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Retail

A Silver Lining For Retail Shrinkage?

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A Silver Lining For Retail Shrinkage?

ESM chats to Kristina Rogers, EY Global Consumer Leader, about whether retailers should re-evaluate the meaning of Shrinkage. This article first appeared in ESM’s January/February 2024 edition.

In January, EY Global Consumer Leader Kristina Rogers published an interesting article on LinkedIn, acknowledging the growing problem of shrinkage in the marketplace, but also suggesting that increased levels of shrinkage could, in fact, offer a ‘silver lining’ to retailers, prompting them to reimagine their product assortment, store layout, and relationship with the customer.

As Rogers put it, shrinkage is forcing retailers to “critically review and redesign the experience and product assortment they offer consumers. More associates and affordable products can help create the differentiated in-person shopping experience that brings consumers back to their stores.”

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