Germany's Retailers Face Billions in Losses Due to Theft
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Germany’s Retailers Face Billions in Losses Due to Theft

Retail theft in Germany has surged to alarming levels, resulting in an estimated €3 billion in losses during 2024 – a 20% increase compared to 2022, according to Stefan Genth, CEO of the German Retail Federation (HDE).

Genth refuted suggestions that the rise in shoplifting is directly linked to the proliferation of self-scanning checkouts, stating that no such connection has been established. Instead, he pointed to the increasing prevalence of organized criminal gangs and a rise in aggressive individual offenders as the primary drivers of the problem.

“We are seeing highly professional criminal organizations systematically targeting city centers, stealing high-value goods such as perfumes, shoes and electronics and reselling them on the grey market” Genth explained. “Furthermore, we’re observing a concerning increase in aggressive lone offenders who resort to violence when confronted.

He also highlighted a severe deficiency in the prosecution of retail theft cases, observing that retailers are often discouraged from reporting incidents to the police due to a perceived lack of follow-through by prosecutors. “Merchants file charges and prosecutors subsequently drop the cases due to efficiency concerns. Consequently, many retailers are frustrated and no longer report thefts to the police”. This issue contributes to a substantial “dark figure” of unreported crime, with estimates suggesting that 98% of retail theft goes unrecorded.

Genth is advocating for legislative reforms, increased investment in security measures and improved resources for the judicial system. He expressed concern that the current trajectory could lead to a security environment similar to that seen in the United States, where retailers often place high-value items behind protective glass, fostering a climate of distrust towards customers – despite the vast majority of shoppers being honest. He urged the state to adopt a firmer approach and better equip law enforcement agencies to address the escalating problem.