Sensormatic has introduced a new category-level shrink intelligence platform designed to help retailers identify and reduce inventory loss across product categories. The system leverages real-time data analytics to deliver granular insights, targeting a 25% reduction in shrink within six months of deployment.
- New category-level shrink intelligence platform launched by Sensormatic
- 22% average shrink reduction within first quarter of deployment
- Up to 31% shrink reduction in high-risk categories like electronics and cosmetics
- $14,200 shrink per $1M sales post-implementation (down from $18,900)
- Projected $2.3M annual savings for mid-sized retailer with $150M in sales
- Compatible with SAP, Oracle Retail, and other major ERP and POS systems
Sensormatic has launched a new category-level shrink intelligence solution aimed at transforming how retailers manage inventory loss. The platform integrates data from in-store sensors, point-of-sale systems, and supply chain logs to deliver real-time visibility into shrink patterns across product categories such as electronics, apparel, and perishables. Early adopters report a 22% average reduction in shrink within the first quarter of implementation, with some achieving up to 31% in high-risk categories like cosmetics and small electronics. The system analyzes transaction anomalies, dwell times, and employee access patterns to pinpoint high-risk items and locations. For example, in one major grocery chain, the solution identified that 18% of shrink in the dairy section was linked to improper temperature monitoring and delayed restocking. By addressing these issues, the retailer reduced dairy-related losses by 44% in two months. The platform also assigns risk scores to SKUs based on historical loss data, enabling proactive inventory adjustments and staff training. Retailers using the platform have seen direct financial benefits: on average, every $1 million in sales is now associated with $14,200 in shrink, down from $18,900 pre-implementation. This improvement translates to a projected $2.3 million in annual savings for a mid-sized retailer with $150 million in annual sales. The tool is compatible with existing loss prevention systems and supports integration with major ERP and POS providers including SAP and Oracle Retail. The rollout has been particularly impactful in multichannel retailers managing complex supply chains. One national apparel retailer reported a 33% drop in shrink across its online-to-store fulfillment centers after deploying the solution, attributing the gain to better tracking of inbound and outbound inventory. With shrink costs estimated at $100 billion annually across the U.S. retail sector, the platform represents a scalable response to one of the industry’s most persistent challenges.