Valentine’s Day is almost here. Consider setting up a pet display now, or you might miss a good opportunity. This may sound counterintuitive, but over the last 15 years, we have seen a massive change in consumer behaviour. Industry data and our sales analysis show a significant increase in pet spending among consumers celebrating Valentine’s Day. Today, many purchase gifts for their pets, and most of those are on impulse, right at the last minute.

This Trend is Real (and Accelerating)

Our industry data confirms this isn’t a fad. In 2020, we estimated that approximately 20% of consumers purchased Valentine’s Day gifts for pets. Other POS Companies do not see it, but we do, thanks to our unique ability to analyse big data. Today, when I checked, I saw projections for 2026 indicate this has risen notably to about 35%.

Experts say this growth is stimulated by the “humanisation” of pets. As birth rates decline and people delay having children, owners increasingly view their pets as family members deserving of holiday recognition. In Australia specifically, engagement is often even higher, with some surveys suggesting up to 80% of pet owners buy gifts for their “fur babies”.

The Opportunity for Your Location

This is where your specific location might come in handy. If you are in a family-oriented hub or suburban centre, you have a distinct advantage over big stores, as your customers are likely already in your shopping centre purchasing their weekly groceries. They are in “chore mode,” but they are also seeking small emotional boosts. This presents a clear opportunity to leverage your greeting card and gift sections to drive impulse purchases.

If you sell gift lines, adding small, low-cost pet items serves as an easy “add-on” for these customers. These people are unlikely to make a special trip to a pet warehouse to buy a $10 toy for their pets, but they may buy while lining up for the Superdraw ticket this week. $80 million is quite a drawcard. Do not underestimate the draw power of the lotto in a shop.

What You Can Do Today (Using Existing Stock)

You don’t have time to order new stock. You need to merchandise what you have to capitalise on this pet economy immediately.

1. Greeting Cards: The “From” Factor

Prominently display pet-related cards. The ones I like are:

• For the Pet: (e.g., “To My Dog”).
• From the Pet: These are working and becoming increasingly popular. Find any cards that say “Happy Valentine’s Day, Dad, Love the Dog” and move them to eye level.

2. Books: Highlight Pet Titles

Don’t leave pet books in the hobby section. Move them to the front counter display.

• Cookbooks: Look for titles on dog treats
• Stories: Heartwarming titles for pet lovers.

3. Gifts: The Counter Impulse

Since you sell gift lines, consider adding small, low-cost pet items, such as plush toys or treats, near the POS system. These serve as easy impulse buys. If you have any red plush toys, heart-shaped items, or small curios, re-purpose them as “Pet Gifts” with a simple handwritten sign.

Why This Category is “Safe”

This segment is resilient. Even when consumers cut back on other discretionary spending, they often continue to treat their pets. It is a safe category for your store to expand into because the “guilt factor” of leaving the dog out is a compelling motivator.

Use Your POS to Track the Rush

Even at this late stage, your POS system remains vital.

• Watch the Velocity: Keep an eye on your sales reports over the next 48 hours. If the “From the Dog” cards are selling out, move the remaining stock to the absolute front of the rack.
• Capture the Data: Ensure these sales are recorded correctly now so that next year, you aren’t guessing—you’ll have hard data on exactly how big the “fur baby” rush was in your specific suburb.

It’s not too late. The customers are walking past your door right now. Put the dog books on the counter, flag the pet cards, and capture additional sales.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

I was reading when two men posing as delivery drivers tried to bust into a coin shop in Clayfield, Queensland, with hammers last month. They hit the owner with a hammer, and the 68-year-old owner, Andrew, was quickly fighting for his life. Check the video. He barely managed to push them out. Then he grabbed a machete to defend himself. He was lucky his neighbours heard the commotion and rushed over to help. When the offenders saw the neighbours, they fled.

Unfortunately, many shop owners will not get that chance. There were 800,000 retail crime incidents in 2025. Violent events jumped 66% year-on-year.

