The Reserve Bank of Australia (RBA) on Thursday, 11 September 2025, published POS Solutions’ latest submission to its review of merchant card payment costs and surcharging, now in its second round of consultation.

We were asked, in view of the importance to news agencies of the proposed ban on surcharging, to submit our views.

Here is the press release of our submission to the Reserve Bank.

**FOR IMMEDIATE RELEASE**

POS Solutions Challenges RBA Surcharge Ban, Proposes Real-Time Fee Competition to Genuinely Lower Merchant Costs

POS Solutions, a leading Australian provider of POS systems, has made a formal submission to the Reserve Bank of Australia's (RBA) review of merchant card payment costs. The submission warns that the proposed ban on card payment surcharging fails to address the root cause of high fees and will unfairly penalise small businesses by forcing them to absorb costs they cannot control.

The submission argues that banning transparent surcharges does not eliminate the cost of acceptance; it merely hides it. This forces retailers to subsidise the expensive rewards programs associated with premium credit cards, an anti-competitive practice that disadvantages small merchants who lack the negotiating power of larger corporations. Furthermore, POS Solutions challenges the RBA's assumption that card payments are universally cheaper than cash, a claim that overlooks the reality for many small businesses where time and labour are not accounted for in the same way as in large organisations.

"A surcharge ban is a band-aid on a bullet wound," said Bernard Zimmermann, a retail expert at POS Solutions. "It doesn't solve the core problem the fees create and the hidden costs passed on to merchants. Our concern is that this move will create new, hidden fees that ultimately harm the very businesses the RBA aims to protect."

As an alternative, POS Solutions has proposed a forward-thinking approach that would require many payment acquirers to provide per-transaction fee quotes in advance for each transaction. It would allow a merchant's **Point of Sale (POS) system** to choose the most cost-effective processing method for each transaction and also inform the merchant of the cost beforehand. It would create genuine competition among providers and give businesses better control over their expenses. It would be a notable improvement over the current structure.

"Our proposal for real-time fee competition would empower merchants with the transparency they currently need," Zimmermann added. "This practical solution could be implemented within months and would deliver real savings by letting technology find the lowest cost for every transaction."

About POS Solutions:
POS Solutions is a leading provider of **Point of Sale (POS) system** technology for Australian businesses. With extensive expertise in the challenges faced by small to medium-sized enterprises, the company delivers innovative and dependable POS systems.

**Media Contact:**

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POS Solutions submission

To read POS Solutions' submission in full, please visit the RBA's Website for submissions on the Review of Merchant Card Payment Costs and Surcharging here.

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.

Hidden inventory, which includes marketable stock forgotten in storage areas, unopened boxes, and dead zones, can represent one of retail's most costly yet overlooked problems in inventory management and retail stock control.

Understanding Forgotten Stock vs Slow Stock vs Dead Stock

Let us first discuss what we are talking about.

Forgotten stock

It is marketable inventory that remains forgotten and hidden from customers. Often found in the back rooms, under counters, and in unopened shipping containers. It is defined as unsold or excessive inventory that is silently draining a business's profits through storage costs, potential obsolescence, and tied-up capital

Slow Stock

It is stock that moves only very slowly in your shop.

Dead stock

It is merchandise that has become unsellable, e.g. expiration dates, damage, or fashion.

Now what happens is that your Point-of-sale reporting systems will categorise these forgotten items as either slow or dead stock because their sales are so low. It misrepresents your inventory. These items are often marketable but invisible to the customers. It represents stock that can be turned into working capital now.

Our recent installation of a POS System in a shop perfectly illustrates this problem's scope and impact. We found substantial quantities of saleable inventory uselessly stored in unopened boxes throughout the shop. It was not just in the store room but everywhere, and some of it was never accounted for in their stock-take. This stock comprised marketable products that had been forgotten and so removed from sales.

In my experience, a significant reason for the problem is that suppliers often encourage you to purchase stock to maximise their own revenue objectives.

Why Suppliers Create Hidden Inventory Problems

Partly it is to maximise their own revenue objectives, but it also serves a strategic aim of securing your loyalty by pushing their stock on you, as it makes it harder for you to go elsewhere. The reasoning here is that it would be harder for you to buy stock from supplier B if you still have much of their stock.

Understanding supplier motivations helps prevent future accumulation, but first, you need to identify existing hidden inventory using these systematic approaches.

How to Find Hidden Inventory in Your Shop

I suggest that you do the following.

Computer audit

Run a slow and/or dead stock report in your POS Software. It will provide you with a list of items that are not selling. It only takes you a minute and will give you an instant picture of the problem. Many of you will be surprised by what you find in these reports.

Physical Search

Then look for unopened boxes, which you may find in your storage area and under the counter spaces. Please go through them. You may have a lot of boxes in your garage at home as well.

