Trends report reveals effectiveness of CCTV systems in retail sector

An array of insights into what value physical retailers’ existing video security systems yield are detailed in the 15-page Retail Sector Video Security Trends Report 2021.

The research has revealed that the biggest loss prevention gains to be had from use of video monitoring in stores are in shoplifting where 58% of retail sector security decision-makers have recorded “significant reductions” in losses from shoplifting as a result of video security, while 9% of them revealed that their video security systems had completely eliminated shoplifting. 

Over half (54%, in fact) confirmed that their video systems were significantly reducing theft or fraud perpetrated by staff and contractors. Exactly half reported that in-store CCTV systems are significantly reducing losses from slip and fall insurance claims and 13% confirmed that their video systems had eliminated losses from fraudulent slip and fall claims.

Nearly half (ie 46%) of those retailers who took part in the study have reported that major reductions in losses linked to vandalism of property had been achieved through the use of video monitoring and recording. One-in-six retailers (17%) believe that vandalism of their property had been completely eliminated through the use of CCTV. 41% recorded that ‘damage to goods by our staff’ had been reduced significantly through the use of video security.

Relevant video recordings

39% of retailers reported that it takes too long and proves too difficult to find relevant video sequences having uncovered a loss incident. The next most significant factor preventing further loss prevention in this study was the poor performance of surveillance cameras in low or no light conditions. This is preventing 34% of those retailers questioned from reducing shrinkage further.

Nearly a third (32%) of retailers claimed the fact that their video security systems did not offer early warning functionality (which can be provided by good quality audio analytics or video motion detection) is actively preventing them from reducing shrinkage further.

Over a quarter (26%) of retailers admitted that their video monitoring systems don’t work well for loss prevention because the cameras installed were originally put in for a different purpose such as the remote management of visual merchandising or footfall analysis.

‘COVID-Safe’ requirements

New ‘COVID-Safe’ requirements are seemingly accelerating the adoption of video analytics. The retail sector has been turning to video analytics to help reduce the risk of COVID-19 transmission as stores open up to more customers. A total of 87% retail sector decision-makers questioned by Ava Security see a clear role for their video monitoring systems in supporting the safe re-opening of their doors to staff and customers alike.

Nearly half of this group (48%) had already put their existing video monitoring systems to work to help reinforce social distancing measures. A further 39% anticipate doing so over the next 12 months. This means that the ‘net deployment’ of surveillance for this purpose stands at 88%.

Not far behind is the use of thermal camera-based analytics to help run temperature checks on visitors. 39% of retailers across the four countries in the Ava Security study had already deployed this capability, while a further 38% are predicted to do so in the next 12 months.

Despite some concerns about the accuracy of these solutions, only 22% of retail sector respondents had no plans to deploy temperature checking via on-site video cameras. The US has proven to be the main adopter of temperature checking in retail with deployment levels there almost three times higher than in the UK.

Video systems have been adapted to help monitor shopper density levels in high footfall areas within stores. 47% of retailers have already installed this analytics capability, while a further 38% plan to do so within the next 12 months.

Despite the controversy associated with the deployment of facial recognition systems, some 30% of retailers have already deployed facial recognition analytics at the entrances to staff-only areas to enable contactless access control, while a further 34% plan to do so across the next 12 months.

Appetite for IT cloud migration extends to VSaaS demand

For the 79% of all retail sector professionals who are actively considering VSaaS options at present, there are many issues determining provider selection.

For example, 91% of professionals who are considering VSaaS agreed with the statement: ‘It (the VSaaS provider selected) must allow us to continue using our existing third party cameras which we have already installed as we don’t want to rip out and replace any equipment’.

The desire to hold on to existing security cameras and other equipment through the migration to VSaaS is considered a very important matter in provider selection by 43% of retail respondents.

90% of retailers considering VSaaS have confirmed: ‘It (the VSaaS provider selected) must allow us to view its directly attached cloud cameras alongside our third party cameras on the same interface.’ The fact that these two factors are so important confirms that not wasting prior investment in on-premise security systems is key to VSaaS provider success.

Another important factor is the cyber security credentials of the selected VSaaS provider. 84% of respondents confirmed that their VSaaS provider ‘must have very strong cyber security, including end-to-end encryption from the camera to the cloud.’

Acceleration of video system improvements

Vegard Aas, head of online business at Ava Security, commented: “Our findings indicate that retailers, who have been enthusiastic adopters of video security to reduce well-known shrinkage sources and deliver increased operational efficiencies through remote monitoring, for example, are now upgrading these systems by adding new video analytics to reduce losses further and promote COVID-19 safety in their stores.”

He added: “We’re also seeing a strong interest from this sector for moving video security systems into the cloud. It makes sense because many retailers have multiple shops which their managers monitor remotely using the in-store cameras. Moving video recording and management into the cloud using a VSaaS system could help to ensure more efficient access and storage of key video sequences and cut capital expenditure as dedicated PCs running Video Management Systems locally should no longer be needed in each shop under a VSaaS scenario. There are significant savings to be had and efficiencies to be derived if cloud migrations are managed correctly.”

*Download the full Retail Sector Video Security Trends Report 2021