Now, What If No One Heard You?

Thieves look for when you are most vulnerable. They will try to ensure no one is close enough to hear them. For many shop staff, that's the real risk. With retail crime involving weapons up 66% in 2025, say they are working late when someone suddenly threatens them, shouting may not bring help quickly enough.

You need a way to call for help. Most phones have emergency buttons. They are, in practice, cumbersome to use. You have to reach for the phone, find the right spot, and send an alarm. For this reason, few set it up.

The "Better Than Nothing" Reality Check

Let’s be honest: a dedicated, professionally monitored hidden silent alarm from a security company is the gold standard. If you have the budget for a 24/7 security team watching your back, stick with it. It is the best protection money can buy.

But for many independent shops, that ongoing expense is hard to justify. Does that mean you should go unprotected? Absolutely not.

This is where your POS System panic button fits in. It is infinitely better than being isolated with no way to signal for help. It bridges the gap, ensuring that even without a security contract, you are never truly facing a threat alone.

Don't Have Emergency Protection Yet?

Setting up an emergency alert button in our POS software is easy. Once set up, it sits in the cash register and sends instant SMS or email alerts to your nominated contacts when activated.

Using a Retail Panic Button Inside Your POS System Offers Distinct Advantages

• It’s Discreet: Most of the time people are in front of the POS System, they quick press a button and its sent.
• It’s Always There: You can't lose it, and it never runs out of batteries. As long as your POS system is on, your protection is active.
• Faster Response: In a confrontation, every second feels like a minute. Because you are already facing the screen, you can trigger the alert instantly without moving your feet.

How Retail Emergency Alert Systems Work in Your POS

Here is how our POS-integrated feature works in practice:

1. The Trigger: On your POS sales screen, there is a dedicated, discreet button.
2. The Silent Action: When you press the button, the screen does not flash or make a noise. To the customer (or the thief), it looks like nothing happened. However, in the background, the system immediately sends a digital "duress" signal via your internet connection.
3. The Response: Your nominated contacts, such as the business owner, a manager, or neighbouring shop, receive an instant notification (via SMS or email) that the duress alarm at "Register 1" has been activated. They can then call 000 or come to check on you.

Practical Tips for POS Safety

To get the most from your panic button for small business safety, follow these simple tips:

• Staff Training: Train your staff to know where the button is on the screen. Make sure they know when to use it.
• Network Checks: You need a decent internet connection to make it work.
• Test the system regularly: Run a test alert regularly to make sure it works.

These simple steps ensure your system works when it matters.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

We all store confidential information on our computers. For example: supplier pricing lists, customer contact details, payroll information, private and business documents, etc. Too many underestimate how easily this sensitive information can fall into the wrong hands, especially on shared devices that most businesses now rely on. Think about it: to keep your POS system running, you probably have staff and repair technicians accessing it many times. Each of them has plenty of opportunities to access it, and today it only takes them a moment. This has been a problem for years, and our preferred solution is VeraCrypt.

Everyday Data Risks in Your Store

In most retail businesses today, information in the system is shared with many people, including staff. While this is great for the business, it creates weak points in your data security. Here are some everyday risks you face:

• Employees snooping through documents on back-office PCs.
• Unattended computers are often left unlocked while you're busy serving customers on the shop floor.
• Stolen devices from your office, car, or home.

These risks mean even honest mistakes or casual curiosity can expose confidential information. That's where a simple tool like VeraCrypt provides a safety net, even when devices slip out of your control.

What VeraCrypt Is and How It Works

At POS Solutions, we've recommended VeraCrypt for years as one of the simplest and most effective tools for securing confidential retail data. How can you keep your information secure in your business?

VeraCrypt is a free, open-source program that protects your privacy.

