Under lock and key

“Certain stores benefit from locking products,” said Jeff Garlow, president of New York-based Satisfyer, supplier of vibrators, massagers and other “toys” along with personalized, compatible apps. “But generally, it’s more of a sales deterrent than a protective measure. It’s a pretty private purchase. Often, if consumers don’t have ready access, they’re too embarrassed to find someone to open the case.”

[Read more: A new era in feminine care]

Carol Carrozza, VP of marketing for condom supplier Okamoto in Floram, N.J., believes margins and sell-through generated in self-serve environments outweigh any losses incurred from theft. “Numbers still don’t make sense when you lock it up,” she added. “It’s not like AA batteries. It’s so sensitive [that] consumers will go elsewhere.”

This is often true among shy teens and young adults, who may lack transportation and have only one store within walking distance. Locking up condoms increases vulnerability to unwanted pregnancies and STDs. “We market to millennials and Gen Z,” said Carrozza. “People aren’t talking to them about sexually transmitted infections. Today, we have the world’s highest rate of STDs.” Putting products behind glass also makes it difficult to read labels and view items. Unlike other categories, sexual wellness does not lend itself to eye-popping, supplier-sponsored displays and huge signage. “Inability to read labels is very prohibitive,” said Garlow. “It’s challenging to get the message out.”

This is particularly true of “toys,” whose suggested uses and configurations must be understood if consumers are going to shell out up to $100 for some items. “It requires education and research for people to decide what’s right for them,” said Lisa Tanzer, CEO of Beacon Wellness Products (formerly Clio), marketer of kegel trainers, vibrators and other pleasure devices.

Shrink is a huge problem for higher-priced items, which Tanzer believes are often re-sold online. “How do we prevent shrink but not impede purchasing?” she added. 

Locking sexual wellness merchandise also stymies competition with e-commerce, which represents 55% of category revenue and is the fastest growing channel, indicated Vision Research Reports. “Stores need to compete with Amazon and other online retailers,” said Michael Trigg, founder, CEO of Trigg Laboratories, which markets lubricants. Trigg said he has not seen any retailers lock products across all doors. “It’s location-specific based upon region, store size and demographics,” he added.

Potential Solutions

Retailers and suppliers are employing various methods to deter theft and improve POP education. Not all have been successful. Trigg, for one, has tried offering a shrink allowance to “move our product from behind glass,” said the CEO. “Often, we’re unsuccessful as it’s a category decision.”

With “toys,” she suggests using a window box so shoppers can view items. “People may not be well educated about them,” she added. Beacon is using more QR codes and product videos. “They must be able to read the box,” said Tanzer.

“These are things you can do on the shelf. If they must ask someone to retrieve products, they’ve already compared them.” But Trigg cautions that locked cabinets or internal shelving can block or hinder ability to read and scan QR codes.

Satisfyer spends time engaging shoppers outside the store social media and by contributing to articles in consumer publications. Emphasis is on psychological benefits of sexual wellness and potential uses of its toys. “Much outreach comes from media partners,” said Megwyn White, director of education. “We’re a resource for different types of sexual wellness questions. Sexual health facilitates sleep, improves the immune system and overall mental health.” Satisfyer also is exploring QR codes.

She cited a January article in Benches highlighting Satisfyer’s finger vibrators. “I was able to discuss erogenous zones that are generally missed. People often don’t know anatomy and it’s a barrier to entry. These connections help.” It is hard to say if retailers will continue to augment the number of locations where products are locked. “You can understand retailers not wanting to lose money,” said Tanzer. “Shrink is growing. But you don’t want to keep the category from people. We bring this up with retailers all the time.”