LP13_80x80Not long ago, retail loss prevention was focused on catching shoplifters. But over the course of the last couple decades, the profession has evolved along with the entire industry. Effectively countering cyber crime, organized retail crime, workplace violence and other increasingly complex threats means loss prevention executives are more than a physical presence in a store – they’re earning a voice in strategic business decisions and working cross-functionally in sophisticated ways.

In advance of our Loss Prevention Conference next month, we’ve been exploring how many of today’s seasoned LP executives have played an integral part in this evolution throughout the course of their careers. To wrap up our series, we spoke with LP Advisory Council Chairman and Vitamin Shoppe Vice President of Loss Prevention Gary Johnson about his personal career journey.

Read on to find out how his first employers gave him a leg up in the business, how rewarding it is to help others and why retail business savvy is critical to success in LP.

Gary Johnson, Vice President of Loss Prevention for Vitamin Shoppe Industries

Gary Johnson, Vice President of Loss Prevention for Vitamin Shoppe Industries

When were you first exposed to the loss prevention profession? What made you decide to pursue a career in loss prevention/asset protection?

I first heard about loss prevention while studying law enforcement at Western Illinois University. I decided to do my internship with a retailer named Osco Drug because the thought of catching shoplifters sounded fun — and it was one of the paid internships! After that, I became quite interested in it as a career. I always had an interest in business and law enforcement, and it paid more than a patrolman with the Chicago Police Department, so it was the best of both worlds.

How has your unique personal background helped you succeed in your LP career?

When I began in LP, my early mentors were really retail operators first and loss prevention professionals second. They taught me how to sell prevention concepts, how to show the dollars and cents of a particular initiative, and the importance of influencing people to want to play a role in reducing shrink. Certainly, I had to build experience and confidence with the core competences of loss prevention techniques, but looking back it was more important to gain proficiency with retail concepts and “soft” leadership skills.

Tell us about a particular moment, challenge or success that made you certain this was the right profession for you.

Wow, there have been many. It’s very rewarding to help people, whether it’s developing a program that keeps people safe at work, helping advance someone’s career, or catching a criminal that has hurt others. For example, I still recall working at Pier 1 Imports and how gratifying it was to solve a case involving a string of robberies, one of which involved a sexual assault of an associate. Working the data from my office in Fort Worth, I was able to connect numerous dots and link the right law enforcement agencies. Back in the day, this sharing of data didn’t frequently happen between private sector and law enforcement. I’ll never forget the associate’s reaction when I informed her that the guy who assaulted her had been caught.

The role of LP is continuing to expand and grow. When it comes to hiring and promoting team members, what kind of talent and skill sets are you looking for to be successful now and in the future?

Yes, the role of LP continues to evolve — and that’s a great thing! The C-suite has recognized the value that a professionally led loss prevention program means for the business. LP impacts not only shortage reduction and shrink but also IT security, data security, product safety, workplace violence programs, brand reputation, social media and so many more parts of the business. When looking for talent, it’s critical to find LP people who have solid core competences, but just as important is retail business savvy. Understanding how all facets of the business work, the ability to identify gaps, and, of course, build remediation plans. Leadership skills are essential. Being able to coach, train, and be a catalyst of change is vital because today’s LP professional must be able to influence and motivate cross-functional teams at all levels.

 

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WLC13_Social Graphics-Blog_80x80_1With trade associations forced by logistics to plan Washington “fly-ins” months ahead of time, all too often their members arrive pumped up to lobby on the big bill of the year only to find Congress has already passed it – or delayed it until next year.

But that wasn’t the case with NRF’s annual Washington Leadership Conference this week.

Retailers from across the country arrived Monday evening just in time to watch the Senate overwhelmingly pass the Marketplace Fairness Act – landmark sales tax fairness legislation NRF has had at the top of its priority list for more than a decade. And they were able to spend the next two days walking the halls of Congress to urge members of the House to follow the Senate’s example in voting to require online sellers to collect sales tax the same as local stores.