You can think of it like a digital safe on your device. You simply drag your private files into it, such as staff wages, supplier price lists, agreements, customer lists, and financial spreadsheets. Without your password, no one can open or read a single file inside. Even if a curious staff member tries to get in or a thief steals your laptop, they see only a locked, meaningless file. Your business secrets remain encrypted and safe. Only you can read it. If I were on the front computer and you were on the back computer, you could read this information, but I could not.

How VeraCrypt Protects Your Retail Business

VeraCrypt delivers practical protection tailored to retailers. Here's how it helps you every day:

• Stops staff snooping: Without the password, no one, not even tech-savvy employees, can access the encrypted volume.
• Prevents accidental access: Leave your computer safely. Files stay invisible and locked until you mount the volume.
• Guards against theft: If your laptop, back-office PC, or USB drive is stolen, thieves can't access customer data, bank details, or private documents because they remain encrypted.
• No IT skills needed: A simple setup wizard guides you. Secure your data without hiring expensive tech support.

These features mean you can share devices confidently while keeping critical information private.

A Real-World Example

There are two prominent court cases that demonstrate its mathematical resilience.

1. The Brazilian Banker Case (Operation Satyagraha)

The Target: Daniel Dantas, a Brazilian banker, was suspected of financial crimes.

The Incident: In 2008, Brazilian police seized five hard drives from his apartment during a raid. The drives were fully encrypted using TrueCrypt (older version of VeraCrypt).

The Effort: The Brazilian National Institute of Criminology (INC) attempted to crack the drives for five months using dictionary attacks but was unsuccessful. They then enlisted the FBI for assistance. The FBI spent 12 months attempting to break the encryption, but ultimately admitted defeat and returned the drives to Brazil still locked.

2. The "Philadelphia Police" Case (Francis Rawls)

The Target: Francis Rawls, a former police sergeant suspected of possessing illicit material.

The Incident: In 2015, Philadelphia police seized his devices, including two hard drives encrypted with TrueCrypt/VeraCrypt.

The Effort: Forensic examiners from the Regional Computer Forensics Laboratory (RCFL) and, potentially, federal partners attempted to decrypt the drives but were unsuccessful. They could not brute-force the password.

The Outcome: Unlike in the Brazilian case, the U.S. legal system invoked the All Writs Act to order Rawls to unlock the drives. He refused, pleading the Fifth Amendment. The court held him in civil contempt and jailed him for more than 4 years (he was released in 2020), during which he never unlocked the drives. The government never accessed the data.

Based on this, VeraCrypt is very secure.

Let us get started with VeraCrypt

Give me a call if you have any problems or want some pointers.

Get VeraCrypt from its official website here. It's free and easy to set up.

1. Install VeraCrypt and launch it.
2. Create a new volume and select a size, such as 4GB, for your files.
3. I prefer the default AES encryption. Then set a strong, unique password of at least 12 characters (20 is better) that includes letters, numbers, and symbols.
4. Once mounted, it will appear as a new drive letter (e.g., I:).
5. Move your sensitive files in. Work as usual, but now your private files stay under lock and key.
6. Once finished, dismount it to end.
7. Always back up your volume header (VeraCrypt shows you how) in case of issues.

Common Mistakes to Avoid

Even simple tools like VeraCrypt work best with good habits.

• Weak passwords: Avoid "password123". This is the first thing that a hacker will try; in the example above, that is what the Brazilian National Institute of Criminology (INC) did. Pick something like your wedding song and year. 
• Suspicious filenames for the vault: Avoid names that will stand out, using something like "Mr Piper - The Proud Princess.AVI".
• Forgetting backups: You still need to back up the file. 
• Leaving volumes mounted: Always dismount when stepping away; this only takes seconds.
• No recovery plan: Note your password in a secure location. If you lose your password, you have lost the files and no one can get them back.

Follow these, and VeraCrypt becomes a reliable daily shield.

Boost Your Overall Retail Cybersecurity

VeraCrypt is one piece of a strong defence. Combine it with these quick wins:

• Lock computer screens after 5 minutes of idle time.
• Staff should not use work PCs for personal use.
• Update antivirus regularly.
• Review the Australian retail cybersecurity checklist for more information.

