Retail fraud rises as shoplifting declines, NRF study finds

A new report from the National Retail Federation (NRF) found that while traditional shoplifting declined in 2025, retailers are facing growing challenges from fraud and increasingly sophisticated, organized retail crime. 

According to the 2026 Impact of Retail Theft & Violence report, shoplifting incidents decreased 12.4% compared with the previous year, while retail merchandise theft fell 8.1%. The report attributes much of the decline to retailers’ investments in security technology, enhanced surveillance, employee training, and improved analysis of loss patterns. 

At the same time, retailers reported increases in fraud and external theft schemes. Phone scams were identified as the fastest growing threat, with 69% of respondents reporting an increase. Loyalty fraud increased for 51% of respondents, while 42% reported more gift card theft or fraud. Other growing concerns include repeat offenders, organized retail crime incidents, and walkout or pushout thefts. 

The report also found that workplace safety remains a significant concern. Retailers cited continued increases in homelessness-related disruptions and guest-related incidents, leading many to expand management and employee training while investing in risk intelligence technologies. 

Despite ongoing criminal activity, many theft incidents are not reported to law enforcement. Nearly two-thirds of surveyed retailers said they report fewer than half of store theft incidents, citing low dollar losses that do not meet felony thresholds and concerns about limited law enforcement response. 

The findings come as NRF continues to advocate for passage of the Combating Organized Retail Crime Act, which would strengthen coordination among federal, state, and local law enforcement agencies to address organized retail crime. 

The survey was conducted between February and April 2026 and included 66 retail companies representing 143 brands and approximately one third of total U.S. retail sales. 

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