Denver Spray Paint Retailer
Loss Prevention Survey
On October 28, 1998, the Denver City Council's Personnel and Safety Committee began consideration of a proposed "lockup" of spray paint and wide tipped markers in retail stores as part of the City's anti-graffiti effort.
In the Committee's discussion of this issue, it became apparent that there had been no retailer input during proposal development. Further, while police department sources backing their Mayor's bill claimed anecdotal evidence of theft, no actual data had been collected on the existence or degree of retail theft of these products.
To help remedy that situation, the Colorado Retail Council and the National Council to Prevent Delinquency began a joint effort to assemble hard data on theft.
As spray paint was the focus of the Committee discussion and also the product for which mandatory "lockup" would require the largest and most expensive effort, the survey focused on spray paint retailers.
A retailer questionnaire was developed to ascertain, in part, the specific loss prevention method used for the spray paint display; the number of shoplifters detained in the past year; the number of those who were caught with spray paint; the estimated amount of spray paint theft per month; and the basis for that estimate.
From the Yellow Pages, the survey team identified 103 stores in the categories of paint, hardware, auto parts & supply, building materials, department, and arts & crafts - the primary or conventional retail outlets for the product. From November 5th to 9th, interviewers made calls to store owners or managers on that list.
Of the original 103, five reported that they do not sell spray paint; five indicated that their stores were outside the city limits; five declined to participate; two were wholesale only; eight did not have appropriate personnel available for interviews; and interviewers failed to complete calls to nine stores.
So, of the 91 stores on the list actually selling the product at retail, 69, or 75.8%, participated in the survey. All interviewees were assured of anonymity and the confidentiality of specific store information.
- Of the 60 stores reporting specific theft numbers, 93% report losses of 2 cans or less per month; 73% report no losses;
- Over half of all responses were based on computerized or other inventory controls;
- Responses from four stores indicated practices not meeting prudent display standards. Two of these stores report high theft numbers; and
- Of the 244 shoplifters reported detained in the past year, 12 (4.9%) were for spray paint theft, eight of those related to inhalant abuse.
Stores Reporting by Category: paint (18); hardware (14); auto parts & supplies (24); building materials (4); department (6); hobby & art supplies (3).
Reported spray paint theft in a single month (69 stores reporting)*
* Non-specific responses (7) were "hardly anything"; "very little" (2); "not much" (2); "none that I know of"; and "minimal". Two of the interviewees did not have the information.
Number of cans 0 1 or less 1-2 2-3 12 16-18 Number of stores 44 9 3 2 1 1 Basis for Reporting: computerized or other inventory controls (34); computerized inventory controls and anti-theft measures (2); anti-theft measures in place (15); nature of business - no young customers (8); other - experience, observation, sales floor saturation, etc. (7); no specific response (3).
Number of shoplifters detained in past year 244
Number of shoplifters caught with spray paint 12
Loss Prevention Methods in Use (by # of stores)
Spray paint displayed # In line of sight of occupied work station 50 Behind the counter 4 Under electronic or other surveillance 5 In locked cases or cages 7 Other 3
Paint Stores - In the paint store category, none of the 18 interviewees reported any spray paint theft. In response to the question, "How much spray paint is stolen from your store in a month?", all respondents stated "None". This is not unexpected, as paint stores cater primarily to contractors and commercial accounts. A young person in this environment is very noticeable.
Asked on what their answers were based, nine, one-half of the respondents, cited inventory control records. Six cited the contractor/commercial nature of the business and the fact that any non-contractor in the store draws attention, while the remaining three based their answers on their surveillance policies.
Stores in this category reported detaining a total of nine shoplifters over the past year, none with spray paint.
Sixteen of the reporting paint stores keep spray paint in line of sight of an occupied work station. Two keep it behind the counter.
Hardware Stores - In the second category, hardware stores, eight reported no spray paint theft. Four reported "one can or less" per month; one reported "slightly more than" one can per month and one reported "hardly anything".
These responses were based on inventory controls (7); display location and employee surveillance (4); electronic or other surveillance (1); and locked display case (1). One respondent did not have a specific answer.
For the past year, stores in this category reported detaining 54 shoplifters, none with spray paint.