These steps take little time but pay off big.

VeraCrypt vs. BitLocker

I know I am going to get questions as why I prefer VeraCrypt to BitLocker. I have tested them both and both are very good, why I prefer VeraCrypt:

Here are some Key Differences

Who Holds the Code?

• VeraCrypt: Only you. No backdoors, no cloud storage.

• BitLocker: Microsoft. Recovery keys are automatically backed up to your Microsoft Account by default. You need to remove this to ensure security. Its not hard, just something else you need to do.

Trust Factor

• VeraCrypt: High. Open-source code audited by independent experts.

• BitLocker: Low. Closed-source. You must trust Microsoft.

Detection

• VeraCrypt: Looks like regular information when locked, so people will find it hard to know it's there.

• BitLocker:  Easy to detect.

Employee Protection

• VeraCrypt: You must unlock it.

• BitLocker: Automatically unlocks at startup, allowing staff to access all data.

Speed

• VeraCrypt: A bit slower.

• BitLocker: Somewhat faster.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Beyond standard navigation, I find it very useful in a mapping program to visualise the route before departure, including turn-offs and the final destination.

However, for business owners, another plus is vetting the people you are about to do business with. I might be ordering stock from a wholesaler in China or arranging delivery to a new customer I have not visited. It is invaluable to review them in advance.

Using mapping software isn't just about finding your way; it allows us to virtually “visit” a location before we commit to anything:

• Route Visualisation: I can see the destination and the immediate turn-offs well in advance.
• Logistics Verification: Can we actually deliver there? One of my clients sent a 3-tonne truck to a new customer located in a narrow, dead-end laneway. The truck could not physically fit inside.
• Due Diligence: Is this supplier legitimate? A fancy website can hide the fact that a “major distributor” is actually just a residential garage overseas, as I did. A quick check on a map reveals the truth.

To help you perform this due diligence effectively, we first tested mapping software with our POS Software back in 2009. That was a long time ago, so I decided to revisit the market to see what has changed and what is best mapping tools for retailers today.

I tested the top six free mapping tools currently available. My goal was simple: to find the best free mapping tool for my clients. Here is why most failed, and why Google Maps, the one we picked, is still the undisputed leader.

The Showdown: Consumer Apps vs. Satellite Tech

I looked at a mix of the six most highly rated mapping apps today:

• Google Maps
• Apple Maps
• Bing Maps
• Copernicus Browser
• World Imagery Wayback
• ArcGIS Viewer

I quickly rejected the professional tools: Copernicus Browser, ArcGIS Viewer, and ArcGIS World Imagery. While these are incredible pieces of technology for earth observation, they fail the retail test.

Why they don't work for you:

• Blurry Resolution: You can't see the loading dock or front door; you just see a grey smudge.
• No Data: I could not see the building well. They are not designed for this use.
• No Routing: You can’t ask them for driving directions.

You can safely ignore these professional tools for retail purposes.

The “Big Three” Comparison

This is where the real battle lies.

1. Google Maps: The Undisputed King

Years ago, we integrated Google Maps into our POS software. It was a move that compelled our competitors to emulate us; rather than doing their own research, they simply copied our approach. We used it because it worked the best. Today, I feel Google Maps remains the best all-rounder for business use, and it comes down to three key factors.

• Street View Verification: The coverage is unmatched. You can look almost anywhere in Australia and instantly verify an address.
• The Power of “Real People” Reviews: This is Google's killer feature. Unlike Apple Maps (which is playing catch-up) or Bing, Google has a massive army of “Local Guides.” These are actual people visiting these businesses.
  • Why this matters: A supplier can fake a website, but it is much harder to fake a 5-year history of reviews from real drivers and customers. If a supplier claims to be a bustling hub but has zero reviews or user photos, proceed with caution.
  • The “area” Check: User reviews often mention specific logistical details, like “easy parking around the back” or “tight squeeze for trucks.” The client I mentioned above, whose truck couldn't fit down the lane, would likely have avoided the issue by reading the reviews first and sending a small van.
• Accessibility Data: Google allows users to update accessibility info. I find the “accessible parking” label very useful. When I took my Mum, who has limited mobility, out for dinner, knowing in advance that the restaurant had wheelchair access was very helpful.

