Tuesday 31 January 2012 2012 NRF Annual Convention & EXPO Watch highlights from the convention
Click here to view the whole list of blog entries pre and post event.
Thursday 26 January 2012 Food Bill Comment on the Food Bill featured heavily in the media over the holiday period. Particular concerns have been raised over the effect of the Bill on small businesses such as those running roadside stalls or operating farmers markets. Read more
Thursday 26 January 2012 Easter 2012 - Public holidays & non-trading days Good Friday, Easter Sunday and Easter Monday this year are observed on Friday 6 April, Sunday 8 April and Monday 9 April respectively. Read more
Thursday 12 January 2012 New grant for quake-hit small businesses A new grant for small businesses with fewer than 10 employees is on offer to help pay for the professional services they need for their post-quake recovery. Read more
Wednesday 11 January 2012 Commerce Commission dealing with daily deal sites at the source The Commerce Commission has stemmed a growing tide of complaints about daily deal and group buying websites with a proactive approach to educating the websites about consumer law. Read more...
Monday 28 November 2011 An update from the Ministry of Consumer Affairs The Ministry of Consumer Affairs has the overarching responsibility for regulating general consumer product safety in New Zealand. This remit presents many challenges given the number and diversity of products involved. The Ministry has a preference for working with business to ensure consumer products are safe. The media take a keen interest in product safety, especially where children are involved and/or when there have been incidents and injuries. Read more...
Monday 28 November 2011 BBQ fire lighter danger An Auckland variety store was recently damaged by fire. It was started by a child who had picked up a gas powered BBQ lighter in the shop and set alight a Christmas decoration display. The child was burned and others in the store who breathed in the smoke were treated by ambulance staff. Read more.pdf
Monday 21 November 2011 Recent Developments to Address the Trade in Counterfeit Goods Two significant milestones were reached by Government in recent months to address the growing illegal trade in counterfeit goods. Read more...
Monday 14 November 2011 Are you ready for Christmas? and Retail Christmas Security and Loss Prevention Preparedness Find out what you will need to know over this Christmas time with regards to public holidays, security and loss prevention. Read more...
Monday 7 November 2011 Amended Gas Safety Regulations - Application to Canister Appliances. The Gas (Safety and Measurement) Regulations of 2010 introduced a new regime for gas appliances that supplemented the existing ‘on-line’ supplier declaration scheme by the addition of requirements for certification, and the labelling of appliances with a flame symbol having commonality with the symbol proposed for adoption in Australia. Read more...
Monday 10 October 2011 Counterfeit Goods The Government has recently made two announcements that will be of interest to importing retailers:
The institution of new powers to the Ministry of Economic Development and the Customs Service to investigate and prosecute people involved in the manufacture, importation and sale of illegal goods, and
The signature of an International Anti-Counterfeiting Trade Agreement that aims to curb the growing trade in counterfeit and pirated goods.
Thursday 22 September 2011 Electronic transactions Download the position statements which have been signed off by Visa and MasterCard respectively. We felt that there was a certain amount of confusion in the market place around what transactions would carry an interchange fee and which ones wouldn’t. This was going to be further confused as new products came to market and we felt it was most important that all of our members had a clear understanding of the market reality. Read more...
Wednesday 7 September 2011 Paymark Network Ready As tourists from all over the world arrive en masse for the Rugby World Cup, Paymark is advising that its network is ready to handle the increased payment activity, but reminds merchants that due to the diversity of international card types and the way they are processed, there will be a few things to keep an eye out for at the point of purchase. Read more...
Thursday 25 August 2011 Retail sales increases Retail sales increased by 4.1% in the April-June 2011 quarter compared to April-June 2010. When motor vehicles are excluded, general merchandise sales increased by 3.1%.
Retail sales increased by 3% in the July 2010-June 2011 year compared to the same period in 2009-2010.
The retail results for the September 2011 quarter will be published on 14 November 2011 Please note that this release contains specific information on the ongoing impact of the 22/2/2011 earthquake on Christchurch retail industries.
Monday 15 August 2011 Product safety alert: bunk beds not meeting standards The Ministry of Consumer Affairs is advising consumers to be careful when choosing bunk beds. A recent screening test carried out by the Ministry showed that none of the bunk beds examined met the voluntary safety standard. Read more...