Dead areas

Look on the shelves in areas that rarely sell, as you may have goods there that are not selling because they are located in a dead zone in the shop.

Inventory Management System

If it turns out to be a problem, you need to address the leading cause: your purchasing. How is it being done? What controls do you have in place before ordering?

Here is a quick checklist:

Make a realistic sales projection

If you have our POS System, it has a focus figure, which is an AI weekly sales estimate. If not, then consider the current sales in light of seasonal factors, market trends, and historical performance data.

Now look at this figure to see what you need now.

Technology Solutions

Run a computer ordering report and then review it. Our system features an AI component, but most POS software includes some form of automatic ordering method. These are hardly perfect, but they are better than starting with nothing and saving lots of time.

Timing

Do you need to order now? If your supplier can supply in a week, do you need more than a week or two of stock? As a rule, order small and often.

What do you have

If you have other stock in storage, consider selling what you have rather than buying new stock.

Space

Do you have space to display the new products? The main reason stock is forgotten is that it cannot be displayed, as there is already an excessive amount of it.

Retail stock control strategy

Successful stock levels are an ongoing systematic process, and modern retail success increasingly depends on efficient capital deployment and operational excellence.

In modern retail, forgotten stock is inexcusable! Start with a comprehensive audit now.

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.

September is a challenging month for the toy industry, covering four separate marketing seasons. Grasping these seasons is essential for toy retailers aiming to boost their profits. Contrary to what many say, toy sales rarely occur organically; it is artificial, coming from marketing campaigns. Recent late August data confirms this.

Four Critical Toy Sales Trends Happening Now

Father's Day Ripple Effects

Father's Day's impact extends far beyond the day itself, generating sales for quite a while. What happens is that Dad receives a game as a gift, the family bonds with it, and other families learn about it through word-of-mouth marketing, wanting these games too. Not only that, but as children enjoy playing games with Dad, they actively request similar toys for themselves. Savvy retailers should examine toy products that align with popular Father's Day gifts. Based on last year, board games, building sets, and interactive toys have consistently shown increased sales now.

Strategic Timing Considerations

Major toy suppliers are currently testing their Christmas product lines to gauge consumer response before placing massive holiday orders. What retailers are now seeing are experimental Christmas toys released in limited quantities to measure market reception. Suppliers want to identify which products to push for the holiday season. While this presents learning opportunities about upcoming trends, you should exercise caution in getting too much involved. If the suppliers do not push them over Christmas, they will not sell.

Weather

Australian families are moving from winter indoor activities to spring outdoor play, though weather patterns remain unpredictable, especially in Melbourne. This shift creates two immediate required actions. This is your final opportunity to clear winter stock at attractive prices, and we must now shift our focus toward outdoor toys.

Educational Focus

Parents are increasingly looking at the educational benefits when choosing children's toys. They want toys that do learning with entertainment. Most importantly, they are prepared to pay higher prices for toys they see as educational tools rather than just for fun.

Current Best-Selling Categories

LEGO Dominates Market Performance

LEGO products are currently topping the toy sales charts, with Minecraft-themed sets performing strongly. This success comes from LEGO's unique position at the crossroads of education and entertainment. Parents see LEGO as tools for educational growth. Kids view them as fun and engaging. This dual appeal sustains steady sales across various price ranges and age groups.

Arts and Crafts

Drawing and art supply sets are now experiencing exceptional sales growth throughout September. These products function as bridge items between traditional stationery and trending creative toys. This positioning allows retailers to capture customers from both groups while getting reasonable prices.

Board Games and Strategy Games Trending Together

Multiple board game and card game categories are trending well, demonstrating the Father's Day ripple effect in action. Families who discovered games together continue seeking similar products for ongoing entertainment.

This trend supports broader inventory investments across the board game category rather than focusing on individual titles.

Premium vs. Value Positioning

Action figures and collectables from various franchises are performing well due to coordinated industry-wide promotional campaigns. Collectables work particularly effectively as impulse purchases when positioned near point-of-sale areas.

Strategic Product Recommendations for September

High-Profit, Space-Efficient Options

Puzzle games and brain teasers will deliver excellent profit margins while requiring minimal storage space. These products appeal to multiple age groups and maintain consistent year-round demand. Card games, including strategy games and family options, provide compact storage solutions with high profit potential. Pocket-sized games give an added value as travel-friendly options for active families. These products can also serve as a backup source of entertainment if weather conditions change unexpectedly.

Premium Investment Considerations

Large construction sets, particularly LEGO products, can generate substantial profits if you can get reasonable prices. However, these items require significant floor space.