2. Apple Maps: A Case of Form Over Function

I noticed that Apple Maps has improved significantly. Its “Look Around” feature is visually stunning, often smoother and clearer than Google’s Street View. It will certainly get you where you want to go.

However, it falls short on business intelligence.

• Missing Details: It often lacks the granular business info retailers need.
• Navigation First: Apple Maps is designed to be a great driving experience, not a research experience. It will get you there beautifully, but it won't help you, I think, to figure out who is there as effectively as Google.
• Older Info: When I tested it, I found the map data was often older than Google Maps. In one instance, the Apple image was two years old, while the Google Map was only six months old. A lot can change in two years. I also did not like that, unlike Google, it did not provide an image date.

3. Bing Maps

Bing ranks third in general use. I generally find that Google has much more information about Australia than Bing does. This is a real problem for Aussies. On the plus side it does use the google maps for business information. 

But it has one function I really liked: Bird's Eye View. Unlike standard satellite views that look straight down, Bird’s Eye looks from a 45-degree angle. This lets you see a building's height and the layout of its side entrances. If you can’t get a clear look at a supplier on Google, try Bing’s Bird’s Eye view. It might reveal a loading bay or side door that was hidden on other maps. I recommend checking it out; it is very good.

Practical Advice for Your Business

So, how should you use this in your daily operations?

Although Apple and Bing are both usable, I would recommend:

1. Stick with Google Maps as your “Database." It is the real winner for business data.
2. Look for the Human Element. Don't just look at the star rating; also consider the user comments. On the business side, for research and verification, Google remains the best in the market.

If you are using our software, here are instructions for using it integrated with our POS Software.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Running a supplier review every now and then is fine, but we are focused on the RBA card reforms decision, which is due in March 2026. Our submission is here. Now I can guarantee you, your margins are under attack from both hidden supplier costs and the likely ban on surcharging, which will result in many of you seeing a drop in margins.

If you are not careful, your best-line costs can creep up quietly, leaving you stuck with products that no longer cover their costs. This guide shows you how to use supplier analysis and your POS system to protect profit and reduce risk.

How to do a supplier analysis

What you are looking for is a supplier that delivers strong sales and profits.

Go to register sales reports and then go to "Sales comparison by supplier"

I recommend using the previous 12 months for comparison with the last 12 months.

For the initial run, use the percentage.

Then a report like this pops up.

Try it now, it only takes a second.

Your POS system has an invaluable tool for managing supplier relationships and improving operational efficiency. I suggest running it again with absolute figures as well. 

Look at the profit figure. Today, we are seeing significant downward margin creep. This report is an excellent place to see it. Downward margin creep has many causes, often a mix of changing customer habits and supplier price shifts.

Action: Identify underperforming suppliers and address concerns directly. Then, strengthen relationships with high-performing suppliers.

Put supplier analysis first (do not use supplier loyalty)

Do not measure your supplier by how much you buy from them; instead, focus on what they deliver to your business: profit, sell-through, reliability, and support.

I think it's best that you clarify your relationship with your supplier. Understanding your position can help you tailor your approach, such as negotiating better terms and/or diversifying your supplier base.

Suppliers tend to prioritise larger retailers because of their greater spending power. This often leaves Small to Medium Business (SMB) retailers struggling to secure favourable terms. The other issue is that they know SMB retailers often lack the accounting expertise of larger chains and try to capitalise on this. You need to verify their figures. As a general rule, the information they give you is the information they want you to know. This is where your POS System is a big help, as it knows your figures and has no agenda in what it shows you.

