RETAILERS & CONSUMERS
How plain packaging would affect retailers and consumers
Plain packaging places a major burden on a retailer's day-to-day operation and causes confusion amongst consumers.
Confusion and inconvenience
- With tobacco products usually displayed out of reach, and in some cases out of sight, consumers rely on prominent visual elements to distinguish among different brands.
- If packs were to all look the same, it would be difficult for consumers to know if their brand is available for sale.
- Plain packaging would inevitably slow down the transaction between retailer and consumer, increase the chance of handling errors, and create unnecessary strain over a simple purchase transaction that takes place millions of times a day, all around the world.
Retailer quotes:
How can we operate shops with products that all look the same and are in hiding? The NFRN needs to be consulted on plain packaging and this time we hope that the consultation is objective and evidence based.”
National Federation of Retail Newsagents National President Parminder Singh, UK, March 2011
Plain packaging would be difficult for retailers, imposing costs through slowing down service and restocking and threatening sales by making illegal counterfeiting far easier.
Association of Convenience Stores Chief Executive James Lowman, UK, November 2010
300 to 400 packs will all look exactly the same and same size. I don’t think I’d ever be able to train anybody to work in this shop ever again.
Tony, Georgetown, Australia, November 2009
Security problems
- Retailers say they would waste valuable time trying to identify the brands ordered by their customers; time they need to spend watching over their stores.
Retailer quotes:
Coles is concerned that plain-packaging tobacco could increase security risk if our team members are forced to spend more time with their backs turned away from the sales counter in order to locate products within the tobacco dispensing unit.
Coles submission quoted in Brisbane Sunday Mail, Australia, June, 2010
If they're turning their back looking for cigarettes and can't find them... that does bring some security concerns...
Andrew, Perth, Australia, November 2009
Loss of revenue to illicit trade
- Many believe that plain packaging will make packaging easier to counterfeit and enable illicit trade to flourish. More illicit products, which pay no tax, means less revenue for retailers and the government.
Retailer quote:
There's chop-chop illegal tobacco sold in the area. If plain packaging comes in, it’ll be quite easy for them to copy, to replicate that type of packaging and put it up for sale."
Andrew, Perth, Australia, November 2009
Read more on illicit trade