Thursday 4 August 2011 All synthetic cannabis products to be banned Law to ban synthetic cannabis products will be in place by Friday, and all 43 current products are expected to be out of shops just over a week later, Associate Health Minister Peter Dunne announced today. Read more...
Monday 1 August 2011 Progress on the Food Bill The Food Bill provides a much needed modernisation of New Zealand’s food safety legislation. It provides the framework for an efficient, effective and risk-based regulatory regime for managing the safety and suitability of food produced, processed, manufactured, traded, transported and imported to New Zealand. Read more...
Tuesday 26 July 2011 Product Safety In mid July 2011 The Association hosted a meeting with the Ministry of Consumer Affairs (MCA) and the major supermarkets and chain stores on a range of product safety issues. Read more...
Monday 25 July 2011 Retail Crime In mid July 2011 the Association hosted a meeting of our Retail Crime Prevention Group (RCPG) in Auckland. Meetings are held quarterly, with a representative from the New Zealand Police in attendance. Read more...
Wednesday 29 June 2011 New rules for dental whiteners The New Zealand Dental Council and the Ministry of Health requested a rule change in response to concerns that tooth whiteners containing hydrogen peroxide may cause irritation to gums and tooth sensitivity. Excessive use may cause more severe effects. Read more...
Thursday 30 June 2011 Privileged Statement Under Section 98 of the Medicines Act Director-General of Health Kevin Woods today warned retailers to remove from their shelves a brand of herbal smoking product called Kronic Pineapple Express because it contains a prescription medicine. Read more...
Wednesday 1 June 2011 Viaduct's EFTPOS Emergency rescue offer With the deadline for eftpos upgrades expiring today, there will be some businesses that haven't upgraded. Hence Viaduct have set up a process whereby a business only need call 0800 484 238 and ask for the rescue package. Once the Viaduct forms are signed, a fast courier will bring the terminal to the customer and get them up and running within 4 hours. Viaduct guarantee discounts if they do not make it within this time period. Read more...
Thursday 19 May 2011 2011 Budget Analysis by Business NZ The New Zealand Retailers Association are members of Business New Zealand’s Associated Industries Group. Our membership provides an avenue for us to feed retail sector views directly to this cross business-sector lobby group, but additionally allows us to draw on their many resources – including economic analysis. The following is a detailed summary of the 2011 Budget announcements prepared by Business New Zealand, with which we concur. We would welcome your views on these observations and outlook. Read more...
Thursday 12 May 2011 Regulations for external power supplies effective 9 June New minimum energy performance standards (MEPS) for external power supplies have now been passed into regulation.
This follows a comprehensive consultation process looking at ways to encourage an increase in efficiency of external power supplies. The new regulations will come into effect on 9 June 2011. Read more...
Thursday 12 May 2011 Regulations for set top boxes effective 9 June New minimum energy performance standards (MEPS) for set top boxes or digital receivers have now been passed into regulation.
The MEPS covers simple set top boxes - digital recorders and MPEG4 units are not covered by the MEPS. The introduction of this MEPS follows a comprehensive consultation process looking at ways to encourage an increase in efficiency of set top boxes.
EECA appreciates the input, cooperation and patience from industry. The new regulations will come into effect on 9 June 2011. Read more... Thursday 5 May 2011 Consumer Law Reforms Update In May we expect to see the Consumer Law Reform Bill introduced to parliament. The Cabinet Papers and Decisions, as well as a Q&A sheet are now available on the Ministry of Consumer Affairs Website.
Friday 15 April 2011 New regulations for external power supplies Minimum Energy Performance Standards (MEPS) for external power supplies (often known as a.c. adaptors, plug packs or power-packs) are expected to be regulated shortly. It is expected that the MEPS will be effective in May. Once regulation comes into force, external power supplies will need to meet the requirements of the Standard AS/NZS 4665.2:2005. Read more
Thursday 7 April 2011 NZRA National Conference a huge success
The New Zealand Retailers Association (NZRA) National Conference held at the ASB Showgrounds yesterday (6 April) was an excellent day, enjoyed by senior executives and heads of major retail industry companies and suppliers.