Rather than just another conference, WLC quickly turned into a combined victory celebration, pep rally and annual reunion of familiar faces in the long-fought battle to level the playing field between online and brick-and-mortar retailers.

Senator Michael Enzi, R-Wyo., sponsor of the Senate legislation, joined the party, as did Representative Steven Womack, R-Ark., sponsor of the House version. Both thanked retailers for their support, urged them to keep the momentum going, and emphasized that personal examples of how untaxed online sales are harming local stores and jobs will be the best ammunition to overcome objections expected in the House.

But as important as the sales tax victory was, it wasn’t the only part of the conference to get excited about.

Hundreds of retailers ranging from Main Street store owners to CEOs of some of the nation’s best-known brands turned out this year. Thirty-one states from across the country were represented, with Vermont sending the most retailers (five people from four businesses) and Washington State getting credit for the longest distance traveled (2,400 miles).

Retailers heard Cokie Roberts, veteran analyst for ABC television and National Public Radio, offer an overview of the polarized political scene in Washington, got lobbying tips from former Senator Blanche Lincoln, D-Ark., and former Representative Billy Tauzin, R-La., and participated in more than 80 meetings with lawmakers and staff in both the House and Senate. Committee meetings ranged from the NRF Board of Directors to sessions on loss prevention, retail technology standards and restaurant food supply chains.

NRF is already planning the 2014 Washington Leadership Conference. While it’s too early to say what next year’s “big bill” will be, we certainly hope any retailers who show up expecting to lobby on sales tax fairness will find out they’re too late – if this spring’s momentum can be maintained, the Marketplace Fairness Act could be a law that’s already on the books by then.

To see WLC 2013 in photos, watch NRF’s Flickr slideshow below.

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WLC13_Social Graphics-Blog_80x80_1You could hear the anger rising in the voice of Representative Steve Womack as he stood before a Washington hotel ballroom jammed with retailers this week. He was explaining how customers in an electronics store back home routinely use smartphones to check online prices of merchandise, then click “buy it now” in plain sight of the store’s owner. Even though the store has a policy of matching online prices, it cannot by law waive Arkansas’ 6 percent sales tax, and sales are lost to tax-free online competitors not once in a while but several times each day.

“How could somebody walk into a business and order online right in front of them? That’s a slap in the face!” Womack said. “They ought to have the decency to at least walk outside.”

The Arkansas Republican spoke late Tuesday afternoon at NRF’s annual Washington Leadership Conference, less than 24 hours after the Senate overwhelmingly passed the Marketplace Fairness
Act
, legislation that would allow states to require online sellers to collect sales tax the same as local stores.

Womack is the lead sponsor of an identical bill in the House, where the battle will now shift. And he urged retailers to use personal stories like his example of “showrooming” to keep the momentum building and convince House members it’s time to level the playing field between online and brick-and-mortar retailers.

“They have marched this ball down the field in an extraordinary way,” Womack said of Senate sponsors of the legislation. “If we’re not successful at marching this through the House, we’d might as well put up a billboard and say ‘shop on the Internet because it’s tax free and always will be tax free.’ ”

Sales tax fairness is expected to face a tougher fight in the House, where Speaker John Boehner, R-Ohio, told Bloomberg Television Tuesday night he will “probably not” support the measure because “you’re putting a big burden on some very small businesses.” (Despite those concerns, online sellers with less than $1 million in out-of-state sales each year would be exempt, and collection would be handled by software paid for by the states.)

Unlike the Senate, which skipped the committee process in considering the bill, the House plans to send the bill to the Judiciary Committee for hearings, debate and a vote rather than going directly to the floor.

Womack was undaunted by the potential obstacles, saying he welcomes the full committee process so no one can claim that the bill was rushed through.

