New research from the Retail Industry Leaders Association (RILA) highlights a growing gap between reported retail theft incidents and the actual number of crimes occurring in stores. A study led by Professor Julie Hibdon of Southern Illinois University found that, while external theft in retail has risen significantly, the rate of incidents reported to law enforcement has dropped by nearly half since 2019.
This discrepancy is due in part to factors such as staffing shortages in both law enforcement and retail, evolving crime tactics, and burdensome reporting processes. Some retailers also fear straining relationships with police or facing penalties for excessive reporting. Additionally, policy changes and the use of case consolidation in organized retail crime investigations can further obscure the true scope of theft.
RILA’s findings reinforce what many retailers have long believed: retail theft is increasing, but official crime data fails to reflect it. The report calls for improved collaboration between retailers and law enforcement, consistent reporting guidelines, better online reporting tools, and greater support from technology providers. Accurate data is essential to informing public safety responses, resource allocation, and policy decisions that support safer retail environments.