John Albertson, CEO of the NZRA was blown away by the enthusiasm of the crowd and the insights that the speakers shared with the attendees. “It’s not often you see the Managing Director of one of New Zealand’s largest retail chains, borrowing paper from the person next to him, to take more notes.' Read more.
Friday 25 March 2011 Free online guide gets businesses "Match Ready" Auckland businesses now have free access to a wealth of information and resources to help them prepare for Rugby World Cup 2011, with the launch of Auckland's Match Ready for Business programme.
The online guide has been developed by Auckand Tourism, Events and Economic Development Ltd (ATEED) on behalf of the RWC 2011 Auckland Co-ordination Group. Read more
Monday 14 March 2011 Retailers' eftpos machines disconnected Approximately 400 eftpos machines around the country will be disconnected from the Paymark network resulting in those retailers being unable to process eftpos transactions from today.
The disconnections come as a result of retailers who, despite months of warning, have not upgraded out-of-date terminals. The terminals now pose risks to the safety and security of transactions. Read more
If you would like any advice or information on updating your terminal please contact our preferred eftpos partner Viaduct on 0800 484 238.
Friday 11 March 2011 Canterbury Earthquake Commemoration Day Public holiday - Friday 18 March 2011 – Northern and Central Canterbury
Government has passed legislation to provide for a one-off public holiday on Friday 18 March 2011 to be observed in those parts of Canterbury that observe Christchurch Show Day as their Anniversary Day. This will extend to Northern and Central Canterbury, but not Southern Canterbury.
There are no trading restrictions, so you may open, but usual public holiday rules will apply as follows.
Where a public holiday is observed on a day that would 'otherwise be a working day' for an employee, they are entitled to either: - Have the day off and be paid the 'relevant daily pay' rate for the day, or - If required to work, to be paid for the time worked at not less than time and a half and also to be granted an alternative holiday on pay (day in lieu) to be taken at a later time.
In other cases where an employee accepts work on a holiday that was not a normal working day for them, they are entitled to payment for the time worked at the rate of time and a half but are not also entitled to an alternative day. Tuesday 22 February 2011 22 February 2011 Canterbury Earthquake As we receive updates following the new earthquake we will post information on our Christchurch Earthquake page.
If you are a member you can speak to our employment and consumer advisors Kathy Owen or Roy Hanrahan, or our leasing advisor John Starr on 0800 472 472. You can also speak to Brian Finlayson our Central and Southern Regional Manager on 0800 472 472 or 027 475 0410.
Update from Paymark regarding impact of calls to the PSTN network "This afternoons Christchurch earthquake has resulted in some delays to services on the Telecom Network. The Paymark EFTPOS network is fully operational but Merchants who connect to it via dial up around the country may experience delays due to overloading. All people are being encouraged to only use phones if absolutely necessary.
We encourage merchants to please bear with us as we work in partnership with Telecom to minimize the impact to businesses on dial up connections." Paymark
Minimum wage rate increase 1 April 2011
The Government announced on 7 February that the statutory minimum wage rate will increase from 1 April 2011.
The adult rate, applying to employees 16 years of age and over, will increase to $13.00 per hour. The new entrants’ minimum wage rate and the training rate for employees on registered training agreements are both set at 80% of the adult minimum wage and so will rise to $10.40 from 1 April 2011.
There is no minimum rate for employees aged 15 years or under.
The new entrants’ rate may be paid only for the first 200 hours or three months of a 16 or 17-year old’s employment (anywhere) and will not apply to young people who are supervising or training others. For more information members can ring our Advisory team on 0800 472 472.
Tuesday 21 December 2010 Pike River Mine Calendar available for retailers to sell To help fundraise money for the Pike River Mine disaster Ancoprint are looking for retailers to stock the fundraising Calendar. $10 from every sale will go to the Pike River Mine Trust. A list of all retailers stocking the will go on the Website and Facebook. There will be press releases surrounding the release of the calendar and they currently have 100,000 people supporting the campaign.
The sale price of the calendar is $35 RRP with $10 going to Trust.
A Reminder about Lead in Toys On the run up to Christmas this year, the Ministry of Consumer Affairs has undertaken a series of screening tests for toys and other products aimed at children. Click here to read more about lead in toys.
