How Walmart's Self-checkout Security System Actually Works

(KMDL-FM) Shoppers who take advantage of Walmart's self-checkout kiosks might be wondering how the giant retailer prevents people from stuffing items in their cart, pretending to pay at self-checkout, and then walking out the door with a basket of stolen items.

Sure, there is electronic surveillance, but the real anti-theft system is hiding in plain sight, and you may have mocked a Walmart employee for "secretly" doing their job.

To understand the self-checkout conundrum you need to understand the retail industry as it relates to stores such as Walmart. It's a sign of the times: you walk into a store, make your selections, head to the checkout line, scan your items, tap your card, and you're out the door. The human interaction is minimal, or so it seems.

How Walmart Monitors Your Shopping Experience

Unbeknownst to you, you have actually interacted with several Walmart employees during your shopping experience. No, they didn't personally interact with you, but they did make a note of where you were in the store, what you put in your cart, and what you already have in your cart, and they have shared that knowledge with other Walmart associates in the store.

It might look as if Walmart employees are constantly on their phones. I have actually heard other shoppers comment under their breath about employees not paying attention to their jobs. Well, what looks like slacking to you and me is actually security work at Walmart.

A closer look at the device in the Walmart employees' hands will reveal that the device in question isn't a cellphone. It's a handheld security device, and when the "eye in the sky" detects unusual customer behavior or unique hand movements, especially in the self-checkout lines, the overhead surveillance sends a message for an employee to monitor that shopper a little more closely.

So, the next time you see a Walmart employee with their nose buried in what appears to be their phone, it's probably not what you think at all. That employee is likely reviewing a security alert.

So, if you suddenly notice several Walmart employees gathered around you at the self-checkout and they all appear to be playing games on their phones, they could just be giving you or the shoppers around you a quick security check.

And before you get all offended that you're being watched, chances are you've already been on cameras in the parking lot, your car's license plate number has been read and recorded, and your face may have been scanned as you walked in the front door of the store.

Shocking Amount of Money: How Much Walmart Loses to Retail Theft Every Year

So much for privacy, huh? Oh, it's not just Walmart. Almost every large retailer has security systems similar to what we've described in place. Walmart currently loses an estimated $3 billion to $6.5 billion annually to retail theft. That's about 1% of the store's revenue. The theft rate at self-checkout is 3.5% of sales. So it makes sense that Walmart and other stores don't trust us.

Because the simple fact is this. Some of us can't be trusted.