Every supplier has been there. You check your accounts, and boom—another deduction from Walmart. Another chunk of your hard-earned revenue is gone. You think, “Well, that’s just part of doing business with big retailers, right?” Wrong.
If left unchecked, retail deductions can drain your profits, but misinformation stops many suppliers from fighting back. So, let’s set the record straight. Here are the top 10 myths about deduction recovery—and the real truth behind them.
Myth #1: "Recovering deductions takes more effort than it's worth."
Reality check: Would you ignore a pile of cash sitting on your desk because it takes a few emails to claim it? That’s essentially what happens when you don’t pursue deduction recovery.
While sorting through chargebacks and shortages can be tedious, the payoff is often substantial. In fact, many suppliers recover hundreds of thousands of dollars annually—money they rightfully earned. The process becomes seamless with the right partner (hello, HRG).
Myth #2: "Deductions are unavoidable."
Sure, occasional deductions will happen. But regular, persistent deductions? That’s a red flag.
Most shortages and compliance fines come from incorrect data, miscommunications, or retailer errors. If you’re experiencing repeated deductions, that’s a sign your systems (or your retailer's) need adjusting. And yes, you can fight back and recover those funds.
Myth #3: "Retailers never reverse deductions."
They absolutely do—if you can prove your case.
Retailers process billions of transactions every year. Mistakes happen. If you provide clear documentation, many deductions can be reversed. Knowing how to present your case correctly and within the right timeframe.
Myth #4: "Only large suppliers can recover deductions."
Not true. If anything, small and mid-sized suppliers need deduction recovery more than the big guys.
Large corporations have entire teams dedicated to auditing chargebacks. Smaller suppliers? Not so much. But that doesn’t mean you have to accept losses. HRG specializes in helping brands of all sizes reclaim what’s theirs.
Myth #5: "Shortage deductions are always accurate."
Have you ever had a package marked as "short" even though you shipped exactly what was ordered? It happens all the time.
Shortage deductions can be wildly inaccurate between miscounts at distribution centers, misplaced inventory, and scanning errors. A thorough audit can uncover these mistakes and help you get reimbursed.
Myth #6: "If I ignore deductions, they’ll eventually go away."
They won’t. They will pile up.
Think of deductions like credit card interest. The longer you let them sit, the worse they get. Most retailers have strict deadlines for disputes. Miss those and your money is gone for good.
Myth #7: "Deduction recovery damages supplier-retailer relationships."
The opposite is true.
Recovering deductions isn’t about accusing retailers of wrongdoing—it’s about fixing errors and improving efficiency on both sides. Many suppliers who engage in recovery efforts find their relationships improve because issues are resolved at the root.
Myth #8: "Filing disputes is too complicated."
It can be—but that’s why experts exist.
Navigating a retailer’s dispute process takes experience. Different retailers have different portals, timelines, and documentation requirements. But companies like HRG handle this daily, taking the complexity off your plate.
Myth #9: "Deduction recovery is too expensive."
What’s more expensive: Recovering deductions or leaving tens (or hundreds) of thousands of dollars on the table?
Many deduction recovery services work on contingency, meaning you only pay when you recover money. HRG currently offers 50% off for Walmart suppliers—making it even more cost-effective to get started.
Myth #10: "I don’t have time to deal with deductions."
If you’re a supplier, you don’t have time not to.
Deductions eat into your bottom line. Over time, unresolved chargebacks can mean the difference between a healthy profit margin and a struggling business. The good news? You don’t have to do it alone.
The Bottom Line
Retail deductions aren’t just "the cost of doing business." They’re recoverable losses that impact your bottom line. Believing these myths could be costing you thousands—or more.
Now is the perfect time to take control. If you’re ready to stop leaving money on the table, let’s talk. With HRG’s 50% off shortage recovery for Walmart suppliers, now is the time to act. Don’t let avoidable losses drain your profits.