• Do you know about your responsibilities when displaying prices?
  • Do you understand how to display surcharges and other fees?
  • Are your price displays clear, accurate and following the law?

There are a lot of factors that go into the price of your product or service. As a small business there are things to consider that can help you follow the law as you set and display your prices. You should never mislead about your prices.

Setting and deciding prices

The prices of the products and services you sell can be set and decided by you. They may be based on factors such as:

Prices that people think are too high or sudden increases in price are not illegal. A business's behaviour around setting prices is only illegal if it harms competition in specific limited ways. It’s also against the law to make and display false and misleading claims about prices.

Example

A hotel charges $350 per night for a standard room, while a similar hotel nearby charges $220. The more expensive hotel is not doing anything illegal. Businesses are free to set their own prices.

Unit pricing

Businesses selling groceries need to understand unit pricing. This is when a unit price is shown next to the total selling price of a product.

Unit pricing helps consumers:

  • compare prices of similar types of products
  • find the best value for their money when buying groceries.

Learn more about unit pricing and how to display.

Watch our understanding unit pricing video

Finding the best value on your grocery shop

isn't always easy.

Different brands, different packaging.

It can make comparing prices really hard,

that's where the unit price can help.

But what exactly is a unit price?

Well, the unit price makes it easier

to compare grocery prices

using a standard unit of measure

to find the best deals across similar products.

The standard unit of measurement used could be by weight,

by volume, or per item.

So for meat,

the unit price could be measured per kilogram or per item.

For liquids, it's per 100 millilitres or per litre.

And for fruit and veg,

well, they can be measured per kilogram or per item.

The unit pricing code sets out the rules

around unit pricing,

which stores have to display them,

which kind of products they apply to,

and how the unit price is displayed.

Not all businesses need

to display unit prices. Under the code,

most large supermarkets,

large grocery stores

and online grocery stores must display unit pricing

in store, online and in advertising.

Smaller local grocers or specialty shops like butchers

and pharmacies can choose whether

to use unit prices or not.

Not all products will have unit prices, either.

Some are exempt under the code.

Most food, drinks, cleaning,

and personal products must be unit priced though.

Next time you're shopping for groceries,

whether you are online or in a shop,

remember to check the unit price to compare and save.

For more information on how the unit pricing code works,

check the ÌÇÐÄÔ­´´ website accc.gov.au.
 

Card surcharges

Currently, businesses can charge a surcharge for paying by card. The surcharge must not be more than what it costs the business to process that payment type.

Changes to surcharging rules

On 31 March 2026, the Reserve Bank of Australia announced upcoming changes to card payment surcharging rules in Australia.

From 1 October 2026, the Visa, Mastercard and eftpos card networks can introduce ‘no surcharge’ rules for businesses that accept payments made with prepaid, debit and credit cards from each network. When they introduce 'no surcharge' rules, this means businesses cannot charge customers a surcharge for these payment types.

The Visa, Mastercard and eftpos card networks have each decided to introduce these ‘no surcharge’ rules from 1 October 2026. For more information, see the .

Any ‘no surcharge’ rules will be set by each card network’s scheme rules and merchant contracts. The card networks or payment service providers will be responsible for enforcing these rules, not the ÌÇÐÄÔ­´´.

Learn more from the .

Businesses must continue to follow the current card payment surcharging laws until these changes take effect.

Changes would only apply to card payment surcharges. They will not apply to hospitality sector weekend or public holiday surcharges or other types of fees, for example booking fees.

Learn more about the current rules for card surcharges, how to calculate them, and how to display prices when using them.

Displaying prices

You should communicate the total price payable as a single figure before purchase. This price is the minimum total cost and includes GST or any unavoidable extra fees.

Prices can be told to the customer directly or displayed through:

  • in-store labels or signage
  • online notifications
  • ordering apps.

Example of displaying a price that includes other charges

A personal trainer advertises his services at $60 per hour. However, the trainer also imposes an equipment fee of $3 and the service attracts 10% GST.