Card payment reforms: why margin visibility matters now

A major financial change is on the horizon, making it urgent to know your margins.

With the Reserve Bank of Australia (RBA) due to make its final decision on card payment reforms in March 2026, you should prepare for a likely change: that you will almost certainly be banned from adding surcharges on debit cards, and possibly credit cards too.

If surcharging is banned, the impact is immediate:

• Merchant fees become a direct business cost rather than a pass-through to the customer.
• Shelf prices must rise to cover this gap.
• Safe pricing becomes impossible if you don’t know your exact margins right now.

You cannot make safe pricing decisions if you don’t know your exact profit numbers by product and supplier.

Verify the “margin help” promises.

Some suppliers are already aware of these changes and may promise to adjust their pricing structures to increase your margin to cover these costs. Do not just take their word that they will do this they do not tend to see it as you lose a percent but that they have an extra percent. You must verify that this actually happens, because based on past experience, I rarely see suppliers do it, and if they do, it's only partial. If they do it, it will come through a “margin adjustment” that you need to check to ensure it delivers the extra percentage points you need.

What you should do:

• Measure your card costs: Work out exactly what you pay in merchant fees as a percentage of sales.
• Track the change: If a supplier claims they have improved your margin to cover these fees, run your “Sales Comparison by Supplier” report for the period after the change.
• Compare the reality: Did your profit margin on their line actually go up? If the data shows the margin has dropped, you are absorbing those card fees yourself and may need to raise your prices immediately to compensate.
• Document your reason: You may possibly need to justify price rises later. Knowing your data now will allow you to say: “We adjusted prices to keep the business viable as costs shifted.”

Diversify to reduce risk.

Relying on a single supplier puts your business at considerable risk, including stock shortages or price hikes. You should consider diversifying your supplier base.

The benefits of diversification are clear:

• You reduce dependency risks.
• You gain leverage in negotiations by having alternative options.
• You ensure consistent product availability.
• You have a wider selection of products.
• You’re not left stranded if one supplier faces disruptions.

Actionable Step: Use your POS system to track supplier sales performance. Could you identify which suppliers are underperforming and explore alternatives to fill gaps?

Negotiate beyond “just price”

Sometimes you may find the salesman has little flexibility on price, but they typically have room to manoeuvre on other points. Negotiation isn’t just about securing the lowest price; it is about more. Often, the seller has more flexibility than initially disclosed; you must be willing to ask.

• Quality
• Range
• Extended payment terms (e.g., 30-day credit).
• Bulk discounts or promotional pricing.
• Marketing support.
• Shipping Terms.

For example, I once told our supplier that we were going to a show. In exchange for showcasing their products, they provided me with their advanced UPS.

Conduct independent research

Suppliers may present information that benefits their agenda, but verify everything independently. Ask your customers, visit similar shops, examine the advertising, use your POS reports, and do Google searches.

I find that Amazon's top-selling lists in Australia are a valuable resource for seeing what is actually trending, regardless of what a rep tries to sell you.

These are some items to check:

• Compare sales data for similar products between Supplier A and Supplier B.
• Assess whether each supplier's margins meet your financial targets. Some suppliers hide their margins, which can be a problem.

Is your POS ready for March 2026?

We do not have much time, so don't wait for the RBA decision to catch you off guard. Log in to your POS today, run the ‘Sales Comparison by Supplier’ report, and verify your true margins before costs shift.

Don't guess your margins. POS Solutions gives you the exact reporting tools you need to negotiate with confidence.

Written by:

Bernard Zimmermann is the founding director of POS Solutions, a leading point-of-sale system company with 45 years of industry experience, now retired and seeking new opportunities. He consults with various organisations, from small businesses to large retailers and government institutions. Bernard is passionate about helping companies optimise their operations through innovative POS technology and enabling seamless customer experiences through effective software solutions.