Twelve of the reporting stores maintain spray paint in line of sight of an occupied work station. One keeps the product in a locked case and one uses electronic or other surveillance.
Auto Parts & Supplies - Of the 24 stores interviewed, 14 reported no spray paint theft. Four reported one can or less per month. One reported from one to two cans per month. One estimated theft at 12 cans per month. Three gave non-specific answers - "not much", "very little", and "minimal"; and one did not have the information.
Twelve stores attributed their answers to computerized inventory controls; five to product storage and locked cases; two to practical knowledge of shoplifting practices in their stores; one to the absence of young customers; one to a combination of surveillance and no young customers; one to computerized inventory and locked storage; one to computerized inventory and surveillance; and one had no information.
In the past year, six of these stores report detaining shoplifters, none of whom were caught with spray paint. It should be noted that five of the 24 stores have a policy of ejecting rather than detaining shoplifters.
Loss prevention methods used by these stores are product in line of sight of an occupied work station (14); in locked cases or cages (3); behind the counter or out of customer reach (4); displayed partially in the line of sight of an occupied work station (2).
Building Materials - Only three of the four managers interviewed were able to answer all of our questions. The fourth was new to the job and did not have much of the needed information.
Of the three fully reporting, one claimed no spray paint loss. Another estimated monthly spray paint loss at between two and three cans. The third estimated the loss at between 16 and 18 cans. All three responses were reported to be based on computerized inventory.
In the past year, these stores report having detained 12, 12 to 13, and 10 shoplifters, respectively. Of these, four were in possession of spray paint.
One of the stores maintains spray paint in line of sight of an occupied work station. Another displays it on an aisle not under surveillance; another keeps the product in a locked cage; and another keeps it under electronic or other surveillance.
Department Stores - Of the six stores interviewed in the "department store" category, four report no to less than one can per month spray paint theft. Of the remaining, one reported "less than a few cans" per month, and one did not have an estimate.
Three of the five specific responses were based on computerized inventory controls; two on day-to-day experience on the sales floor.
Of the stores reporting, the number of detained shoplifters varied widely, with stores reporting one, six, 40 and 50 respectively. Two stores did not have the information. Only one store reported catching shoplifters with spray paint (8), volunteering the information that the thefts were not graffiti related.
Four of these stores display spray paint in line of sight of an occupied work station. Two have the product under electronic or some other form of surveillance or control.
Hobby and Art Supply - Of the three stores interviewed in this category, no specific theft numbers were available, but interviewees reported stolen spray paint in such terms as "very little", and "not much".
These responses were based, in one store, on the fact that the sales floor is personnel saturated (30 people on duty at all times); in another, on knowledge of the shoplifting patterns and targets in that particular store. The third store had no specific rationale for the response beyond personal observation.
Each reported few shoplifters detained in the past year, two or less per store and none possessing spray paint.
The survey results give a clear picture of responsible retailers who, in the vast majority, practice effective loss prevention measures in the display of spray paint.
The two retailers experiencing serious shoplifting of spray paint represent a very small group whose current practices fall below prudent display standards for their specific circumstances and were contacted by the Colorado Retail Council and National Council to Prevent Delinquency regarding the problem.
For cities choosing to legislate retail display restrictions, the survey data offers abundant proof that effective loss prevention options exist as alternatives to depriving all customers of access to legitimate consumer products.
Those options are included in anti-graffiti ordinances that have been enacted by a number of cities over the past few years, including Albuquerque, Boston, Oklahoma City and Pueblo.
Further, while the survey shows very few instances of shoplifting among the primary retail outlets for spray paint, the goal of retailers and paint makers should still be zero theft and zero illegal purchase by vandals.
Toward that end, it is necessary to acknowledge and address secondary or "convenience" sellers of spray paint (grocery stores, drug stores, etc.) and ensure that they, also, meet a prudent standard of display, if they are to continue offering the product.
While election year Denver chose to blame retailers for the City's accumulated graffiti, the survey results strongly suggest that future policy makers validate claims of retail theft before acting on the issue. They further suggest that, for the majority of retailers, loss prevention techniques other than lockup are effectively blocking shoplifting.