New code means errors unlikely

Press, 7 June 1983, Page 16

New code means errors unlikely

Consumer watch

Anne Ingram

If the complaint cannot be resolved, either the re-

Last week I paid full price (83c) for a tin of peaches that had been advertised at the special price of 72c. The tin had a price sticker of 83c and this amount was duly rung up on the cash register by the checkout operator. In future, such mistakes will be unlikely to happen, thanks to a new code of practice for retailers using computerised checkout systems. The code is voluntary. It has been developed by the New Zealand Product Number Association, a grouping of manufacturers, wholesalers and retailers from the grocery and other industries, packers, printers and Sliers to those industries, 3 organisations, government departments and consumer bodies. The code was formulated to ensure that customers’ rights will be protected when computerised systems are introduced. Such a system removes the need for store owners to write the price on every grocery item. Each item has a product number (or bar code) that is read by a scanner at the checkout. The scanner transmits the number to an in-store computer, which instantly relays the price and descrip-

tion of the product back to the checkout. This information is simultaneously displayed on the cash register and printed on the customer’s checkout receipt. To ensure that the correct amount is charged, the code lays down detailed procedures to be followed by retailers using computerised checkout systems. First, the price of each product line must be clearly displayed and easily identifiable with the appropriate item on the shelf. All displayed prices should be printed in characters no less than 10mm in height. Consumers will be able to monitor all stages of the checkout process. When a symbol is read by a scanner, the system will emit an audible tone to confirm that the product has been successfully scanned. The consumer will also be able to see the

screen on which the price is displayed. A legible receipt must be provided. This will give a product description of each item and its price. Where possible the unit measurement or size will be printed. The receipt will also detail the total purchase price, the name of the store, the date of purchase and the receipt number. Such a receipt will give the customer an accurate record of purchases made, and could subsequently be used as a shopping list or price guide. Other requirements of the code will help to ensure that no descrepancies occur in pricing; for example, the customer should not be charged a price higher than the price displayed on the grocery shelf. © Stores will designate only persons of responsibility to effect and verify price changes.

• Under normal circumstances, any price changes will be made outside trading hours. • Where it is necessary to increase certain prices during trading hours (for example, if a delivery of out-of-stock items was charged to the retailer at a higher price), the new price display label must be placed on the shelf before the new price is applied to the item price file.

The item price file is retailing jargon for the active list of coded products stocked and the current price that the customer is charged. The store should also make a public announcement of the price change and give customers the opportunity to return the article. @ Where the store wishes to discrease the price of any item, the new price must be applied to the item price file before the amended price display labels are placed on the shelves. ® Should the price on the display label be lower than the price shown on the register display at the checkout, then the retailer must charge the consumer the lower

price. The retailer is required to issue a credit or refund equivalent to the difference. Of course, the consumer is unlikely to be aware of any price discrepancies unless shelf prices are noted and checked against the register screen or receipt But the New Zealand Product Number Association believes price discrepancies will not occur if the procedures laid down in the code are adopted by retailers. If a complaint about a price discrepancy is made, then the retailer must make an attempt to resolve the complaint to the mutual satisfaction of the customer and himself.

tailer or the customer can write to the N.Z.P.N.A. detailing the circumstances of the complaint and any action taken.

If the N.Z.P.N.A. is unable to arrive at a solution satis- ' factory to both parties within two months, the complaint will be further referred to a tribunal. -■

This tribunal will be ; made up of representatives from an appropriate trade . organisation, the Con- ■? sumers’ Institute and the • N.Z.P.N.A., and will endeav- > our to effect a settlement ?■

Although the code of . practice is a voluntary one ’ it is likely to be adopted by all retailers using computerised checkout systems. . Those who agree to abide by the code have the right to advertise that their store • operates under the 1 N.Z.P.N.A. Code of Practice. .. This will be an assurance * to customers that their interests are being protected . with the introduction of the new computerised systems. Supermarket chains are , expected to convert one location at a time as the ; opportunity arises and funds - allow. Those adopting the code will give their customers one month’s notice before . introducing the new pricing - system.