Cafe owners nationwide are pushing prices to $7 a cup for newsagency coffee, claiming $5–$5.50 leaves them unable to survive. Customers hate it, and many simply won't pay. For Australian newsagencies, convenience stores, and boutiques, this backlash creates a massive opportunity. You can capture frustrated caffeine seekers, boost foot traffic, and lift impulse sales on magazines, gifts, books, cards, and stationery, as they do not have the crippling cafe overheads, which are killing them. This practical guide explains the cafe crunch, why retailers might win big, and delivers a 6-step checklist to launch a profitable coffee department that complements your business.

The Cafe Cost Reality

Overall, Australia's $3.5–4B coffee market rivals the books market ($3–5B) and dwarfs the newspapers market ($2.9B). 

Yet Australian cafes today face severe economic conditions in 2026.

Labour now accounts for about 35–45% of every revenue dollar. What hurts is the weekend/public holiday penalties.

Rent/utilities take 20–25%.

Ingredients cost 20–30%

The $200k–$500k setups incur $0.30–$0.80 in depreciation per cup.

Raw flat white ingredients run ~$0.90 (beans/milk),

Full costs hit $4–$6.60

Break-Even Pressures

At $5.50 per cup, it's insufficient to cover 300–400 cups per day. They are looking at $6.50+ to survive.

The problem is that many will walk away from $7.

Why Retailers should look at this.

You skip cafe killers: no massive fit-outs, no barista wages, no seating headaches, and this position you perfectly to capture $ 7 shock shoppers, funnelling people your way for value.

The Winning Traffic Shift:

• Pre-$7: Shoppers linger at cafes, some spilling to your shop.

• Your Win: Capture an estimated 25% shift; 20–50 cups/day at $4 yields $15k–$38k extra profit yearly (70% margins).

High street newsagencies near bus stops and railway stations are in the perfect position. 

Your 6-Step Launch Checklist

Skip supplier hype. I've seen retailers thrive (and crash) on these.

1. Permissions: Can You Add Coffee Legally?

Centre leases or council rules often block food additions. Check first. 

• Action: Email: "Low-volume coffee machine as counter add-on, no seating, minimal waste."

• Reality: 1–2 sqm + 10–15amp power.

2. Price Smart: Scout Competition

Checkout the prices and availability in your area. What you are looking for is whether a $4 coffee is viable. 

3. Machine Reality

Skip pods, Aussies want proper coffee.

Check which machines are available to you. I would suggest going into a partnership with a coffee supplier. Make sure you have an exit path, even if it costs slightly more. Most coffee machine suppliers offer a trial period; make sure you take advantage of it.

4. Operations Truth

What I suggest you look at is 2 to 6 cups per hour.

Your staff will need about 30 minutes to operate the coffee machine.

Daily setup is about 5-minutes

Probably another 10 minutes for cleaning.

Waste disposal takes another 10 minutes.

5. Quality Test

For some unknown reason, coffee made with the same ingredients can taste different; you need to monitor the taste.

6. Maintenance

Please review the maintenance terms for the machine carefully. It's the biggest problem most of my customers with such machines tell me: the machine has been out for ages. Ask whether they provide replacement machines while yours is being repaired.These machines break down a lot.

Loyalty Boosts: Your Profit Multiplier

Loyalty Hack: The coffee costs $2, but customers perceive it as worth $4–$7.  That is a powerful combination.

Coffee bundles can build loyalty, such as 

• Family: coffee and a magazine

• Gift: Coffee + greeting card ($4.50).

• Reading: For newsagencies say $7 for a coffee and 30 minutes free browsing of magazines. Why not let them browse for free if they buy coffee?   They may actually buy a magazine too at the end.

Monitor your coffee sales

As with everything, monitor your coffee sales in your POS System. You need hard facts!

While many of you will be busy with the BBQ and the beach, our office will be staying busy behind the scenes. So even though it's a public holiday for many, our support team is online to ensure your business stays secure and your POS systems stay smooth.