First elected to the House in 2011, Womack is an admitted newcomer to the congressional debate over sales tax, which has been waged by Senate advocates like Mike Enzi, R-Wyo., and Richard Durbin, D-Ill., for more than a decade. But that doesn’t mean that he’s new to the issue – as mayor of Rogers, Ark., he presided over development of a $250 million shopping center that opened in 2006 and brought new retail stores to the city of 55,000. Even then, “I knew if we didn’t come up with a solution for (sales tax fairness) what would be done to our retailers.” Having fought the sales tax fight in Congress, “I’m even more motivated now.”

Newcomer or not, Womack is pursuing his goal with the fervor of a true believer: “I believe in my heart that this bill is going to pass,” he promised. “If not, we as Congress will have presided over the destruction of retail as we know it.”

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WLC13_Social Graphics-Blog_80x80_1It has been said that “patience, persistence and perspiration make an unbeatable combination for success.” Leveling the playing field where online retailers are obligated to collect sales tax, just like their brick-and-mortar counterparts, is a fine example of that.

After more than a decade of patience, persistence and a good dose of perspiration, the United States Senate approved the Marketplace Fairness Act by a bipartisan vote of 69 – 27, sending a powerful statement that lawmakers understand the need to level the playing field for sales tax collection. The vote happened to overlap with NRF’s Washington Leadership Conference, as we welcomed hundreds of retail executives to our nation’s capital for retail’s yearly fly-in.

Sales tax fairness is only one of a handful that top NRF’s policy agenda, each of importance to the future growth of the retail industry. From sales tax fairness and corporate tax reform to economic policies that drive capital investment and the fiscal certainty needed to help spur job creation, NRF is committed to working with lawmakers and opinion leaders in shaping a policy agenda that will help retailers recognize the success they are working daily to achieve.

Through the “This is Retail: Careers, Community and Innovation” campaign, our retailers are telling compelling stories on Capitol Hill and beyond that are helping to shift the perception about the role retail plays in every community across the country. And as the largest private employer of any industry sector, we cannot be ignored and our voices will be heard.

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In the final hours before the Senate’s historic Monday night vote to approve sales tax fairness legislation, NRF executives took to the airwaves to argue that “a sale is a sale” when it comes to requiring online sellers to collect sales tax the same as local stores.

NRF Senior Vice Presidents David French and Ellen Davis, and Vice President Rachelle Bernstein appeared on CNBC, CNN, and MSNBC, respectively, to explain the need to level the playing field between online and brick-and-mortar retailers. Watch each video below.

After the 69-27 vote to approve the Marketplace Fairness Act, NRF President and CEO Matthew Shay praised senators for “standing with local retailers and America’s small business owners in a strong, bi-partisan vote … despite a highly-funded misinformation campaign by the legislation’s opposition.”

“Today’s action in the Senate is a significant step for sales tax fairness and we look forward to a robust debate in the U.S. House of Representatives,” Shay said.

 

 

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In the past decade, the price of television sets sold in the United States has dropped 87 percent. Computers have gone down 75 percent, toys 43 percent and dishes and flatware by a third.

Why? The answer is easy – imports.

That might not come as a big surprise to most. NRF has argued for years that imported merchandise lets retailers provide American families with the high-quality products they demand at the prices they can afford.

What might be surprising, however, is that imports also help create U.S. jobs. A total of 16 million American jobs – including 1.8 million in retail alone – are tied to imports. That amounts to 9 percent of U.S. employment.

Those statistics and more come from “Imports Work for America,” a new study conducted for NRF, the U.S. Chamber of Commerce, the Consumer Electronics Association and the American Apparel and Footwear Association. Written by economists Laura Baughman and Joseph Francois of the Trade Partnership Worldwide, the study is being released as part of “Imports Work Week” to help draw attention to the important role imports play in the United States and global economy.

Among other things, the study shows that imports aren’t just about retailers and consumers. U.S. manufactures rely on imported inputs to production and raw materials to make many of the goods they export around the world. And on the flip side, many imported finished products include Made-in-the-USA components.

