Retail Office Supplies and Gifts Business Guide
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All 27 Documented Cases
Employee Fraud in Loyalty Point Exploitation
1-3% of program value (AUD 2,000 - 10,000/year for AUD 500k spend loyalty pool)Programs like those in Office National allow points redemption for high-value gift cards (e.g., Apple, flights), vulnerable to insider abuse without digital tracking.
GST Unbilled Loyalty Rewards
AUD 1,000 - 10,000 per year in unbilled GST (10% of AUD 100k program value at 10% redemption rate)Loyalty programs involve accruing points on purchases and redeeming for gift cards (e.g., Woolworths, Bunnings). These redemptions trigger GST without invoice, causing revenue leakage if not captured in BAS.
Churn from Delayed Loyalty Reward Fulfilment
2-5% customer churn (AUD 5,000 - 20,000 lost sales/year per 100 clients)Points-based systems require manual checks for gift card issuance, leading to poor UX and lost B2B loyalty.
Kundenabwanderung durch unklare oder zu restriktive Rückgaberegeln
Quantified (logic-based): If a mid‑size office supplies retailer has AUD 20 million annual revenue and return‑related friction drives away 1–3% of customers (based on typical retail churn from poor service), the lost revenue is AUD 200,000–600,000 p.a. Even assuming a 30% gross margin, this equates to AUD 60,000–180,000 in lost gross profit annually.Industry guidance to retailers stresses that customers do not need a store receipt if they can otherwise prove purchase (e.g. credit card statement, order confirmation), and that original packaging is not mandatory for returns where goods fail consumer guarantees.[4] It also clarifies that retailers are not legally obliged to offer 'change of mind' refunds, but if they choose to, policies must be clear and prominently displayed.[4][6][7] Inconsistent application—such as some staff insisting on original packaging for faulty goods, or refusing refunds despite adequate proof of purchase—triggers complaints and reputational damage. Conversely, some competitors like Officeworks advertise generous change‑of‑mind policies (e.g. 30‑day returns with proof of purchase and resaleable condition) and strong satisfaction guarantees for print and copy products, including free reprints and delivery fee refunds, which can attract dissatisfied customers from stricter retailers.[1] Over time, friction in the returns experience converts directly into lost basket size and lower visit frequency from small‑business and education customers.