Domestic small shops are the big losers from mandatory card payments

By: Trademagazin Date: 2024. 04. 11. 12:11

Adapting to new government regulations is a serious challenge for domestic traders, especially due to rapidly changing regulations. This was reported by Katalin Neubauer, the secretary general of the Hungarian National Trade Association, at the RETAIL DAY 2024 conference organized by the Pénzcentrum on April 11. According to the specialist, it is extremely difficult for domestic retailers to stay up-to-date in the changing legal environment.

Neubauer emphasized that while 370 government decrees were issued in 2019, this number had already reached 670 in 2023. This means that retailers have to deal with an average of two new government regulations per day, which is an impossible task. In addition, a single government decree can affect up to five or ten laws, which further complicates the situation.

During the presentation, Katalin Neubauer listed the problems most affecting retailers. Among the most important changes, he mentioned the introduction of mandatory bank card payments, as well as product losses due to mandatory promotions. Many stores find it very challenging to sell products that they have to sell at a 15% loss to the stores.