Catch to refund gift cards after backlash over April expiry

Catch has quietly reversed its gift card expiry policy, saying it will refund outstanding gift card balances after the e-commerce site ceases trading this month.

The update to this policy now appears on Catch’s FAQ page, addressing what consumers should do if they have an unredeemed gift card after the online marketplace shuts down on April 30.

“Unredeemed gift card balances will be refunded,” the site reads. It also states the gift cards must still be within their expiry dates.

It adds that “further information [is] to be provided,” with details yet to be released about how customers can access their refunds.

The move marks a notable backflip from the company's original position. 

In a January email to customers, seen by SmartCompany, Catch told customers they had until April 30, 2025, to use any remaining gift card balances.

“We will cease selling gift cards on 21 January, 2025. Existing gift cards can be redeemed until catch.com.au is closed on 30 April 2025,” the email read. 

SmartCompany confirmed at the time that Catch had already stopped selling new gift cards.

The policy came under scrutiny due to Australian Consumer Law, which mandates a minimum three-year validity for most gift cards purchased after November 2019.

While some exceptions apply — such as insolvency — Catch’s looming closure did not appear to fall under these conditions.

The Australian Competition and Consumer Commission (ACCC) subsequently confirmed to SmartCompany that it would be contacting Wesfarmers, Catch’s parent company, to understand the specific legal arrangements around the closure of Catch.

Catch was acquired by Wesfarmers in 2019 for $230 million, but struggled to maintain profitability amid growing pressure from international e-commerce giants. 

Wesfarmers announced in January that it would wind down the platform due to ongoing operating losses, with Catch expected to post a $38 million to $40 million loss for the second half of 2024.

Around 190 roles were made redundant, while fulfilment operations were folded into Wesfarmers’ Kmart Group.

Australian e-commerce Titan Ruslan Kogan said his company attempted to buy Catch before the closure was announced.

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