Premium toy investments depend heavily on specific market demographics and available retail space. Retailers in affluent areas with adequate space can successfully capitalise on premium demand.

Your Next Steps

September toys are difficult to navigate. You must plan strategically.

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.

91.34% of online searches in Australia are done through Google. In Australia, where market shares above 40-50% raise concerns, a market share of 91% is considered a monopoly or near-monopoly under competition law. It gives you a feel of how mighty Google is in searches here. Now, since almost everyone uses Google, you have to try to get into it. Here is an idea on how to get your business on Google without incurring any costs, using Instagram.

Now, since July 2025, Google has been showing public posts from a professional account on Instagram for free in its search results. It means your products can appear when people search on Google for free. For example, say you run a newsagency in Sydney. Your Reel showing new stationery items with hashtags like #SydneyStationery could appear in Google searches for "stationery near me." It helps potential customers find your business during everyday searches.

Practical Steps to Get Started

1. If you do not have one, you need to set up an Instagram Business account. It is a simple process that takes minutes.

2. Convert your existing account to a business profile

Open Instagram settings Select "Switch to Professional Account" Choose "Business."

3. Then fill in your business information:

Make sure to add

Add trading hours Address Contact methods

Make sure that these are correct, as if they are wrong, the customer cannot come.

Make sure your details include a clear call-to-action, like "Visit our store for the latest "

4. Post regularly 

You should post 3-5 times per week to stay visible.

For your posts, you need to write captions with clear product names and location tags like "Sydney CBD stationery set" to get the most from search benefits. You do not want to confuse Google. If Google is confused, it will drop you.

If you are currently using Facebook, you will find that you can use your Facebook posts for Instagram. 

Analytics That Help You Make Decisions

After 3 weeks, check Insights weekly on Instagram to track your progress. Look at your high-performing content Now repeat what works and stop what doesn't work well. What I find is looking at the scores and saying what the person is based on these scores, looking at my page, and what they want. Then, after making what we call a persona, I write for that person.

Now, review your POS System to see how it aligns with Instagram. Commonly, they are different. That may be a fact, as online people are not the same as your shop's customers, or you are posting something wrong.

Over time, this is a strong strategy that supports your growth without extra costs.

Next Steps

Convert your Instagram profile today for instant access to free tools at no risk. Use the analytics from your three weeks of posts to identify strategic changes, then make improvements.

Here's an affordable way to boost Lotto sales: an astrological event on September 13, 2025, offers a perfect marketing hook. This "Lucky Day" with positive energy is ideal for a themed promotion that excites customers and increases sales.

Why September 13 Is a "Lucky Day"?

Well, it's because in Astrology, we have a rare Mercury 'Cazimi' in Virgo. What that means exactly, I am not sure, but it's supposed to enhance insight and spark revelations. It's a time for clear thinking, a new beginning, as the cosmic forces around September 12 and 13 are full of good luck. So we have golden opportunities, making it a day when astrologers believe lucky breaks are more likely to happen.

Interestingly, this is true in Western and Chinese astrology. In Chinese, it is a "Wood Establish" day, which is considered ideal for starting new projects, especially for those with the Rooster zodiac.

Capitalise on the Cosmic Buzz

Thematic promotions boost customer engagement and turn event-based marketing into profits. TattsLotto sellers can leverage astrological events as fun luck-themed promotions.

Create Your "Lucky Day" Atmosphere

Posters and signs are very cost-effective for advertising such events. All you need to do is create a simple, eye-catching poster to display in your window or near the counter. The message should be easy to read and engaging. See some samples above that I made.

Place these signs in prominent locations, such as near the front door or at the point of sale. Hold a brief meeting to explain the "Lucky Day" idea to your staff so they feel confident discussing it with customers. When your team is involved, customers are more likely to discuss the promotion, and such conversations often result in sales.

If you have a Facebook page, why not post a short message about the "Lucky Day" event? Use a title like "Is September 13 a Lucky Day to Play TattsLotto?" to attract interest.

How to Measure Your Success

After the event is over, you need to know if it was a success. Here are some key metrics:

• Did you sell more Lotto tickets on September 13 than on a typical Saturday?
• Did more people come into your shop?
• Did customers spend more money than usual?

It is where your POS system is a massive help, as instead of guessing, you can look at the real numbers.

What's Your Next Winning Promotion?

A "Lucky Day" event is one example of many creative marketing ideas you can use to make sales. With some planning, you can turn any fun holiday or local event into a profitable promotion. For more inspiration, explore here a list of retail promotion ideas that suit any occasion.

For example, do you sell comics well  on the 25th of September, which is coming up, we have "Comic Book Day" 

Please be Honest and Responsible

Give it a go, and let me know how you went.

Remember the "luck" aspect here is just for a bit of fun. Astrology is a very dubious practice and shouldn't be used to make life decisions.

