Co-op’s latest technological initiative addresses rising retail crime through the use of artificial intelligence.
- AI systems are being trialed in 14 stores to identify offenders and assess potential threats, minus facial recognition technology.
- Co-op’s crime-related losses increased by nearly 20%, driving a £18m investment in safety measures, including AI.
- The retailer faces a surge in attacks on staff, highlighting the urgency of effective crime prevention methods.
- Co-op’s positive sales and profit return allows for expansion plans despite ongoing security challenges.
The Co-op is deploying a groundbreaking artificial intelligence (AI) system to tackle the escalating issue of retail crime. This initiative marks a significant step as the convenience retailer grapples with increasing crime-related losses, which surged by nearly 20% to £39.5 million in the first half of 2024. The substantial losses prompted an £18 million investment in security measures.
This advanced AI technology is currently being tested in 14 Co-op stores. It functions without facial recognition, instead focusing on identifying individuals with concealed weapons or stolen goods. The system is also capable of detecting physical assaults against staff, instantly alerting a centralized monitoring station managed by Mitie to initiate a response.
Matt Hood, managing director of food at Co-op, highlighted the relentless nature of the crime wave affecting the stores. According to Hood, attacks on staff have increased by 34% compared to 2022, with serious abuses rising by 37% over two years. He emphasized that while immediate improvements are hoped for, the solution is likely long-term and dependent on governmental legislative support.
Despite these challenges, Co-op has managed a financial turnaround, returning to profitability after a £33 million loss the previous year. The retailer has reported robust sales in both physical stores and online during the first six months of 2024. This financial stability has ignited plans to open 120 new stores in the upcoming 18 months, reflecting a proactive growth strategy amidst security challenges.
Co-op’s strategic investment in AI highlights the company’s commitment to mitigating retail crime while pursuing robust growth.
