In the land down under, where the sun scorches and the beaches beckon, there's a new heatwave hitting consumers right in their wallets. It's the rising trend of surcharges, and it's causing quite a stir among the Australian public. A recent incident at a Perth convenience store has thrown this issue into the spotlight, igniting a debate about the fairness and legality of these additional charges.

The store in question displayed a sign that left customers scratching their heads in disbelief. It read: '50 cents cold drink surcharge for 1 litre and above.' This meant that if a thirsty customer picked up a 1-litre drink priced at $2, they'd be forking out an extra 50 cents at the register, bringing the total to $2.50. While some Aussies are up in arms, calling the pricing 'unclear' and 'deceptive,' experts are weighing in, saying it's part of a broader trend that's sweeping across various industries.

Dr Jun Yao, a Senior Lecturer in Marketing at Macquarie Business School, explained to Yahoo News Australia that surcharges are becoming increasingly common, especially for smaller businesses grappling with inflation and rising operating costs. 'For businesses, surcharges are a way to justify higher prices to consumers, even though they know consumers may view them as sneaky,' he said.

A '50 cents cold drink surcharge' for drinks over 1 litre was noted by a shopper, sparking debate over added checkout costs. Credit: Reddit

The reaction to the surcharge was mixed, with some calling it 'insane' and others questioning its legality. 'You can't have two prices on the same product,' one Aussie argued. However, Dr Yao clarified that 'surcharges for cold drinks are not new' and are perfectly legal as long as they are clearly displayed.

Angel Zhong, a finance lecturer at RMIT, supported this view, stating that businesses have the right to add reasonable surcharges, provided they are transparent with customers. The Australian Competition & Consumer Commission (ACCC) mandates that businesses must communicate the total price payable before purchase to avoid misleading customers.

In the case of the Perth store, the surcharge is likely an attempt to recoup the additional costs of refrigeration. This practice isn't unique to small convenience stores; even supermarket giants like Coles and Woolworths have different prices for chilled and room-temperature beverages.

The conversation around surcharges is heating up, with a government crackdown on card surcharges in the works, potentially banning them by 2026. Treasurer Jim Chalmers and Prime Minister Anthony Albanese have expressed their commitment to easing the cost of living and protecting Australians from unnecessary expenses.

So, what does this mean for you, our savvy seniors? It's a reminder to keep a keen eye on the fine print and to question charges that don't seem to add up. If you encounter a surcharge that seems unjustified, don't hesitate to reach out to your local fair trading or consumer affairs agency or even the ACCC.

We'd love to hear your thoughts on this issue. Have you noticed surcharges creeping into your everyday purchases? Do you think they're a fair way for businesses to cover costs or just another way to nickel and dime consumers? Share your experiences and opinions in the comments below, and let's navigate this trend together. After all, every cent counts when you're enjoying the golden years!

Key Takeaways

• A Perth store shopper noted a '50 cents cold drink surcharge' for drinks over 1 litre, sparking debate over added checkout costs.
• Experts say surcharges are becoming common as businesses face inflation and higher operating costs, but they must be transparent.
• The ACCC underscores that businesses can apply surcharges, but they must not mislead customers and must display the total price.
• There's a government crackdown on card surcharges in progress, aiming to ease costs for consumers and small businesses by 2026.

 

[Charlotte59]

This practice may be new to some, however, i do remember a time when to buy a cold drink would cost more than a drink off the shelf. I can't remember what decade it was but it did happen. Maybe the small business owners should just add the extra on and say nothing.

 

[Veggiepatch]

And then at the checkout....you pay more again if you use a card rather than no more if you pay with cash.
Also our local IGA has been charging more for cold drinks than hot off the shelf for 20 years or more.

Typical IGA.

 

[Veggiepatch]

The shape of things to come?

TOASTED SANDWICHES

HAM AND CHEESE $8.50

(TOASTING $1.OO EXTRA)
​

 

[Leoniey]

There was nothing in the post about this surcharge being for using a card. It was the size of the drink bottle you bought. Another simple solution - buy 2 x 500ml bottles instead of a 1 litre. Same amount of drink without the surcharge.

might be the same amount of volume but I bet the cost would be considerably more than paying the 50c surcharge

 

[Towing]

I believe there is some products, if cold GST is payable.
Also if you bought a hot roast chicken GST was applicable it they cut it up for you. That came from a store manager who objected to the GST surcharge.

 

[Towing]

I read an article that stated that the Reserve Bank has approached the Aust. Govt to make a law banning the surcharges. Some taxis encourage you to pay by card, then hit you with a surcharge.