Is the customer always right in Australia?

Every week we will break down, debunk and demystify your rights as a shopper in Australia. This week we are looking at whether old adage that “the customer is always right”, and whether that’s true in Australia.

We all know life is getting more expensive than ever before, and how important it is to stretch every dollar you make.

That’s why each week we’ll answer a question surrounding what shoppers are – and aren’t – entitled to when dealing with retailers and manufacturers.

Is the customer really king?

I was at a barbecue recently where we were all discussing shops honouring prices they had accidentally set on some goods.

A friend there said that it doesn’t matter whether it was an honest mistake, because in Australia “the customer is always right”.

Is there some kind of law saying that shops have no way of disputing customer claims?

To answer your question: fundamentally, no, the customer is not always right in Australia.

But every customer always has their rights under the Australian Consumer Law (ACL).

I think where people are getting confused is that they are conflating a more general customer service ethos with some kind of actual law.

Read Related Also: Alcohol-related deaths and suicides on the rise in Australia, data shows

The saying “the customer is always right” likely originated in the United States in the early 20th century when bigger department stores were beginning to take hold in the country.

At its core, it’s just a saying that businesses adopt to put their workers in the mindset that the people spending money in their store are important and should be looked after.

(Prior to this, many retailers had the attitude that shoppers should be grateful for what they were being offered!)

In modern times, businesses tend to loosely adopt this same ethos because stories about bad customer service can spread like wildfire.

Under the ACL, you are given basic rights as a shopper known as consumer guarantees. 

Businesses can’t refuse these from you and cannot mislead you about the rights you are awarded under law.

Many of us are aware that some big retailers will honour or resolve customer claims to avoid even bigger problems. 

But please be respectful to retail staff – it’s a demanding job that is thoroughly underappreciated.

The information provided on this website is general in nature only and does not constitute personal financial or legal advice. The information has been prepared without taking into account your personal objectives, financial situation or needs. Before acting on any information on this website you should consider the appropriateness of the information having regard to your objectives, financial situation and needs.