A European grocery store chain announced that losses from shoplifting exceeded its profits in 2023, according to reports.
“We often see people not scanning their products or not paying at the register. People are becoming more and more sophisticated about not paying for products. Getting products without paying When I see how creative people are, I sometimes collapse from shock,” Ton van Veen, CEO of grocery chain Jumbo, told Netherlands-based news agency ANP. .
Jumbo is a grocery chain with over 700 stores in both Belgium and the Netherlands. The company detailed in its earnings call that the value of merchandise stolen from its stores was 25% higher than the profits it earned last year, the NL Times reported.
The chain said shoplifting typically leads to losses of 100 million euros ($110 million) each year, more than its expected annual after-tax profit of about 80 million euros ($88 million) in 2023.
According to the NL Times, the company said, “In many stores, losses due to stolen merchandise are now around 1% of sales, and store employees are facing uncomfortable conditions and heightened tensions.” Ta.
Jumbo officials said there would be an estimated 60% increase in shoplifting incidents in 2023 compared to 2022, with the cost of living fueling theft and crime, the Financial Times reported. The grocery store chain added that self-checkout registers are also contributing to the increase in shoplifting, accounting for one-third of thefts.
“This is a growing problem and we are appealing to politicians to address it,” Van Veen said, according to the NL Times.
“It really depends on the neighborhood as well. There are market areas where we're more troubled by this issue, and there are other areas where it's less prevalent,” he continued.
To combat crime trends, supermarket bosses said the company is placing security guards at the doors of a “growing number” of its grocery stores and will focus on adding camera surveillance at each location. .
“We communicate with our customers and make them aware that they are being recorded. We respect all privacy regulations. As soon as we take concrete steps, we will We will provide further information on this,” Van Veen said.
Similar to some U.S. cities, regions in Europe have also reported an increase in retail theft in recent years.
The Brussels Times reported that a study published late last year found that four in 10 people in Belgium leave a grocery store without buying at least one item.
In the Netherlands, a study found that shoplifting incidents increased by at least 15% in 2023 compared to the previous year.
Fox News Digital reached out to Jumbo's news team Thursday for additional comment.
