Retailers Turn to AI Surveillance as Shoplifting Surges

As shoplifting continues to eat into razor-thin retail margins, a growing number of stores are turning to AI-powered surveillance systems to catch — and sometimes prevent — theft in real time. These tools don’t replace old security infrastructure; instead, they enhance it, analyzing live CCTV footage for suspicious behavior such as concealment gestures or erratic movement patterns. Some systems even send mobile alerts to store staff as incidents unfold, giving them a chance to intervene before items walk out the door.

One such company, Paris-based Veesion, recently shared a real-world example from ShopRite of Passaic, New Jersey. According to the company’s testimonial, the store reduced its shrink by 43% after deploying the AI system — a result that translated to over $100,000 in loss prevention. “It brings peace of mind in management and definitely in the security suite,” said a store manager. In a written response to The Supply Chainer, Richard Mortimer, Veesion’s US Field Marketing Manager, explained the company’s approach:

“Veesion's AI solution analyzes existing video surveillance feeds in real time to detect specific body and hand gestures indicative of shoplifting, such as concealing items. Upon identifying suspicious behavior, the system sends immediate video alerts to designated store personnel via a mobile application, enabling them to intervene proactively and prevent theft before it occurs.”

According to Veesion, its system is now used in over 4,000 stores across 25 countries, with an estimated shrink reduction of up to 60%. SPAR International, one of the world’s largest retail groups, recently announced it was rolling out the solution across several markets as part of a larger theft prevention strategy.

While exact benchmarks vary between vendors, the value proposition is clear: AI doesn’t get tired, it doesn’t blink, and it can learn over time. As one Financial Times report put it, “the goal is not to eliminate humans, but to give security teams a better set of digital eyes.”

Still, not everyone is convinced. Civil liberties groups have raised concerns over the lack of transparency in how such systems make decisions, particularly in public-facing retail environments. The balance between privacy and prevention continues to be a moving target — but for many retailers under pressure, the tradeoff is worth it.

Other tech vendors are also making strides in this space. Scylla, a company specializing in AI solutions for retail security, emphasizes the importance of integrating AI with existing surveillance systems. Their technology focuses on real-time detection of suspicious activities, enhancing the ability of retailers to respond promptly to potential theft incidents.

But perhaps the real shift isn’t technological — it’s cultural. Retailers once reluctant to act on suspicion now have data-backed cues telling them when to intervene. That subtly changes the dynamic on the shop floor: not just more watchful stores, but more confident staff. As AI surveillance becomes less about catching thieves and more about nudging behavior, it may quietly be reshaping how we shop — and how we're seen — long before we notice.