Retail Profit Protection Training – What is it?

 

Retail loss prevention is basically profit protection. There are several reasons for retail losses in a store. These include:

• Customer related Theft
• Employee Theft
• Employee Error
• Distribution Chain Theft

In the year 2009 alone, the retail industry incurred losses worth £ 4.0 billion. Of this customer related theft accounted for £ 1.76 billion; employee theft: £ 1.47 billion.

One of the major reasons for such huge losses is lack of effective prevention methods. In fact, the amount spent on retail prevention measures was just £ 771 million during the year 2009. Of this £ 435 million was spent on contract security while £ 223 million was on security equipment.

Even though retailers realize that shrinkage is a major problem, they fail to take any retail profit protection measures. One way of protecting profits is to make loss prevention a part of the standard operating procedures of your organization. This will ensure that every employee is aware of it and is able to implement it in the store.

However, it is not just retail theft or employee error that contributes to the loss of profit for a retail store. Quite often, store assistants also contribute to the losses of a retail store.

According to a consumer organization that conducted an investigation, retail staff working for some of the largest retailers in the United Kingdom lacked basic knowledge about the products that were being sold in the retail store. These employees also provided inaccurate information about the product functions. In fact, none of the leading retail brands received a good rating.

This is symptomatic of most retail stores across the country. One of the major reasons for such a situation is:

Retail Profit Protection Training

Retail Profit Protection Training – the most effective measure

Effective employee training is the biggest casualty of modern day retail business. Having multi stores or establishing new franchisee outlets alone is not sufficient. In a quest to expand quickly, most retailers are giving training a go by forgetting the fact that skilled and well trained employees contribute a lot in bringing back the customer to the store. In fact, for every customer that a store is able to retain, there are four who move away, owing to different reasons.

Retailers compound the problem by spending very less on their employees. In fact retailers spend less than £ 65 per year on an employee’s training needs. In this day and age, if the employees are not up to date with the latest developments or lack in product knowledge, it will reflect on your store’s bottom line. Retailers will do well to remember that it is the quality of the employees that determines the success or failure of a retail business.

Employee training benefits retailers in different ways, especially Retail profit protection training its:

• Empowers the employees to think innovatively
• Helps in increasing the store’s profitability
• Increased sales closures

Retail profit protection training is required due to frequent changes in policies, procedures, new product launches, new services, technology upgrades, new equipment, professional growth and performance improvement or due to any occupational safety measures. 

How does Retail Profit Protection Training help?

Well, Retail profit protection training will help in:

• The development of employee skills
• Improves performance levels
• Greater sense of satisfaction
• Increased employee productivity levels

Retail profit protection training makes sure that the employees are well trained so that they can develop the ability to take up any task that is given to them. It helps in increasing the confidence levels of the employee and at the same time inculcates a sense of belonging. Regular training sends out an assurance to the employees that they are a cherished and valuable part of the organization.

Finally, investing in training helps protect the profits of a retail store.