For the first time in history, cash is no longer king.
The Payments Council – who monitor these statistics carefully – have published figures showing that the number of cash transactions made by consumers and businesses in the UK fell to 48% last year, down almost 8% from 52% in 2013. It marks the first time that debit cards, contactless and “other” non cash (digital) payments have collectively overtaken notes and coins.
The number of cash payments was 18.3bn in 2014, while non-cash methods reached 19.8bn. The Payments Council expects cash to continue its decline – dropping to 30% of transactions within 9 years from now.
We all know that people are just not carrying the pocket full of change that they used to – so – Vending Operators with a fleet full of coin mechanisms – take note (no pun intended!) – the times (and the payment methods) they are a changing!
Greater growth is also being driven by the retail sector. the government is bringing in legislation that states that all payment devices in the sector must include the ability to transact via contactless means. it is often known that when legislation impact upon the retail sector much of the commercial landscape follows suite pretty quickly. this new technology allows for faster transaction and use of cash and renders expensive cash counting and traditional service obsolete. it makes way for a more efficient system.
As a result a whole range of innovative hardware and software being developed to piggy back off this new demand, Fintech is one of the biggest growing industries.
So how does this relate to vending machines, is cash still king? undoubtedly there are a lot of benefits and efficiencies from cash counting to increased machine service awareness. as a industry this could give machine operators and coffee machine operators the missing piece of the puzzle to guarantee service to their clients and provide a more slick operation. nothing stays constant and these would be welcome changes for the industry as a whole.