After a three year absence, Walmart (WMT) greeters will soon be saying “hello” again at several stores. The world’s largest retailer clarified to Yahoo Finance that greeters have never really left us, but were given other duties that took them away from the entrance.
The renewed focus on greeting actually has very little to do with welcoming shoppers and more to do with making sure customers don’t walk away with merchandise without paying. Shoplifting, referred to as “shrink” in the retail business, is an increasing problem.
“I think the extra set of eyes at the door makes some kind of sense,” says Yahoo Finance Senior Columnist Michael Santoli. “Shoplifting is a huge issue for every single retailer.”
According to the National Association for Shoplifting Prevention there are 27 million shoplifters in the United States today and the most recent Global Retail Theft Barometer says "shrink" cost U.S. retailers $24 billion in 2013, the last year for which they have data.
“What [Walmart CEO Doug McMillon] is looking to do is focus on a lot of marginal things to improve same store sales in the United States which is the key to the whole business and he’s been a little bit successful so far,” notes Yahoo Finance Editor-in-Chief Andy Serwer.
“They’re there to keep an eye on the door in lieu of a security guard,” he adds, “and maybe a young security guards would do a better job.”
Walmart provided us with this statement about the changes:
We are making a number of improvements throughout our business by identifying and implementing initiatives that will improve our customers’ experience in our stores and support our efforts to reduce costs so we can pass those savings to our customers. We have identified a select number of stores where we are adding personnel at the door who will greet and assist customers and perform other duties as necessary.
It’s not just Walmart that is finding ways to make customers feel welcome and watch the door at the same time. Serwer took an unscientific look at job openings for store greeters on SnagAJob.com and found 1,170 openings at businesses like Bed, Bath & Beyond (BBBY) and Buffalo Wild Wings (BWLD).
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