And while importers are often portrayed as big businesses, it turns out that more than half of U.S. importers are small businesses.

This study is an important read for anyone interested in the retail supply chain and international trade.  It provides an important view as to why imports are not as bad as some make them out to be. Imports help drive the U.S. economy and employment just as much as exports, and often times help to drive U.S. exports to overseas markets.

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WLC13_Social Graphics-Blog_80x80_1It’s been a long road for sales tax fairness. The Marketplace Fairness Act is the culmination of more than 10 years of lobbying, testifying before Congress, and collaboration with local retailers to explain the advantage online retailers who don’t have to collect sales tax have over brick-and-mortar merchants who do. Over the years, lawmakers have taken “test” votes and voted on “sense of Congress” resolutions and debated amendments that tried to attach sales tax fairness to other pieces of legislation. But the vote on the Marketplace Fairness Act scheduled for tonight in the Senate is the first time a full-fledged sales tax fairness bill has come up for a binding vote on passage in either chamber of Congress. Win or lose tonight – and I’m pretty confident we’re going to win – this is a high point for a debate that has gone on a long time.MarketPlaceFairness

After all these years, consensus seems to have finally been reached – at least in the Senate – on the need to level the playing field between online and local retailers. A series of procedural votes leading up to tonight’s action have all passed by overwhelming margins. State retail associations have been very vocal in calling on senators for passage, cutting through misguided claims from opponents that the legislation would create a new tax. Stories from Main Street have helped explain to lawmakers the impact that untaxed Internet sales are having on local stores, jobs and the economy.

In a very fortuitous bit of timing, the vote comes as hundreds of retailers from across the country are arriving in town for NRF’s annual Washington Leadership Conference. Sales tax fairness is one of the top issues for the conference, and being in Washington for the vote will help boost retailers’ resolve to see this measure become law. Senate passage, of course, is only half the battle. If the bill passes tonight, the battle then heads to the House, where weeks or months of debate remain ahead.

Despite all the well-known brand names that dominate most people’s image of retail, the truth is that retail is an industry of small businesses – 96 percent of retailers own and operate a single store. Yet retailers are the most innovative, job-creating, community-oriented industry our nation has. Local retailers are willing to compete on price, service, quality and any other measurement their customers demand. But that’s not easy when they are handicapped by government policy that gives online, out-of-state competitors an unfair price advantage. It’s time to give brick-and-mortar retailers the one thing all businesses deserve – a level playing field.

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WLC13_Social Graphics-Blog_80x80_1The Senate is set to take a final vote next week on one of the biggest high-tech public policy questions of our times – whether Internet retailers should be required to collect sales tax the same as local stores. But retail trade associations from across the country are using one of the most low-tech traditions in our country’s history as they demand that lawmakers finally level the playing field – the op-ed pages of their local newspapers.

“Local businesses fight an uphill battle against online sellers who unfairly receive an automatic pricing advantage because of the Internet sales tax loophole,” Utah Retail Merchants Association President David Davis wrote in an op-ed published in the Salt Lake Tribune. “Sales lost to online businesses mean less money to hire workers, expand product offerings or upgrade services and facilities. All of those things hurt not only local businesses but also consumers and communities.”

“Main Street brick-and-mortar retail businesses in Wyoming, whose stores employ thousands of Wyoming residents, have endured a competitive disadvantage to online retailers for many years,” Wyoming Retail Association Executive Director Chris Brown said in the Casper Star-Tribune. “The Senate’s support for e-fairness represents a significant step in the right direction.”

“Folks, this is not a new tax,” North Carolina Retail Merchants Association President Andy Ellen wrote in an opinion piece published in Raleigh. “This legislation is simply bringing tax laws into the 21st Century.”

