford a Loss Prevention Associate. An investment in a CCTV system will have little real impact on theft in those smaller businesses. It is good as a safety measure and can be used in identification for fraud cases and perhaps identifying shoplifters after the fact. It has little impact on shoplifting as it takes place and therefore makes less impact than it does in bigger stores and chain stores.
Bill Bregar, CEO of Loss Prevention Systems Inc. has made it his goal to help the small and medium size retail store owners who can’t afford a Loss Prevention Associate. A Checkpoint System will add profit back to stores and the Free Loss Prevention Calculator is one way he can prove it to you. You can use the calculator without any obligation but I think after you see the results you will want to discuss how soon you can start reducing shortage in your shops with Bill and his team. Don’t delay; try out the calculator now…What are you waiting for?
The Loss Prevention Calculator is important and we can help you with it. Call 1.770.426.0547 and let’s talk.
