Uncle Sam
Member
USA Technologies, the company that manufactures and does the processing for the e-Port and the new e-Port EDGE (Both wireless) credit card system that we use, did a survey in 2008 of the over 50,000 units in the many channels (Military, Education, Entertainment, Workplace, Retail) of vending sales. The numbers developed from this survey were used for a business plan presented to vending companies that would support the use of the e-Port system to increase vending machine sales. Obviously there was a self interest in the numbers presented, but our experience and observations would have to agree with their conclusions.
The results of this survey showed that vending machines with a credit card capability had an increase in sales volume versus those vending machines that were “cash only”. Numerous posts on this Forum over the past few years have supported this same conclusion; there are increased sales for products and services when credit cards are accepted. People do spend more money with a credit card than they do with real cash money!
The use of credit cards by the younger generation (18-35+ years) for almost anything that they do is well known to anyone who has observed this group. Many in this group do not carry any cash at all. (I was recently at a high school event where there was a small entrance fee and the 40ish lady in front of me tried to pay the fee with a credit card. The school did not accept credit cards, so the lady had to go find an ATM to get cash. Of course the school had no ATM either.) I don’t claim to understand the younger generation, but that is just their lifestyle. There are projections in this business plan that the market share (the total dollars spent by consumers using credit cards) will increase from about 45% in 2009 to 50% or more by the year 2012. Total cash sales will decrease from about 13% (2009) down to 10% in 2012.
Cont'd
The results of this survey showed that vending machines with a credit card capability had an increase in sales volume versus those vending machines that were “cash only”. Numerous posts on this Forum over the past few years have supported this same conclusion; there are increased sales for products and services when credit cards are accepted. People do spend more money with a credit card than they do with real cash money!
The use of credit cards by the younger generation (18-35+ years) for almost anything that they do is well known to anyone who has observed this group. Many in this group do not carry any cash at all. (I was recently at a high school event where there was a small entrance fee and the 40ish lady in front of me tried to pay the fee with a credit card. The school did not accept credit cards, so the lady had to go find an ATM to get cash. Of course the school had no ATM either.) I don’t claim to understand the younger generation, but that is just their lifestyle. There are projections in this business plan that the market share (the total dollars spent by consumers using credit cards) will increase from about 45% in 2009 to 50% or more by the year 2012. Total cash sales will decrease from about 13% (2009) down to 10% in 2012.
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