Research report · 2026 benchmark
The State of AI in Physical Security and Loss Prevention
How loss prevention, asset protection and security leaders are adopting AI-powered video — what it’s solving, where budgets are heading, and how confident teams are that they can respond to incidents in real time.
62%
have AI video deployed or in pilot
62%
expect AI video and security tech budgets to grow next year
3.5/5
average confidence in real-time detection and response
Based on a survey of 40 security, loss prevention and operations leaders, fielded September 23 – October 15, 2026.
What’s inside
Six chapters benchmarking where AI-powered video actually stands across retail and other multi-site operations — adoption, measured impact, readiness, money, and who signs off.
- Where AI video adoption stands. 20% fully deployed, 42% piloting, and when the 32% still evaluating expect to decide.
- What it’s solving — and is it working? 68% use it for loss prevention and shrink; 56% of adopters report a positive impact and none report a negative one.
- The real-time confidence gap. Only 38% rate themselves 4 or 5 on detecting and responding as incidents happen.
- Budgets and barriers. Where the money comes from across five budget lines, and why data privacy and compliance outranks proving ROI.
- Who leads, who decides. IT and Security lead evaluation 38% of the time; AP/LP makes the final call just 15%.
- The next 12 months. Where leaders expect the biggest impact, and where the freed-up monitoring hours actually go.
“We’ve reduced incidents by 80%, without any kind of human monitoring.”
Jeremy N., Sr. Manager of Operations & Maintenance