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Perhaps no other single issue stands out in a small store owner's mind more than business alarm systems. Without some loss-prevention measures in place, a small retail establishment can lose a tremendous amount of profit through 'shrinkage'. Larger stores can afford to employ security systems as elaborate as store detectives and 'eye in the sky' camera systems, but the initial costs of these systems can be very prohibitive for a smaller establishment. Oftentimes, these security measures prove to be unworkable in the more intimate environment of a smaller store. Customers may soon recognize an undercover detective, rendering their effectiveness moot. Camera systems must be monitored in order to be useful, which may be an expense the owner cannot bear.

So what security measures can a smaller business take that will be effective against loss without breaking a limited budget? Here are some ideas on how to prevent theft and loss in a smaller retail store.

1. Mirrors. Purchase a few mirrors and hang them in strategic spots, such as blind alleys and corners. The most effective kind of mirror to have is a curved security mirror that will reflect activity from all directions. Just the presence of a surveillance item may be enough to let potential shoplifters know that they are being observed. Take a moment to examine your store's layout, and place your mirrors in those spots that cannot be seen clearly from your usual vantage point (office, cash register, etc...)

2. Make an effort to greet each customer as they enter. You should have some sort of device that signals the entrance and exit of customers, such as a bell or electronic signal on the door. Even if you are assisting a customer, acknowledge every face that enters your business. A simple 'hello' will suffice, or 'I'll be right with you' or some variation on that theme. By recognizing each customer, you are subliminally enforcing the idea that you are aware of their presence and may be watching them. Potential shoplifters prefer to remain as anonymous as possible, because they stand a better chance of getting away with the theft if a clerk is distracted. If you have other employees in the store, instruct them to approach each and every customer at least once, even if the customer insists that he or she does not need assistance. Some legitimate customers may feel offended by this intrusion, but shoplifters may reconsider after being approached.

3. Create alliances with other owners. If your establishment is near other shops, make an effort to establish friendships with those owners. If you need to leave your own store for an emergency or for lunch, perhaps another store owner can mind your store for you. Other store operators may act as undercover security, making regular trips to each other's establishments to check for suspicious customers. You may also want to establish codewords to indicate a potentially serious situation. For example, if you observe some potential troublemakers entering your store, you may call the other owners and say 'Mr. Breakstone just called. You may want to call him back.' To the customers in your store, this may sound like an innocent phone call, but the other owners may know that 'Mr. Breakstone' is your codeword for potential trouble, and 'call him back' may stand for 'call the police for back-up.'. You may create your own codes, but be sure that everyone in the alliance understands them and knows precisely what to do when the code is sent out.

4. Keep smaller display items close to the cash register. Shoplifters love to pick up items that are easily removed and small enough to hide. If you have a freestanding display case filled with small items such as jewelry or electronic gadgets, keep the entire structure in plain sight.

If you cannot keep your display in view, assign an employee to keep an eye on it by constantly refilling open spaces or performing an inventory count nearby. Again, you'll want to establish a presence even if you cannot be everywhere you need to be.

5. Be friendly to regular customers, but don't overdo it. Small business owners with little foot traffic sometimes fill the void with conversations and other distractions. This is human nature, and usually does not present an immediate threat to the security of your business.

Regular customers can be great companions when sales are low, and can also function as extra eyes and ears for an overworked owner. But you should try to minimize distractions during peak sales periods, which means you may have to cut conversations short at times. Regulars should understand that you may have to focus your attention elsewhere at times, and respect your rights as an owner. If you are on the phone, position yourself so that you can still view the store and greet customers. Shoplifters and dishonest employees may wait until you are fully engaged in a conversation before making their moves. Surprise them with your observation and attention to business.

Source: http://www.essortment.com/all/securityalarms_rwhu.htm