Luxury and specialty retail team members are on the front lines, serving clients and customers and protecting a store’s merchandise. This position can put them at high risk. Without protections in place to help mitigate their risk, many employees simply choose to quit, leading to an endless cycle of turnover.
A survey by Quinyx reinforces this idea. It found that 59% of retail frontline workers considered quitting last year, a 22% jump from its 2023 survey. Additionally, a report by the Loss Prevention Research Council found that nearly 20% of these workers were seeking a new job because of safety concerns.
Training is one of the best tools to mitigate risk and protect employees and assets. It also helps your brand comply with laws and regulations and fulfill your Duty of Care. Let’s take a deeper dive into why training is so necessary and when and how to use it effectively.
Understanding Modern Retail Risks
The threat landscape for retail has changed significantly in recent years. A National Retail Federation survey of retailers found that the average number of shoplifting incidents rose by 93% in 2023 vs. 2019. Even more troubling is how open and brazen many of these thefts are and the growing number of repeat offenders. Luxury and specialty retailers are particularly at risk for both individual theft and Organized retail crime (ORC) due to the high resale value of their merchandise.
However, external theft isn’t the only challenge facing retailers. Internal theft, workplace violence, fraud, and emergency situations are all common concerns.
Increasingly, employees are expected to resolve conflicts with disgruntled shoppers or others who come into the store with ill intent. Without the proper training, brands risk the safety of their employees, assets and potentially their reputation.
When to Consider Training
Companies often implement training to comply with state and federal laws and regulations governing workplaces. However, there are many other situations that demand training. Here are some common scenarios where training can provide immediate value:
- Your store is facing a rise in employee turnover, fraud, inventory shortages or violence.
- You are venturing into the brick-and-mortar retail space for the first time or expanding beyond a flagship store and need a way to share brand DNA and policies with new associates and managers.
- You’re adding new technology or switching out a current technology.
- Current events or societal issues that could impact your stores keep you up at night.
- Your stores or logistics facilities are in locations that could be impacted by weather-related emergencies.
While this list is not exhaustive, it should give you a starting point for evaluating your training strategy.
In-Person vs. Digital Training
Once you know that training is required, consider the best way to deliver the information. Does the topic need in-person, hands-on training, or can you offer it digitally through browser-accessible e-learning modules? There are times when in-person is highly effective and may generate more employee engagement on the topic. However, there are also limitations to in-person training. It can be costly and difficult to schedule a time when all store associates are available, especially if your brand has multiple locations.
Online e-learning modules offer an always-on training approach, where employees can access the training whenever and wherever they are available. It also helps ensure all employees get the same training, whether they’ve been there for years or just started yesterday.
Sometimes, a combination of in-person and online is the right approach because it brings forth the best of both methods. The audience receiving the in-person training is better engaged and gets to interact with the trainers. In addition, all new hires who weren’t part of the initial training can still benefit from consistent messaging and expectation-setting as part of their onboarding. The right risk management partner can help you evaluate your unique situation and implement an effective plan.
Embedding Training in the Employee Lifecycle
Retailers can run into trouble if they view training as a one-and-done effort. The truth is that retailers face higher than usual employee turnover—around 60% on average. That means that over one year, more than half of your staff will change.
How do you account for this turnover when it comes to training? The first step is to make training part of the onboarding process for every employee. It is one of the most critical times to equip associates with the tools they need to succeed. Mandatory e-learning can help ensure that everyone in-store and at the corporate office works from the same playbook.
After onboarding, it’s essential that training doesn’t stop. It should be a continual part of the employee lifecycle, including:
- as a periodic refresher to reinforce best practices,
- to communicate policy changes,
- and as a corrective measure when things go wrong.
Employee training is one of the most powerful tools you can give your Human Resources team. It creates consistency across the workforce and fosters a culture of growth and accountability. Investing in training sends a clear message to employees that they are valued and supported, which should, in turn, improve job satisfaction and retention.
Why Training with AMZ Risk Delivers Results
In today’s challenging retail environment, training isn’t just a tool. It’s a strategic advantage that can increase employee retention, make it easier to attract talent, improve employee engagement and help you build a strong brand reputation.
AMZ Risk works with designers, suppliers and retailers in the luxury and specialty retail industry to develop training that proactively addresses today’s risks. Our expertise spans workplace violence prevention, de-escalation, fraud prevention and anti-bribery, along with topics such as conflict resolution, customer service, employee coaching, team communication, and performance management.
Whether through in-person sessions or scalable e-learning modules, our team can deliver tailored solutions that help keep your employees, brand and assets safe. That’s what we did for a U.S.-based luxury retailer experiencing a 40% increase in employee turnover. After identifying that employees felt unsafe at work, AMZ Risk developed an Emergency Response Guide and held in-person training for over 280 store employees across 10 locations. We also developed e-learning modules on the same topics so the organization could train all new hires to the same standard. Within six months, the retailer saw a 50% drop in employee turnover at its highest-risk locations. Read the full story here.
For more information on AMZ Risk’s comprehensive training solutions, click here.