Rhodium plated jewellery and the Fair Trading Act Late last year the Commerce Commission took an interest in a dispute regarding rhodium plated jewellery. Subsequently, on 20 December, the Commission issued a media release reminding the jewellery industry to ensure full disclosure on rhodium plated jewellery. Click here to read the commerce commission media release on jewellery.
Monday 29 November 2010 Employment law changes The Employment Relations Amendment Bill (no 2) 2010 and the Holidays Amendment Bill 2010 were both passed by parliament last week. View a summary of the employment law changes.
New Zealand Retailers Association Conference 2011 Wednesday 6 April 2011, ASB Showgrounds, Auckland The New Zealand Retailers Association is pleased to announce our upcoming National Conference. It will be held on Wednesday 6 April at the ASB Showgrounds, Auckland. We will be bringing you an exciting line up of speakers addressing a range of retail topics.
Please save the date, make your travel arrangements and we look forward to seeing you at the retail event for 2011. More information to come soon.
Monday 15 October 2010 NZRetail has got it covered Tangible Media is proud to announce that NZRetail magazine has won the Best Business & Trade Cover category at The Maggies 2010, the inaugural New Zealand magazine cover awards. Click here to read more
Friday 8 October 2010 GST Fractions For those of you who are still having a few problems working out GST click here for examples
Monday 4 October 2010 Canterbury Earthquake Update - Checklist From recent visits to Christchurch by Brian Finlayson, the Association’s Southern and Central Regional Manager, some issues were identified as the main concerns for our Canterbury member retailers following the earthquake. Click here to view the issues
Monday 4 October 2010 A guide to supplying safe gas appliances and fittings Energy Safety has published "A guide to supplying safe electrical and gas products", which provides information on safety and compliance requirements for manufacturers, importers, suppliers and traders of electrical and gas appliances and fittings. It also outlines the compliance and enforcement programme implemented by Energy Safety. Click here to view the document on the energy safety website.
Monday 20 September 2010 Terminal Upgrade Paymark Competition Anyone who upgrades their eftpos terminal from a 5.1 to a 6.0 on the Paymark switch between September 15 and November 30, 2010 will automatically go into the draw to win amazing prices with MasterCard. Click here to view competition details.
Wednesday 8 September 2010 Earthquake Support Subsidy The Government has announced a subsidy for small businesses to assist them to pay wages for those employees who were prevented from working as a result of the earthquake.
A payment is available for employers with fewer than 20 staff to assist them to pay their employees if they are unable to open for business or have reduced capacity following the earthquake. Read more... Monday 6 September 2010 Christchurch Earthquake Canterbury businesses will face many issues following the earthquake - employers and employees alike.
Major Events Management Act 2007 The Ministry of Economic Development have put together the following guide which is intended to provide general guidance on the Major Events Management Act 2007 and how it contains certain protections for Rugby World Cup 2011 (RWC 2011), to prevent unauthorised commercial exploitation and to ensure the smooth running of RWC 2011. Read more
Wellington GST Seminar - Friday 13 August 2010 The New Zealand Retailers Association has organised a Wellington seminar on the impact of the GST increase. This seminar is a must for all retailers as it will help you understand the key economic and practical issues that will impact on your business as a result of the GST rate increase. Click here for more information.
2 August 2010 - Proposed Employment Law Changes The planned changes announced by the Government on Sunday 18 July are reportedly tailored to reduce compliance costs, give businesses more confidence to take on new staff, help resolve workplace disputes faster and provide more choices for employees and employers. Read more
6 July 2010 - Government takes offensive against knife crime Justice Minister Simon Power has announced a package of initiatives to address New Zealand's emerging knife crime problem. To view the reducing crime press release click here
Auckland GST Seminar -Tuesday 6 July 2010 GST will increase to 15% on October 1, 2010. That's just three short months away are you prepared for the change? Do you have a plan and understand what is required to implement this change? This seminar is a must for all retailers. It will help you understand the key economic and practical issues that will impact on your business as a result of the GST rate increase.
We have two excellent speakers who are Brendan O'Donovan, Chief Economist Westpac and Michael Prasad, Chartered Accountant, Director of MPG Ltd and Chair of Auckland Branch of NZ Institute of Chartered Accountants.