Those and other op-eds and letters to the editor have begun popping up almost daily in the past week as the Senate prepares to vote Monday on the Marketplace Fairness Act. The legislation would allow states to require all online sellers to collect sales tax the same as local stores, effectively overturning a 1992 U.S. Supreme Court ruling that online sellers only have to collect in states where they have a physical presence such as a store, office or warehouse. The vote will come as retailers arrive for NRF’s annual Washington Leadership Conference.

The articles have explained issues such as showrooming, where shoppers come to local stores to browse but go online to buy in order to save sales tax, talked about tax revenue lost to state and local governments, and emphasized how many Main Street retailers are struggling to keep their doors open in face of the competition. All the writers call on their members of the Senate to approve the legislation.

In the Idaho Business Review, Idaho Retailers Association President Pam Eaton said her organization “fully supports online shopping” but that the lack of sales tax amounts to “a massive, government-mandated pricing advantage.”

The banter has been plentiful on both sides of the debate, and the discussion is far from over. But as these and several other retail associations have emphasized, now that e-commerce is all grown up, it’s time for all retailers to play fair.

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When it comes to searching for retail industry data, it’s easy to get overwhelmed by the multitude of sources, reports and websites that exist. Do you go to the Census Bureau website for sales data? Or should you visit the Department of Commerce? What if you want to know how many employees worked in department stores last holiday season? How has consumer spending for Father’s Day changed over the last decade?

It’s enough to make your head spin.

Understanding this challenge, as well as the specific needs of retailers, reporters and executives for up-to-date and comprehensive industry data, the NRF Foundation has launched the Retail Insight Center, made possible by a contribution from KPMG.

Retail Employees By Age

Source: Bureau of Labor Statistics, 2012

The Retail Insight Center is a comprehensive online resource that provides easy access to previously fragmented industry research from government sources, NRF studies, and historical and current consumer trend data from BIGinsight. In essence, the Insight Center is a one-stop-shop for data and insights into retail industry trends, from sales, employment and consumer spending to the popularity of smartphones and tablets.

Today’s launch comes with an added bonus. Our Spotlight on Retail Employees report combines data from these sources into one place to tell an important story about the retail industry – that America’s largest private sector employer really is an industry of opportunity from coast-to-coast. The report showcases the diversity in jobs, demographics of retail employees and a whole lot more.

Anyone can access the Insight Center by visiting research.nrffoundation.com but before you dive in, here are five things you need to know:

 1. Data in the Retail Insight Center is not from a single-source. The site features NRF’s original research, derived retail industry sales data, some partnered research, relevant public government data, and timely consumer data from BIGinsight. Information is organized by topic, not source.

2. Updates are made automatically based on the most recent data available, providing the most recent data for users.

3. Users have the option to export charts, download the data, or build a report combining research from various parts of the center. Want to share the information with someone else or your entire network? Users can send the page they’re viewing using integrated social media “share” buttons.

4. Charts are customizable after logging in. Users can select a date range, demographics, and even type of chart – such as a pie, bar, or line graph – where the data is available.

5. Most pages feature custom links to relevant materials that live elsewhere on NRF sites, such as blog posts and news releases.

Navigate around, customize a chart of your choice, and let us know what you think.

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WLC13_Social Graphics-Blog_80x80_1Congress is in recess this week, but debate over sales tax fairness hasn’t taken a vacation.

On Monday night, NRF Vice President and Tax Counsel Rachelle Bernstein sat down with PBS’s Gwen Ifill on the NewsHour program to discuss what’s at stake. The Senate is set to vote May 6 on the Marketplace Fairness Act, which would allow states to require online sellers to collect sales tax the same as local stores. If approved, the legislation will head to the House.

The Senate vote is scheduled as hundreds of retailers head to the nation’s capital for NRF’s annual Washington Leadership Conference next week. No doubt they’ll have plenty to talk about with policymakers while they’re here.

Watch the full interview with Bernstein, Ifill and eBay’s Brian Bieron below.

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