The Perfect Storm: How Digital Fraud and Decriminalization Are Reshaping Retail Crime

On this episode of Retail's Most Wanted, John Matas, president of Blacklight Consulting and former head of investigations at Macy's, shares his expertise on the evolving landscape of organized retail crime (ORC).

Key takeaways:

• Retailers face a "perfect storm" of challenges, including state-by-state decriminalization and rising theft thresholds

• Digital fraud has become just as damaging as physical theft, with sophisticated criminals exploiting omnichannel retail vulnerabilities

• ORC has evolved from small-group operations in the 1980s to sophisticated networks employing technical experts and complex fraud schemes

• The retail industry, representing 25% of GDP and workforce, needs stronger law enforcement and policy support to combat rising losses

Why it matters:

ORC losses have grown from an estimated $25 billion to potentially $100 billion annually in the US alone. Without significant policy changes and increased enforcement, experts predict the problem will continue to worsen.