To find out more and to register click here 2 June 2010 - GST Tourist Refund Scheme A summary of the NZRA's involvement in advocating for a GST refund for Inbound Tourists has been released.
GST – The New Calculation In the past retailers wanting to calculate gross margin started with the ideal shelf price including GST, divided by 9 and multiplied by 8 to get back to the GST exclusive price.
For example: Shelf price $49.95 Divide by 9 / Multiply by 8 = $44.40 = GST exclusive price Check calculation $ 44.40 x1.125 = $49.95
What factors do we use in the new regime? There are two ways of approaching this for 15% GST: 1) To get back to the GST exclusive price we would divide by 7.67 and multiply be 6.67. For example Shelf price $49.95 Divide by 7.67 and multiply by 6.67 = $43.43 = GST exclusive price Check calculation $43.43 x 1.15 = $49.95
2) Alternatively we can simply take the shelf price and divide by 1.15 - $49.95 / 1.15 = $43.43
It is the GST exclusive price that the gross margin calculation should be based on and the cost price should be similarly treated. April 2010 - Are you ready for your slice of the action New Zealand is gearing up for its biggest event in years and your eftpos terminal needs to be ready. Having the right terminal keeps payments secure, reduces the likelihood of credit card fraud, and provides your customers with a reliable payment solution. Read more...or find out whether you have the right terminal at www.areyouready.co.nz.
Tuesday 27 April 2010 - Law Commission releases comprehensive report on review of the Sale and Supply of Liquor The Association attended a stakeholder briefing by the Commission prior to the public release and tabling in Parliament of it's report "Alcohol In Our Lives: Curbing the Harm". A summary of the Report (LawComm-report SUMMARY), and a summary of the 153 recommendations (LawComm-report FINAL Recommendations) from the Commission are available.
Monday 26 April 2010 - Christchurch 2010 TOP SHOP® Retail Excellence Awards The search for Christchurch's top retailers is set to begin next week. Following a two year absence, New Zealand’s leading retail excellence awards, TOP SHOP®, kicks off in Christchurch on Monday 3 May with the organizer, the New Zealand Retailers Association, calling for entries from all Christchurch shops. Read on...
April 2010 - Changes to the electrical and gas regulatory regime The Ministry of Economic Development has provided the following advisory over changes to the electrical and gas regulatory regime. Read on...
Thursday 25 March 2010 - Easter Trading laws from the Department of Labour In the run-up to Easter the Department of Labour is advising retailers to ensure they are familiar with the law that restricts shops from trading on Good Friday and Easter Sunday. Easter trading media release 2010. For more information on Easter trading, NZRA members can click here to view the Shop Opening Hours circular.
Tuesday 10 March 2010 - Shopping behaviour to change as a results of new marketplace realities, according to PricewaterhouseCoopers and Kantar Retail The new report identifies a shift in shopping behaviour; need for retailers and suppliers to adapt to more conscious, practical consumerism. Read on...
Tuesday 2 March 2010 - Employee Probation period could rise The Government has floated a proposal to increase the 90-day probation period for employees in small firms as part of a planned revamp of personal grievance rules. Read on...
Thursday 25 February 2010- Financial Reporting The Commerce Minister today announced that non-issuer companies would not be required to file financial statements with the Registrar of Companies. The Association welcomes this announcement, which is line with the recommendations in our submissions to the Ministry of Economic Development's Framework for Statutory Financial Reporting.
Additional compliance burden aside, the rights to privacy and commercial confidentiality were fundamentally at risk had the proposals proceeded. Today's announcement provides us with confidence that commonsense continues to prevail.
Monday 22 February 2010- Employment Grievances Law Review The Government announced that it shares concerns from many quarters about the fairness and consistency of personal grievance decisions and will shortly be releasing a discussion document on ways to improve their fairness and certainty and, if necessary, will introduce amending legislation. Currently the grievance process is unreasonably process driven. If the process is flawed so, generally, is the dismissal no matter how justified. It’s the old form over substance chestnut that the New Zealand Retailers Association welcome the opportunity to crack.
