There are two words that are every trucker, shipper, manufacturer, and consignee’s worst nightmare…CARGO THEFT. Despite enhanced security features and continued attempts to educate individuals on the subject and ways to prevent it, cargo theft continues to remain an issue that the industry faces every day, costing up to $30 billion each year according to FreightWatch.
2012’s 2nd quarter demonstrated a drop in the number of cargo thefts (excluding food/drinks, miscellaneous, and home/garden, which increased) from the 1st quarter to 210 thefts with an average value loss of $147,440, a 29% decrease. 1, 2
But this drop quickly vanished in the 3rd quarter with the number of thefts increasing to 225 and accounting for a cost of $172,403, increasing 23% from the 2nd quarter. 1
July contributed to the greatest number of thefts at 78, with California being the top state in which cargo theft occurred.
When analyzing the location of theft, unsecured parking areas took the number one spot with Jewelry/Accessories experiencing the greatest value loss of $600,000, which derived from a single theft, and food/drinks being the target of choice followed by electronics and auto/parts. 1
And this number is expected to get worse in the 4th quarter with the holiday season as manufacturers ship loads of food in preparation for Thanksgiving and electronics, jewelry, apparel, and consumer goods for Christmas.
ComScore.com reported that during the first 25 days of November leading up to the Thanksgiving holiday last year, online retail sales increased 15% compared to the previous year reporting $12.7 billion, continuing into December.
While trucking companies are benefitting from this spike in seasonal spending, thieves are finding it beneficial as well. According to FreightWatch, cargo theft increases nearly 28% during the holiday season.
In order to help differentiate between the types of products stolen, and reduce the large numbers of cargo thefts grouped under the same category, FreightWatch has created the following new categories (info. below provided by http://www.truckinginfo.com/news/news-detail.asp?news_id=78398):
-Luxury Goods (both under Clothing/Shoes and Jewelry/Accessories)
-Pharmaceutical sub-categories now include:
Road Scholar is combating cargo theft through the following ways:
-Providing satellite and reefer tracking for live monitoring of your freight down to the street level. You’ll always know where your freight is and who has it.
-Qualcomm distress/panic messaging allows disablement of the vehicle to prevent your cargo from taking off with the wrong person(s).
-Navlock, bolts, and seals protecting the contents of your freight.
-Background/drug checks and online driver verification to ensure that only the safest drivers are transporting your freight.
-Brightly colored awareness trucks that make our trucks easily recognizable and harder to steal.
Learn about supply chain security and the risks/importance of carrier selection by requesting your free white paper Supply Chain Insanity at http://www.roadscholar.com/supply-chain-insanity.php!
What are you doing to prepare and prevent holiday cargo theft?