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Supermarket surveillance: addressing customer concerns and the need for transparency

The Bugle App

Donna Portland

06 November 2023, 11:02 PM

Supermarket surveillance: addressing customer concerns and the need for transparency

Amidst Australia's ongoing cost-of-living crisis, supermarkets have witnessed a surge in shoplifting, prompting them to implement enhanced surveillance measures.


A major supermarket recently reported an alarming 20 percent increase in stock loss, partly attributed to theft. Also, the June 2023 report by the Australian Bureau of Statistics revealed a significant 17 percent rise in retail theft.


In response to this escalating issue, supermarkets find themselves with no alternative but to bolster security measures within their premises, aiming to curb shoplifting. One leading supermarket has announced an investment of over $40 million in CCTV upgrades, body-worn cameras, and other security measures.



However, the reaction to increased surveillance has left some Australians worried about their privacy. Media reports have suggested that some consumers feel untrusted and resentful.


Consumer behaviour expert, Professor Nitika Garg, from the School of Marketing at UNSW Business School, says, “Nine times out of ten, most shoppers are doing the right thing. A sense of trust is lost when supermarkets increase surveillance in the stores with little explanation.”


Many customers have expressed their discontent with increased surveillance, evident on social media platforms like Reddit and TikTok. According to Prof. Garg, this negative reaction is a natural psychological response to feeling one's freedom being constrained. She adds, “The idea that we are not being trusted as consumers is jarring to us because most of us do the right thing anyway. No one likes to be watched. Cameras impinge on our privacy. We as consumers are unsure on how that data is being used. Not having an explanation or little reassurance is adding to the negative reaction.”



For some consumers, especially those inclined toward deviant behaviour, heightened surveillance might paradoxically encourage misconduct. This can be attributed to ‘psychological reactance’, a phenomenon where individuals resist control or restrictions and people to do the opposite of what they are told informs Prof. Garg, giving the example “If you see a board saying don't throw stones at it, what do you think you will see? Most likely, it is riddled with dents and holes. The same example can be applied in this setting.”


To address these concerns, supermarkets need to better communicate their reasons for heightened security measures. Prof. Garg recommends a small campaign to explain the impacts of shoplifting on consumers. Customers could be informed that the higher amount of shoplifting affects all consumers as the price of products are increased to account for the stock loss.


She also emphasises the importance of ongoing research and dialogue with customers to understand their concerns. However, while there is a correlation between the cost-of-living crisis and inflation, the increasing number of thefts at supermarkets highlights a more profound issue. Prof. Garg points out that as consumers become more price-conscious during the cost-of-living crisis, the hefty profits - some $1.1 billion and $1.62 billion - declared by giant supermarkets like Coles and Woolworths raise frustrations. 



Prof. Garg suggests that more is needed than just installing security measures, which is a temporary fix to a more extensive problem, concluding, “The government should help address this situation.”

The Bugle asked some local residents for their opinion on the subject, and Molly’s response sums up the consensus, “I understand why the supermarkets have done what they’ve done. Obviously if people are stealing, they need to protect their business, but it’s a shame that the essential items are so ridiculously expensive in the first place, like baby formula for example!”