Retailers across the U.S. are expressing growing frustration with security technologies that promise results — but fail to deliver.

A common complaint? Retail AI systems that detect potential theft, but fail to trigger a response.

Detection Alone Isn’t Enough

Security systems that focus solely on identifying incidents create a critical vulnerability: the lack of follow-through.

What happens after the alert?

Does staff respond? Is the issue verified? Or is the alert simply ignored?

This gap between detection and action is one of the biggest reasons retail security tools underperform.

The Operational Compliance Gap in Retail

A major retailer working with Panoptyc revealed a striking stat: only 38% of their loss prevention protocols are followed consistently.

In other words, nearly two-thirds of theft events go unaddressed — despite being detected.

This is what Panoptyc calls the operational compliance gap.

What Real-World Security Should Look Like

Panoptyc addresses this gap by building systems that support the entire loss prevention lifecycle:

  • Track the full loop: from detection to staff response and incident resolution
  • Provide transaction-level insights: so ROI can be measured in real terms
  • Design tools staff actually use: ensuring adoption and action

These principles allow retailers to move beyond passive surveillance and toward active prevention.

What to Look for in a Retail AI System

When evaluating security solutions, retailers should ask:

  • What happens after the system flags a theft?
  • Can team members act quickly and confidently?
  • Are outcomes tracked at the incident level?

The best systems don’t just look good in a demo. They drive action, ensure compliance, and deliver measurable results.

Panoptyc’s results speak for themselves: reduced shrink, better staff engagement, and tighter operational control.