Retail Loss Prevention: Choosing the Right Partners & Security Cameras in Shops

The Evolving Retail Security Challenge

In today’s retail landscape, loss prevention demands urgent innovation. According to a 2024 National Retail Federation study, shoplifting incidents surged 93% in 2023 compared to five years prior, with 91% of retailers reporting increased violence from shoplifters. As shrinkage reaches record levels, traditional security approaches no longer suffice. Forward-thinking retailers are now turning to innovative technology partners who can provide agile, adaptive solutions that do more than simply record incidents—they prevent them, enhancing employee safety and addressing employee theft. The financial impact of shoplifting incidents on retailers is significant, but implementing security camera systems can help reduce these incidents and enhance overall store security.

The Changing Landscape of Retail Security Systems

Modern retailers face sophisticated challenges:

• Organized retail crime has evolved from opportunistic theft to coordinated operations
• Internal theft continues driving significant losses, including theft by employees
• Stores must balance robust security with positive customer experiences to ensure employee safety

Traditional security approaches fail with:

• Fixed on-premise systems creating maintenance headaches
• Passive monitoring missing critical incidents
• Inflexible infrastructure unable to adapt to evolving threats

Forward-thinking retailers are turning to cloud-based security camera systems with AI analytics that prevent incidents rather than merely recording them, providing actionable insights to enhance customer experiences and optimize operational efficiency. These systems feature capabilities like remote monitoring, advanced behavior detection and intelligent search, reducing the time operators spend scanning through lengthy footage to identify incidents.

5 Ways Cloud-Based Security Cameras and AI Analytics Drive Retail Success

1. Predictive Loss Prevention Through Advanced Intelligence

Traditional Approach: Passive recording of incidents after they occur. Cloud Advantage: AI-powered cameras identify potential theft before losses occur:

• Pre-theft behavior detection near high-value merchandise to prevent theft
• Facial recognition alerts for known shoplifters
• Exception-based reporting for unusual POS transactions

2. Enterprise Agility Through Cloud Architecture

Traditional Approach: On-premise DVRs/NVRs create maintenance burdens and security gaps. Cloud Advantage: Cloud architecture delivers unprecedented agility and resilience:

• Instant deployment across multiple locations
• Automatic security updates
• Scalability that grows with your business
• Remote monitoring and response capabilities, including the management of IP cameras for enhanced accessibility and control

3. Operational Intelligence Beyond Loss Prevention

Traditional Approach: Security systems serve only one purpose—security—missing opportunities to deliver broader business value. Cloud Advantage: Advanced analytics transform security cameras into business intelligence tools:

• Queue analytics improves staffing efficiency and helps improve service delivery
• Merchandising effectiveness measurement for optimized inventory
• People counting provides accurate foot traffic insights to optimize service

4. Adaptive Security Through Continuous Learning

Traditional Approach: Static systems quickly become outdated as criminal tactics evolve. Cloud Advantage: AI systems continuously learn and adapt:

• Machine learning algorithms enhance detection accuracy over time
• Pattern recognition (shoe, facial, license plate) to combat repeat offenders
• Customizable alert thresholds for store-specific conditions
• After-hours monitoring and AI analytics for capturing unusual activity

5. Enterprise Integration for Unified Risk Management

Traditional Approach: Siloed security systems create information gaps. Cloud Advantage: Open API architecture enables seamless integration with broader technology ecosystem:

• POS integration combines transactions with video evidence
• ERP connections link inventory discrepancies with security events
• Access control integration provides comprehensive oversight
• Business intelligence dashboards for executive-level insights

Implementing an Effective Retail Security System

Implementing a retail security system requires careful planning and consideration of several factors, including the size and layout of the store, the type of products being sold, and the level of security required. Security cameras should be placed strategically to provide complete coverage of the store, including parking lots, entrances and exits, and the sales floor. This strategic placement ensures that all critical areas are monitored, reducing blind spots and enhancing the overall security of the store.

Additionally, retail security systems should be integrated with other security measures, such as access control and alarm systems, to provide a comprehensive security solution. Integrating these systems allows for a more cohesive approach to security, where different components work together to provide a higher level of protection. For example, access control systems can restrict entry to sensitive areas, while alarm systems can alert security teams to any unauthorized access or suspicious activity.

When selecting security cameras and equipment, it is important to consider the specific needs of the store. Factors such as the store’s layout, the type of products being sold, and the level of foot traffic can influence the type of security cameras required. For instance, a high-end retail store may require high-definition cameras with advanced features like facial recognition and video analytics, while a smaller store may benefit from more basic security cameras with motion detection and night vision capabilities. A fisheye or multi-sensor security camera can be particularly useful in retail environments, providing 360° comprehensive visibility throughout the store and enhancing security and operational efficiency by integrating with analytics tools for monitoring customer behavior and transactions. High quality video is essential for delivering clear footage both day and night, which is crucial for business safety and operational efficiency.