Correct ways to advertise the trainer’s hourly rate include:

  • Hourly rate: $69.30
  • Hourly rate: $63 + $6.30 GST = $69.30
  • Hourly rate: $60 + $3 equipment fee + $6.30 GST = $69.30

 You don’t need to include:

If the price is displayed for just one part of a product or service, the total price must also be displayed at least as prominently as the partial price.

If you are displaying a price only to other businesses, it doesn’t need to include GST.

Display of surcharge types

You must display any surcharges added to credit, debit or prepaid cards clearly and prominently, so consumers are aware before booking, ordering or paying.

If you run a restaurant or café with a surcharge on specific days, like weekends and public holidays, you don’t need to include this in the total price displayed for products. However, you must include on the menu ‘A surcharge of [percentage] applies on [day or days].’ These words must be at least as prominent as the most prominent price on the menu.

If there are other surcharges or fees, you must not mislead consumers about what they will be charged or why. Consumers should be made aware of any surcharges or fees that may apply before they decide to order or purchase products or services.

Learn more about setting and displaying prices.

If different prices are displayed

If the price at checkout does not match the displayed price or there are different prices shown for the same item, you must either:

  • sell the product for the lowest displayed or advertised price
  • stop selling the item until the incorrect price is corrected.

Example of multiple pricing

A customer finds a coffee table for $350 in a furniture retailer’s catalogue. When the customer visits the retailer’s store, they find the same coffee table marked at $380.

The retailer must either allow the customer to purchase the table at the $350 advertised price or withdraw the coffee table from sale until the price is corrected. This may involve a retraction advertisement to notify customers who received their catalogue.

Advertising discounts or savings

Businesses often advertise discounts or savings by making comparisons between the prices currently charged and:

  • previous pricing (also known as ‘was/now’ pricing)
  • the ‘cost’ or wholesale price
  • a competitor’s price
  • the recommended retail price.

If you use this method of advertising, you must make sure that consumers are not misled about the savings. For example, was/now pricing is likely to be misleading if products haven’t been sold at the specified ‘before’ or ‘strikethrough’ price for a reasonable time immediately before the sale period.

Example of misleading discount advertising

A boutique rug designer sets up a pop-up store in a shopping centre 2 months before Christmas. The designer receives fewer customers than hoped for, selling only 4 rugs within the first week of opening at full price but selling more at a discount. He then decides to promote the rugs with a strikethrough price based on the full price to try to attract more customers.

Because the designer has sold more rugs at a discount already and only a limited number at the full price, all before the promotion, he may be misleading customers about the discount or savings available for the rugs.

Learn more about pricing.

Misleading price displays

Businesses must not display prices that are wrong or likely to create a false impression. This includes prices displayed in store, in advertising, or whenever communicating with customers.

For example, you must not display misleading prices by:

  • showing a discount from an earlier price that was never used or only used for a small number of items just before the sale. This is known as two-price comparison advertising.
  • advertising a price that is only part of the cost. This is called component pricing.
  • promoting a price as being a sale or special price when that is the normal price
  • advertising a price at the beginning and then adding extra fees during the purchase process. This is called drip pricing.

Learn more about misleading price claims.

Anti-competitive pricing

Businesses must set prices independently of other businesses. Some pricing behaviour is against the law because it harms competition, leading to less choice or higher prices for consumers.

Price fixing

Price fixing happens when competitors agree on pricing instead of competing against each other. Price fixing is a form of cartel conduct and is always illegal.

Minimum resale prices

Suppliers must not try to stop resellers selling goods or services below a minimum price. It’s also illegal for resellers to ask their suppliers to stop their competitors from discounting.

Predatory pricing

It’s usually legal for businesses to sell products below the cost price. However, if this is done in a way that substantially lessens competition , this is considered misuse of market power and is illegal.

Learn more about anti-competitive pricing.

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