In some stores across Estonia, security camera footage is also monitored by artificial intelligence to analyze shopper behavior patterns. However, this technology is not yet widely used.
Retailers around the world are beginning to implement artificial intelligence to make it easier to detect shoplifting. When connecting AI to existing video surveillance systems, new cameras are usually not required and the algorithms analyze patterns of behavior that may go unnoticed by security staff.
The use of AI to monitor humans has raised privacy concerns, but the law does not distinguish between footage monitored by humans and footage monitored by AI.
“The General Data Protection Regulation (GDPR) and other laws governing the processing of personal data are technology-neutral. This means that the same principles apply regardless of the technology used. If data processing is legal without artificial intelligence, just because AI is used does not make it illegal,” the Data Protection Supervisory Authority explained.
The clearest legal boundaries concern real-time facial recognition. For example, stores are generally not allowed to use facial recognition systems that alert security when someone with a previous shoplifting conviction enters the store. As early as 2024, Estonian retailers had identified facial recognition cameras as a potential way to catch habitual shoplifters, but the Data Protection Supervisory Authority pointed out that the law does not allow their use for that purpose.
Several retailers across Europe have revealed they are using AI as part of their video surveillance systems. But interest has been relatively limited among Estonia’s largest retail chains, with Prisma being the only one to admit to using artificial intelligence in this way.
Prisma will use AI for surveillance starting in 2022
“Prisma uses artificial intelligence in its stores as a tool to support video surveillance. This is primarily to help identify potential anomalies in customer behavior and draw security personnel’s attention to situations that require further review,” said Alaa Orp, head of security at the supermarket chain.
According to Olup, the introduction of AI has improved breach detection and made the security department’s work more efficient. He said AI is particularly useful in situations where there is a need to identify behavior that deviates from normal patterns.
“At the same time, the system does not make the final decision on its own, as all results generated by the program must be reviewed and verified by humans,” Olp stressed.
He added that modern video surveillance and security systems increasingly support AI integration, with some solutions offering more advanced features than others.
The use of AI will not eliminate people from security work. “Human judgment is still required to confirm an incident. Security personnel must intervene if necessary, prepare the necessary documents, and hand over incident materials to the police if there is a violation,” the security chief said.
Maxima did not say how much AI it would use in its video surveillance system.
The company’s security chief said shoplifting and the methods used to detect it involve internal procedures and confidential information, and the company does not comment publicly. “We use AI to identify shoplifting incidents and system anomalies related to purchasing, cash handling, and similar activities,” said Janica Telasmer, sales and marketing director for the company.
Rimi, Selver and Lidl do not rely on AI for video surveillance
Marian Jarbela, communications manager at Selbar, said that the retail chain keeps up to date with the solutions available on the market and is introducing such technology, but has so far decided to continue using traditional video surveillance systems.
“When implementing such solutions, companies must take into account current data protection requirements. Companies have clear limits on the use of technological measures,” she said.
Madis Esmer, head of marketing and communications at Rimi, stressed that the chain does not use or test AI systems for video surveillance.
Lidl has also not adopted AI for video surveillance, although it has not ruled out introducing it in the future.
“Although our current security and surveillance systems already provide a consistently high level of safety for both customers and employees in our stores, we are always open to evaluating new technologies from national and international service providers. I would also add that, as Lidl is part of a large international network, we cannot exclude the possibility that such solutions will eventually be implemented here as well,” said Arvo Parve, security expert at the company.
Coop had not responded to ERR’s request for comment by the time this article was published.
Data may be leaked to third countries
The Data Protection Inspectorate noted that many AI-based solutions currently on the market may send processed data to third countries for further processing.
“In such cases, the requirements of the General Data Protection Regulation apply in the same way as for other transfers and processing of personal data. Where camera footage contains personal data, data controllers must ensure that the processing is lawful and that the rights of data subjects are protected. Depending on the solution used, this may include permanently blurring faces or using other technical measures to reduce the possibility of personal identification before the data is transmitted.”
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