FAQs

Should retailers still use this term to describe their losses?

Advocates of the Total Retail Loss concept would argue that due to ongoing and irrevocable variances in how the term shrink or shrinkage is defined and used by retail businesses around the world, and the significant changes in the way in which retailing now operates, it is a term no longer fit for purpose, or at the very least should be replaced with the term ‘unknown stock loss’ as this better describes what it is typically measuring. However, it is a term with a long history and therefore it is likely to be used for a long time to come.


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