How do retailers make up for losses due to shoplifting?
Shoplifting Shoplifting (also known in slang as boosting and five-finger discount) is a popular term used for the unnoticed theft of goods from an open retail establishment. Shoplifting typically involves a person concealing a store item on their person, in pockets or under clothes (or in a bag, baby stroller, etc.) and leaving the store without paying for it. With clothing, shoplifters may put on items from the store and leave the store wearing the clothes. The terms "shoplifting" and "shoplifter" are not usually defined in law. The crime of shoplifting generally falls under the legal classification of larceny. Shoplifting is distinct from burglary (theft by breaking into a closed store), robbery (stealing by threatening or engaging in violent behavior) or armed robbery (stealing by using a weapon). In the retail industry, the word shrinkage or shrink can be used to refer to merchandise lost by shoplifting, but the word also includes loss by other means, such as waste and theft by store employees.
Credit card fraud Credit card fraud is a wide-ranging term for theft and fraud committed using or involving a payment card, such as a credit card or debit card, as a fraudulent source of funds in a transaction. The purpose may be to obtain goods without paying, or to obtain unauthorized funds from an account. Credit card fraud is also an adjunct to identity theft. According to the United States Federal Trade Commission, while the rate of identity theft had been holding steady during the mid 2000s, it increased by 21 percent in 2008. However, credit card fraud, that crime which most people associate with ID theft, decreased as a percentage of all ID theft complaints for the sixth year in a row.