Why are they in the news so often? Why is the proliferation of “shoplifting videos” from unmanned retailers being reported on TV one after another?

The number of unmanned food vendors has been increasing rapidly as they attract attention as a sales style that meets the non-contact needs of the COVID-19 crisis. The “Gyoza no Yukimatsu” chain of unmanned frozen gyoza shops has so far opened 430 stores in 46 prefectures (excluding Okinawa Prefecture). The rapid growth of this chain has caught the attention of many people, and similar chains have sprung up across the country like bamboo shoots after rain.

The market for unattended frozen gyoza sales has already entered a mature phase, and the past year has seen the emergence of a number of unattended sales chains other than gyoza.

The “24h Unattended Hormone Direct Seller” and “Ouchi de Ohoniku” are unattended sales chains that sell frozen meat and hormone, with 135 and 128 stores, respectively. The Kyushu izakaya chain Hakata Ichibandori Ishokuya Arai has opened 32 unattended frozen yakitori stores, and other unattended frozen food stores selling horse meat, bread, sweets, and local gourmet foods have also sprung up.

The Reality of Shoplifting Damage at Unattended Vending Stores

Unattended vending stores are characterized by a “low-risk, low-return” business model. The initial investment is reasonable, and running costs are low because there are almost no labor costs. Although the profit margin is small, it is unlikely to turn into a loss, which is a favorable factor in this unstable economic environment.

Although the number of shoplifting incidents caught on security cameras has been increasing on TV news, the actual number of shoplifting victims is still a mystery. When we asked this question to the four aforementioned chains, the answers varied greatly from chain to chain.

Gyoza no Yukimatsu and Hakata Ichibantori Ishokuya Arai answered that they have not experienced any notable shoplifting. On the other hand, the “24-hour unmanned hormone shop” responded that “damage varies depending on the location and area where the store is located,” while “Ouchi de Ouchi-no-meat” said “shoplifting is inevitable. The “Ouchi de Onu” (Home De Meat) shop said, “Shoplifting is inevitable, so it is important to confront this problem.

Kazuki Ito, representative of Eat Line, LLC, which operates a 24-hour unmanned hormone direct sales store, responded that shoplifting damage “depends on the location and area where the store is located,” explaining as follows.

Stores located in large metropolitan areas such as Tokyo and Osaka have more shoplifting victims, and by prefecture, the closer you get to the prefectural capital, the higher the number of shoplifting incidents. As population density increases, so does shoplifting. Based on our experience, we believe that shoplifting is more likely to occur when population density exceeds 4,000 people per kilometer square, so adequate countermeasures must be taken.”

On the other hand, he says, “There is a difference between suburban roadside locations and those in front of stations or downtown areas.

Stores located in suburban roadside areas are almost free from shoplifting. This is probably because people are wary of shoplifters using cars as their mode of transportation and having their license plate numbers recorded by security cameras. Although 24-hour unmanned hormone shops are franchised, they are not recommended for franchisees because of the high rents in urban areas of large cities and the conditions that increase shoplifting damage.

Why “shoplifting videos” are reported on TV

The unmanned sales outlets of Gyoza no Yukimatsu and Hakata Ichibantori Ishokuya Arai are all located in suburban roadside areas. In this respect, they meet Mr. Ito’s definition of “conditions that make it difficult for shoplifting to occur.

In contrast, Mr. Shin’ichi Hayashi, Representative Director of Uchi-de-Oniku Co. Even roadside stores are prone to shoplifting,” he asserted. The chain takes a firm stand against shoplifting in order to minimize the damage,” he continued.

The chain is committed to minimizing the damage caused by shoplifting by taking decisive action.

Unlike convenience stores and supermarkets, unmanned retailers have surveillance cameras that record shoplifting, so if a shoplifting incident occurs, we show pictures and video of the incident at the storefront. Shoplifters have little sense of guilt. By making them aware of the seriousness of what they are doing through the disclosure of information, we are preventing repeat offenders from committing shoplifting again.

The images of shoplifting scenes broadcast on the news are part of the company’s “shoplifting countermeasures.

We have begun distributing shoplifting videos on YouTube on an experimental basis,” said Hayashi.

We are well aware that there are pros and cons to releasing video of shoplifting, but we believe it is a necessary measure to eliminate shoplifting.

Although the measures taken differ, Mr. Ito of 24h Unattended Hormone Direct Store also commented, ” Serial shoplifting damage can be avoided depending on the response.

Shoplifting tends to occur in the same store in succession. If you check the security cameras, you will usually find that it is usually the same criminal. Since shoplifting is easily patterned, we can prevent the third or fourth time by getting the cooperation of the police. So far, two out of three shoplifters have been arrested, and once the criminals are apprehended, the shoplifting stops immediately. So the amount of damage itself is not that large,” says Ito.

Because the company has insurance to compensate for shoplifting and other thefts, “no stores that have opened in urban areas of major cities have closed due to shoplifting,” Ito explains, but he also says, “If the number of shoplifting incidents increases, there is a fear that insurance premiums will rise.

As mentioned above, one of the characteristics of the unattended sales outlet business model is that it is based on low running costs, even if the profit margin is small. If insurance premiums rise, this could put pressure on profits. Unattended vending locations are still a developing business. Competition is expected to intensify in the future, and in order to maintain sales and profits, it will be necessary to be more vigilant about shoplifting countermeasures.