The butcher section continues to play a crucial role in the profitability of food retail, as evidenced by data from the 7th Abrappe Survey on Retail Losses in Brazil, published at the end of 2024, which analyzed loss patterns throughout the 2023 calendar year.
While the average retail loss rate increased from 1.48% in 2022 to 1.57% in 2023, and the loss rate in conventional supermarkets rose from 2.37% to 2.50% over the same period, losses in the butcher section remained high—underscoring the importance of careful management to prevent shrink and ensure business profitability.
What are the main sources of loss in the butcher section?
Operational shrink:
As with all perishable goods, shrink accounts for a large portion of losses in the butcher section. This can be due to product damage during handling, improper cutting or storage, expired items, and more.
Unidentified losses:
Several factors contribute to high loss rates that are only detected during inventory. These so-called unidentified losses are usually caused by waste during processing (cutting and preparation), internal or external theft, and registration errors such as barcode mix-ups.
5 Tips to improve efficiency and prevent losses in the butcher section [+ Bonus Tip]
1. Be careful with transportation
Make sure meat is transported under the correct conditions, maintaining proper temperature and avoiding physical damage. Suppliers and logistics providers must comply with all current sanitary standards and recommendations.
2. Ensure proper receiving procedures
The receiving area is highly susceptible to loss, especially with High-Risk Products (HRPs) like meat. During receiving inspections, pay close attention to product quality, expiration dates, and proper transport and storage conditions.
3. Avoid poor product handling
Train your team to handle meat correctly, avoiding cross-contamination and damage. Follow special procedures for the area, including the use of clean and safe tools for cutting, packaging, and storing meat, as well as proper PPE (personal protective equipment) to prevent accidents.
Using technology for operations control is a valuable tool for auditing and monitoring retail processes. The Darwin Operations Control enables visual checks supported by a systemic platform, covering multiple store areas to track non-compliance rates and improve adherence to procedures.
4. Monitor expiration dates
Maintain strict control over expiration dates for both backstock and display items. Rotate products properly by moving older items to the front to ensure they’re sold before newer stock. This tip applies across the store but is especially critical for avoiding loss in the butcher section.
5. Prevent theft of premium cuts
Theft of high-value meat cuts is a major concern in supermarkets and butcher sections. These premium cuts—like picanha, striploin, and ribs—are prime targets due to their resale value on the black market.
Antitheft protection for meat: Ideal for protecting premium cuts, the Multigrip Tag provides dual protection to reduce butcher section losses. Also known as the “Spider Wrap,” it emits a loud alarm if tampered with and also triggers the store’s EAS system if someone tries to exit with it. This two-layer defense offers strong protection against meat theft in stores.
6. Bonus tip: watch out for weighing errors and barcode fraud
In addition to weighing mistakes caused by inattention or lack of training, be on the lookout for intentional barcode switching by employees or other types of fraud.
Make sure your scales are properly calibrated and apply strict control measures to ensure accuracy in weighing and product identification. It's also crucial to provide proper staff training to prevent and detect irregularities in product handling, sales operations, and customer service.
Weighing audit to prevent butcher section losses: Installed on the scales, the Darwin Weighing Audit enables real-time monitoring of weighing operations. With filters and alerts configured according to your store's strategy, it links data (operator, product, weight, time) to camera footage from the weighing area, helping to identify errors, fraud, and collusion easily.
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