Foodstuffs North Island Trials Facial Recognition Technology to Combat Retail Crime
Foodstuffs North Island (FSNI), a New Zealand co-operative of 300 grocers, has launched a six-month trial of facial recognition (FR) technology in an effort to combat retail crime. The trial will involve up to 25 stores across the North Island, including popular supermarkets PAK’nSAVE and New World.
The FR technology works by analyzing facial features and converting them into a unique alphanumeric code, which is then securely stored. As individuals enter the store, the FR system captures images of their faces and compares them in real time against a database of known offenders and accomplices. Customers are informed of the system’s use through signage.
The decision to implement the trial comes in response to a significant increase in violent incidents targeting retail staff, including serious assaults. The aim is to assess whether FR can effectively deter repeat offenders and reduce in-store crime.
It is worth noting that the system will only store data of individuals who have previously committed offenses.
Chris Quin, the chief executive of Foodstuffs North Island, emphasized the importance of ensuring a safe working and shopping environment. Quin stated that retail crime has become a growing problem, both in New Zealand and globally. In fact, the North Island stores alone recorded 4,719 incidents in the October to December quarter of 2023, a 34% increase compared to the previous quarter. Shockingly, there have been an average of 14 serious incidents per week, including two assaults.
Access to the FR systems will be limited to authorized and specially trained store team members. Retailers will not share information held in the FR system between stores or with third parties, unless required to do so by law.
Quin expressed the hope that the trial will help determine whether FR technology can effectively enhance safety without compromising privacy.
Overall, the trial of facial recognition technology by Foodstuffs North Island showcases an innovative approach in the fight against retail crime, with the potential to make a significant impact in reducing incidents and ensuring the safety of staff and customers.
Analyst comment
Positive news. The market is likely to see increased demand for facial recognition technology from retailers as they seek to combat retail crime and ensure a safe working and shopping environment. If successful, the trial could lead to wider adoption of this technology in the retail sector, boosting the growth of facial recognition market.
