January 30, 2026 • Commercial Installation • Multiple Locations • Commercial

Retail Chain Loss Prevention System

Maria Gonzalez
Maria Gonzalez
Project Manager
Retail Chain Loss Prevention System

In this case study

Project Overview

A regional home improvement retail chain with 12 locations was losing approximately $420,000 annually to inventory shrinkage. Their existing analogue CCTV system was ineffective, with cameras positioned poorly and footage quality too low for identification. Management approved a complete overhaul.

Our proposal centred on AI-powered analytics with real-time person detection, covering all high-value display areas, checkouts, stockrooms, and entry points across every location.

Key Challenges

Each of the 12 locations had different floor plans, ceiling heights, and lighting conditions, requiring individualised camera plans. The rollout had to be staggered to avoid disrupting operations, with each store's installation completed within a single overnight shift.

Training the AI detection system to distinguish between customers and staff required a two-week learning period at each location. Staff were concerned about privacy, requiring multiple town hall meetings to explain the system's capabilities and limitations.

Products Used

Each store received a mix of Lorex 4K bullet cameras for entry points and stockrooms, and compact dome cameras for sales floor aisles and checkout counters. A total of 360 cameras were deployed across all locations, all powered by centralised PoE switches.

The AI analytics platform processed all 360 streams in real-time, alerting store managers via mobile app when loitering was detected in high-value areas. All footage was stored centrally at each location with 30-day retention.

Final Outcome

Shrinkage dropped by 55% across all locations within three months. The system alerted staff to 47 shoplifting incidents in the first month alone, with 38 resulting in successful interventions. Two locations saw shrinkage drop by over 70% as word spread among repeat offenders.

The ROI was achieved in just eight months. Insurance premiums were reduced by 12% across the chain. Employee morale improved as staff felt safer, and the system's footage has been used to resolve several customer dispute cases favourably.

Products Used

The following products were selected and installed for this project based on their reliability, performance, and suitability for the specific requirements of the site.

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