Walmart Uses AI To Track Theft

Walmart reportedly makes use of Artificial Intelligence (AI) camera technology to track theft at approximately 1,000 locations.

Walmart has made use of AI in the past, but for other purposes. Walmart has now confirmed to Business Insider that they have a surveillance program which the retailer refers to as “Missed Scan Detection,” allowing them to track scanning errors. The AI-powered cameras put to use at 1,000 Walmart locations can track and analyze activity at all checkouts, including the self-checkout registers. The AI cameras send out notifications to employees when a potential issue is discovered, at which point they are sent to investigate. One such trigger is when an item moves past a checkout scanner, but without getting scanned. If a camera detects this happening, employees will step in to check, but this is usually rather uneventful, as most triggers will be set off due to an unintentional action. Walmart is hoping that this system will deter thieves who hoped to take off with items that they know weren’t scanned.

“Walmart is making a true investment to ensure the safety of our customers and associates,” Walmart spokeswoman LeMia Jenkins said. The company, like many other retailers, has lost a serious chunk of their revenue to shrinkage over the years. According to Business Insider, shrinkage caused retailers to lose 1.33% of revenue to theft and other related losses in 2017. If Walmart has the same shrinkage rate as the broader retail industry, they would’ve lost $4 billion in revenue last year. The system appears to be working, as LeMia told Business Insider that shrinkage rates have dropped at stores where these AI-powered cameras have been used.

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5 years ago
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