From loss prevention to customer loss: shopper responses to caged servicescapes

As retailers increasingly lock merchandise to deter theft, they may inadvertently accelerate an ongoing shift to e-commerce. This study addresses a gap in the retail theft literature, which has focused primarily on shrinkage metrics and operational countermeasures with limited attention to consumer segmentation and psychological responses to locked merchandise. We examine consumer reactions to ‘caged servicescapes,’ retail environments where security measures constrain the shopping experience, and introduce the construct of ‘access friction,’ defined as the cumulative burden of time, discomfort, and perceived suspicion during shopping. Drawing on servicescape, exchange, service inclusion, and retail surveillance theories, a U.S. based survey of 311 consumers was analyzed using two-step cluster analysis, revealing two distinct segments: Inconvenienced Shoppers and Tolerant Shoppers. Findings indicate that locked merchandise, while effective in reducing theft, can erode trust, perceived fairness, and service quality, creating ‘revenue shrink’ that is rarely measured. By extending servicescape theory to account for constraining as well as enabling environmental cues, the study highlights how security-driven design choices can influence high-value shoppers’ behavioral loyalty. The results suggest that retailers should evaluate access friction alongside theft shrink, designing access-secure environments that protect inventory without alienating core customers.