Friday 12 February 2010 - December Sales Results Statistics New Zealand recently released their retail series for the December month and the December quarter.
Let’s consider the month first – the Christmas trading period. We were all aware that Christmas shopping was true to form and came with a rush over the last 10 days or so. However, the rush wasn’t strong enough to give us the growth we were looking for as an industry sector. We had been hoping to get to around 3.5% compared with December last year but we only managed 2.3%. In fact, the core retailing group (excluding the vehicle related categories) only gave us growth of 1.7%. When the December growth was viewed on a category basis there was some indication that the lack of turnover growth may have been partially reflective of intense competition, lower prices and that the volume of sales may have performed better. On a regional basis Wellington and Canterbury were the poor performers.
When we look at the quarterly data the December quarter was up 1.6% overall and the core retail group was up by 2.4%. There was mixed performance by sector with supermarkets/grocery stores, recreational goods, liquor and appliance stores doing better than average and department stores, furniture and floor coverings and footwear all down. While takeaway food was up, accommodation, bars and clubs were down. Cafes and restaurants were the star performers at 7.8% growth on the December quarter last year. Wellington was the region under the greatest pressure recording a 4.9% decrease compared with last year.
One pleasing aspect of the numbers was that the sector appeared to have stock under better management with most store types showing a decrease in stock at the end of December last year compared with the end of the previous year.
GST – The Proposed Move To 15% In Prime Minister John Key’s opening speech to Parliament he indicated that one of the possible tax revisions being considered was to increase the GST rate from 12.5% to 15%. This would be supported by other appropriate tax reductions and benefits to ensure that nobody would be worse off, but the focus for taxation would shift from earnings to consumption.
This sounds pretty simple. Or is it? What do retailers need to think about?
1) Past experience has clearly demonstrated that in the month leading up to the GST increase, retail sales go mad and in the month after, sales go down. Retailers need to recognise this when ordering from suppliers.
2) Changing all of the shelf prices in a large store is not a five minute exercise – as the rate will be 12.5% one day and 15% the next. This exercise needs to be completed overnight.
3) Pricing needs to be considered – a $49.95 price point increases to $51.06. This is not a sensible price point. What will each retailer do about their pricing? Will this be inflationary?
4) How much lead time will we get or need? Consider the chains that get their product price tagged at the manufacturing source, when do we need to know what is happening to ensure that these products only need to be priced once?
5) It’s not only shelf prices that will need to be changed – what about printed brochures, websites, signage, etc?
6) An increase in GST makes the local retailer even less competitive against the off shore e-retail site. At 15% we need to be thinking of ways that all personal imports can be subjected to GST so we have a level playing field.
7) What about our tourists? Many countries (e.g. Australia, Singapore, Canada, UK) have a GST/VAT refund scheme for tourists taking significant goods out of the country. Unless we adopt this practice we will see even more of the tourist dollar going elsewhere.
8) There has already been talk of exemptions – leaving aside the level of GST for a moment it is fair to say that the system of no exemptions that we have works really well. We do not want the complexity of an exemption regime.
So we have plenty to think about. The Association will be making representations to Government to ensure that any change in the rate of GST considers all of the points above and results in minimal disruption for the retail sector. After all we are the Government’s tax collectors.
If you have any thoughts on these issues please let us know. We hope to have our first draft completed in the next couple of weeks so we need your input now. Please don’t delay in responding, contact Louise Evans levans@retail.org.nz.
27 January 2010 - Minimum wage announcement - Minister of Labour Kate Wilkinson today announced an increase in the Minimum Wage from $12.50 to $12.75 effective 1 April 2010. Click here to read more. The Association submitted to retain the rate at its current level. You can read our submissions NZRA Submission on Minimum Wage Review 2009.
12 January 2010 - Warning about PIN scam pair Three Wellington retailers have been hit in a credit card Pin scam.Read on...
Credit Card Interchange Fees - a new competitive landscape. The settlements between the Commerce Commission and Visa, MasterCard and, as announced today, separate settlements with seven Finance Institutions, are a significant development for the retail industry. Read the Commerce Commission's press release. The Association has in the past managed to secure on behalf of its membership, preferential rates for acquiring, and we are excited at the opportunities now open to us as a result of the settlements. We will kee
