A recent facial recognition technology trial conducted by Foodstuffs North Island across 25 New World and PAK’nSAVE stores has indicated a reduction in retail crime.
The six-month trial, which ended earlier this month, recorded a decrease in harmful incidents and an 8% drop in crime over the last quarter.
Retail NZ, which has supported the trial, believes this technology could have broader applications for other retail sectors, including jewellers.
Key Findings from the Trial
During the trial, the facial recognition system generated 1,747 alerts, with only one case of misidentification. This level of accuracy is significant for jewellery stores, where customer interactions are often personal and security is a critical concern. According to Retail NZ Chief Executive Carolyn Young, “The early indications are encouraging and I look forward to further updates when the final report is completed. Preliminary findings show real potential to improve safety and prevent harm to staff.”
The technology enabled stores to identify repeat offenders, who are responsible for over a third of retail crimes. “Facial recognition has assisted participating stores to identify who is in their store, enabling a pro-active approach to decisions on how to act. Evidence tells us that early identification of who is in a store assists in maintaining a safe working environment. The trial showed that actions taken in store can range from observation, to asking an individual to leave, to no action at all,” Young added.
Relevance to Jewellers
Jewellery stores, which often deal with high-value items and a need for heightened security, could benefit from similar technology to prevent theft and ensure a safe environment for both staff and customers. Implementing facial recognition could help identify known offenders and deter potential crimes, especially in stores that have faced repeated security challenges.
However, jewellers considering this technology must carefully balance security with customer privacy. Retail NZ’s trial involved extensive training and protocols to protect customer data while using the system to enhance safety. Jewellery retailers will need to adopt similar measures and engage with legal experts to ensure compliance with data protection regulations.
Future Developments and Industry Impact
As the retail sector explores new technologies to combat crime, jewellers should stay informed on developments like the Foodstuffs trial. The final report on the trial, due in the coming weeks, will offer further insights into the technology’s effectiveness and potential applications beyond supermarkets.
Retail NZ Chief Executive Carolyn Young addressed the broader implications: “A key question for the wider retail sector is where to from here? The rise in retail crime means that all retailers are considering what actions they can take to keep their staff, customers and stores safe. Facial recognition is one tool that can assist with improving safety in store. If you know who is in store you can have a plan to manage those situations, however more work is needed on legislation to support retailers in the fight against crime, but we believe that technology is a critical part of that solution.”
Jewellers will need to consider how such technology fits into their security strategies and stay updated on evolving legislation that may impact the use of facial recognition in retail settings. As Young noted, “We wait expectantly on the independent evaluator’s final report of the trial, due out in the next few weeks.”