Strategic camera selection and placement is crucial for complete coverage of your retail space:

• Monitor entrances/exits, high-value merchandise areas, and POS stations
• Integrate with access control and alarm systems for comprehensive protection
• Choose camera types based on specific store needs (dome cameras for discreet monitoring, fisheye and multi-sensor cameras for wide-angle coverage, bullet cameras for parking lot and entry protection)

Selecting the Right Security Partner: A Strategic Imperative

As the retail landscape continues to evolve, the selection of technology partners becomes increasingly strategic. Choosing a company with a long-standing presence in the industry and a comprehensive range of services is essential. A reliable and experienced provider can offer effective security solutions, positioning themselves as trusted partners for businesses seeking robust security systems.

When evaluating potential security and loss prevention vendors, forward-thinking retailers should consider these critical factors:

Innovation Commitment 

Look for partners that demonstrate a clear roadmap for continued innovation. Review their release history to ensure they consistently deliver new capabilities that address emerging challenges. The key benefits of partnering with such innovative security solution providers include enhanced security through remote access, cloud-based systems, and additional value like monitoring customer behavior and optimizing sales strategies. These solutions provide actionable insights that can enhance customer experiences and drive strategic decisions to improve overall shopping experiences and operational efficiency.

Adaptability 

The best partners offer solutions that can adapt to your changing business needs by integrating seamlessly into your existing system. Cloud-based platforms with modular architecture allow you to scale and reconfigure as your requirements evolve.

Integration Capabilities 

Modern retail environments require connected systems. Prioritize vendors that provide robust APIs and pre-built integrations with common retail platforms to ensure your security system works harmoniously with your broader technology ecosystem.

Intelligence Depth 

Basic video recording is no longer sufficient. Look for partners whose solutions incorporate advanced analytics that transform raw video into actionable insights and intelligence. For the best outcomes, prioritize vendors that provide AI safeguards specific to common retail threats including shoplifting, employee theft, and tag switching.

Support Excellence 

Technology is only as good as the support team behind it. The best partners offer comprehensive implementation services, ongoing training, and responsive technical support. Look for vendors with top rankings on 3rd party review sites like G2.com for added confidence.

The Rhombus + Panoptyc Advantage

At Rhombus, we’re proud to stand at the forefront of retail security innovation, combining cloud-based infrastructure with AI-powered analytics to transform asset protection. With an integrated suite of smart cameras, sensors, access control, alarm monitoring and AI-powered analytics, Rhombus makes it easy for teams to secure and manage any physical environment from a single console. Trusted by retailers nationwide, our approach has earned us a 90% recommendation rating among our users*.

But our commitment to customer experience goes beyond offering industry-leading products—we provide strategic partnerships and integrations that help retailers stay ahead of emerging threats while gaining valuable business insights. As shown by our 100% open API and collaborative approach, we believe that retailers are best served by the top minds in security working together.

One such example is our long-standing history working alongside fellow industry leader, Panoptyc, an AI asset protection pioneer helping over 20,000 stores reduce cashier theft by 60%. Together, Rhombus and Panoptyc have nearly 30,000 Rhombus devices deployed across shops of all sizes, helping Fortune 500 retailers and mom-and-pop mini-marts alike protect their businesses.

“Where Rhombus really shines is its service. Rhombus doesn’t just meet expectations, they shatter them, responding with industry leading speed and a willingness to try new tactics to move the industry forward,” shares Yehuda Zahler, Growth & Partnerships Lead at Panoptyc. “Beyond that, they deliver everything you want: top-quality cameras that capture every detail and a Rhombus Console so intuitive anyone can master it”.

“In today’s competitive retail environment, the right technology partnerships create significant competitive advantages”, notes Rhombus Account Manager, Brian Lee. “We like partnering with Panoptyc because they exemplify the forward-thinking retailers need. Their teams don’t just maintain the status quo—they anticipate future challenges and adapt proactively. This is crucial when criminal tactics constantly evolve.”

By choosing vendors that have demonstrated a history of innovation, interoperability and adaptation, retailers can not only transform their approach to asset protection, but future proof their security infrastructure. The result? A more secure, efficient, and profitable retail operation prepared to face tomorrow’s challenges.

*“Customer Satisfaction Survey of Rhombus Users," User Evidence, April 2025