Retail analytics refers to utilising sales, stock, and customer data from your POS to inform better decisions that drive revenue and profit growth. A modern POS system enables these insights to be obtained faster and more easily. When you utilise your POS data effectively, you can identify what sells, where margins are generated, and how customers shop, allowing you to adjust stock, prices, and promotions with confidence.

A quick Father’s Day check in your POS System.

Father’s Day is a good example because it is seasonal, has known gift trends, and gives you a clean way to compare this year with last year in your POS. In 2025, Australians were expected to spend hundreds of millions of dollars on gifts, with fewer shoppers but higher average spending, so category mix and margin mattered significantly. I use its Sales Comparison report to see how the shop performed this week versus last week, and then against the week of Father's Day last year to get a sense of seasonality.

Go to Register reports

Now select Sales register > Sales comparison

​

Choose dates that match.

Like-for-like dates provide fair comparisons, so start with “last 7 days” versus “previous 7 days” to see how Father’s Day week performed. Next, compare the Father’s Day period this year to the same period last year to remove the effects of weekends and holiday timing that can skew the numbers. 

So we want this year's date 1/9/25 to 7/9/25 vs 26/8/24 to 1/9/24 

If you want a steadier view, use a four‑week block this year versus the same four‑week block last year to smooth out spikes.

The key numbers to check

Begin with the summary view of the Sales Comparison report, then focus on Quantity, Net Sales, COGS, Gross Profit dollars, and Gross Profit percent to see what drove results. Sort by gross profit dollars to find the categories that did the most work for your margin, then look at gross profit percent to check if discounting cut into your margin. These fields are standard in POS reports and give you a fast read on where to dig deeper if something looks off.

A simple Father’s Day read‑out

Run the Sales Comparison summary for the last 7 days versus the previous 7 days, then scan profit dollars and profit percentage by category to identify areas for further investigation. If one department jumps out, open the detail view for that department to find the SKUs that drove the change and check if discounting or price changes were involved. Re‑run the comparison against last year’s matched period and, if needed, over a four‑week window to confirm if the change is genuine and not just a one‑week spike. Balance your read-out with the known Father’s Day categories in Australia to guide replenishment and any follow-up promotions after the event.

Make sense of what changed.

If profit dollars rose while units fell, the result may stem from higher prices, a better mix, or both. Therefore, examine the items that grew and determine if this trend can be sustained without harming demand. If units rose but gross profit percent fell, promotion depth may be too high, so review discount rules and try bundles or value adds that keep margin healthy. If traffic looked strong but sales were flat, the issue may be conversion or merchandising, so check busy hours and staff coverage in the POS to plan rosters and training.

Avoid common traps

Do not compare random calendar months without adjusting for the number of weekends or the exact timing of Father’s Day, because this can mislead your decisions. Always start with matched weeks or matched four-week blocks, then drill down only when the summary shows a significant swing that requires an explanation.

Make it a habit.

It's an outstanding report, and I suggest that you use it often, as it makes it easy to spot trends early and act. I recommend it for Christmas, back‑to‑school, Mother’s Day, and local events.

Your next step

Open Reports, run the Sales Comparison for the last 7 days versus the previous 7 days. Check profit dollars and profit percentage first, then drill into any category that has moved significantly in either direction. Re‑run against last year’s matched period and, if helpful, as a four‑week comparison to confirm the pattern is real and not a one‑off. Save this setup as a preset, schedule it weekly, and keep using the same columns so your review stays under a minute and your team knows exactly what to act on.

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.

On 8 September 1983, POS Solutions began in my St Kilda flat bedroom with a simple premise: I could write something to help retailers run their businesses better. As a young programmer with ambitious plans, I transformed my bedroom into my workspace. As soon as the company grew, my business partner Zac, a computer engineer, joined. Our headquarters grew to the living room, creating an environment where innovation thrived alongside determination.

The Foundation of Sustainable Growth

Our move from a flat in St Kilda to several offices nationwide has been driven by two core principles that still guide us today. These weren't just business strategies but fundamental beliefs about how technology companies should support their clients in an industry where reliability and backing are vital.

Research and Development Excellence

Investment in research and development has become the foundation of our strategy. It allows us to deliver software solutions that reliably address real-world retail challenges. We focused on developing features that retailers can use. We concentrated on addressing practical issues. This approach listens to retailer feedback, understands challenges, and turns insights into software updates.

Support as a Professional

Customer support, we recognised at the start that any point-of-sale software is useless without good support.

Gratitude

To all who have been part of our story — the employees who bring expertise and passion, our customers who trust us with their business, our industry partners who have helped us grow, and those reading this who have followed our progress — we sincerely thank you. 

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.