Are completely cashless vending machines the future?

Writer： Zhongda vending machines Time：2022-12-20 16:19 Browse：℃

Are completely cashless vending machines the future?

Are completely cashless vending machines the future, or are they something you should invest in today? I’ve done some research to see how feasible it is to buy a completely cashless vending machine. A new study shows that almost no one carries cash anymore, and those who do, don’t carry much.

By The Numbers

About eight in 10 people regularly carry less than $50 in cash in their wallets, according to a new report from Bankrate.com. Nearly 50 per cent of Americans carry $20 or less per day, including 9 per cent who don’t carry any cash at all. And only 7 percent carry more than $100 a day.” Greg McBride, chief financial analyst at Bankrate.com, said, “Consumers prefer to pay with plastic, debit or credit cards or other types of mobile technology. This makes the case for purely cashless vending machines quite relevant in today’s world.

Millennials and Cash

Consumers also seem to be spending less of this cash, with 46% claiming they use cash less than eight days a month and 5% saying they never use it. In its recent survey, Gallup reported that almost two-thirds (62%) of US adults believe that the US is likely to become a cashless society in their lifetime. Another finding of the study suggests that millennials will lead the way to a cashless society. And it’s not just because they will live longer! Most young Americans are already comfortable with the prospect of a cashless society. The majority (56%) of 18-29 year olds surveyed say they are comfortable with not having cash, with only a minority (42%) having cash at all times. Millennials, who will represent 60% of the workforce, are addicted to their mobile phones. They love technology and rarely carry cash. Mobile payments are the new norm and it’s not going away. Neale Godfrey of the Children’s Financial Network says: “We are broadly approaching the age of cashless reality.” She set up a company in 1989 to help teach children and parents about money.” Our children will see notes and coins as relics.” Vending machine operators must figure out what their customers want in our increasingly cashless society.

Cashless Means More Profit

Cashless payment is a no-brainer for consumers and helps vending machine operators make more profit. Consumers use a more convenient payment method at vending machines and vending machine operators are guaranteed to have a steady stream of sales. Sales increase and so does consumer satisfaction. The age of the smart vending machine has arrived. Machines that accept plastic can increase sales by 25 to 30 per cent,” says Professor Michael Casavanna of Michigan State University, who studies self-service technology.

When machines can prompt consumers to buy Snickers when they buy a bag of Doritos, revenue per transaction can increase by 15-20%. What vending machine operator wouldn’t want to increase their sales? Cashless card readers can not only increase sales but also customer satisfaction. In addition, operators who have already adopted card readers believe that it is the best investment they have ever made in terms of return on investment. When it comes to results, the proof of the value of card readers is in the numbers.

Plastic = More Spending

While more and more consumers are using credit cards for their general convenience, there are some interesting implications of using plastics. Paying for any purchase creates an immediate payment pain. However, this pain varies depending on the method of payment. As a result, consumers spend more money when paying with plastic than when paying with cash - and this has been shown to be true in vending machines. Research has shown that card users are more inclined to make impulsive purchase decisions, which is particularly valid for vending machines - impulsiveness and convenience are the main drivers for customers using vending machines in the first place. This means that the total sales of machines with card readers are much higher.

Adding a Credit Card Reader

How can vending machine operators encourage their customers to go cashless? One way is to add a credit card reader to your vending machine. Another way, is to remove the cash acceptance option from your machine altogether. Remove the coin mechanism and note validator and go completely cashless. You can also purchase machines without a bill validator or coin mechanism in the first place. This can encourage your customers to use their debit/credit cards or mobile payment options rather than notes or coins. Does this reduce overall profits as some people do not carry plastic.

Cashless Payment Options

For an operator to truly maximise sales from card readers they need to maximise the number of cashless payment methods. The most important thing about vending machines is convenience. If you ignore the most convenient way for people to use your machine, then they are less likely to use your machine. What if you have a machine at the gym and one of your potential customers forgets their wallet in the car? They might give up on the purchase because they don’t want to walk back to the car park. But if the machine accepts mobile payments, they can initiate Android Pay or Apple Pay on their mobile device and can proceed with the transaction - so you don’t miss a sale.

Fifty years ago, ATMs were a novelty. Now, there are so many different ways to pay for things. We still have plastic, but now there are digital options too, from Apple Pay and Google Wallet to apps like PayPal, Zelle and Venmo, which let you send and receive money with just a few taps on your smartphone. A world without cash isn’t a crazy concept. Look to the future and go completely cashless.

Guangzhou Zhongda Smart Technology Co., Ltd is a dynamic and innovative company specialising in the R&D, design, manufacture and sales of smart vending machines, with over 6 years of experience in vending machine OEM and production. With our experienced R&D team, dynamic sales team and skilled workers, coupled with our strict quality control system and good after-sales service, Zhongda vending machines have been very popular since their launch.

Our factory is conveniently located in Panyu District, Guangzhou City, China, close to both Shiqi Metro Station and Guangzhou South Railway Station. Our group partner company has a professional sheet metal processing workshop (4000sqm), powder coating production line (3000sqm) and assembly workshop (3000sqm), all production processes are under our strict supervision, which enables us to provide the best products and services to our customers at home and abroad. You are welcome to click on our Zhongda Smart English website to learn more about our company and the vending machine products we produce, or you can search for Zhongda Vending Machine on Alibaba’s international trade website to send us an enquiry by selecting our products directly, and we look forward to having a long and friendly cooperation!