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Posted

I know that revenue is somewhat based on traffic and client demographics, but generally speaking, how much could I anticipate in increased revenue for a machine with a card reader added on it?  10%, 20%? What would be a reasonable expectation/target?

Currently, for a variety of reasons, one of my locations is strictly cash. I also have bill changers/coin machines there that the clients have access to. 

Thanks in advance folks!

Posted

It all depends on the clientele.  Younger generations and office folks will be more prone to use cards.  Blue collar and workforces that are older will trend more to cash.  Public areas will do cards well, too.  High prices are easier to handle with cards too. 

Posted

these "guys" are usually in the under 45 category and staff (coed) are roughly in the same range. One of my locations happens to be a rehab center: limited ability to leave the premise while in their program.

Posted

Rehab won't use cards unless cash is prohibited.  If cash is allowed it's unlikely that many people in rehab have a valid card to use.  Stick to cash.

Posted

Sounds good. I'm inquiring to the Directors as we speak, per se, to verify. There was some pushback in the past, but things change... Thanks for the info!

Posted

I do a couple various rehab type places.  It really depends on what kind of "rehab" it is because it's a really broad term.  If it's the type of place that involves temporary/permanent housing, they will have some kind of social security disability income most likely and they'll have that loaded onto a card that they will happily spend on various things.

In general, card sales account for maybe 60% of my overall sales.  However, that doesn't mean that if your sales were $40/week with cash that they will be $100 week once you add a card reader.  What it really means is that maybe your sales were $75/week and now they'll be $100/week but your cash sales will go from $75 to $40 and your card sales will go from $0 to $60.  

The point I am making is that it's hard to really say how much of a boost you'll get, but it's good enough that ANY decent location that requires at least bi-weekly servicing SHOULD see a good 20%+ boost when you add card readers.  If the demographics are averaging well under 45 years of age, there's a good chance that many of them don't carry cash at all and you might see a significant boost in sales from card readers such as doubling your sales.  In today's world, you really can't operate effectively without card readers and not just because of missed sales opportunity but also because of pre-kitting, the ability to see how low a machine is, and giving an alternative way of paying should the bill acceptor and/or coin mech have problems.

Posted

Just as a reference, I'm 64 now and can't even tell you how much cash is in my wallet because I don't use it.  I'm all card now and I even scam myself by paying Canteen $3.10 for a single large cookie at work that I'll bet they pay maybe .89 for.  I WILL be having a friend still in vending come to put machines in and dump the greedy Canteen.  Now I'm not bashing getting the highest pricing you can but.... it's the hated Canteen..... and the prices are a bit ridiculous.

Posted

thanks for the information from all! I had a conversation with the NAYAX rep and he implied that on average I could see 30% increase in revenue. I'm a bit skeptic because he had hard time trying to explain the transactional service charge and also got a bit hung up on the conversation about "Average revenue increase. Either way, I agree with the consortium that adding a CC reader is a good idea, but I'll have to wait for the Dir(s) to confirm that the readers can be added for some of the reasons brought up in the thread. In the one bldg where 2 of my machines are, there are 48+ clients at capacity and at least 7 staff onsite 24X7 so the opportunity is there for sure.

Again, thanks to everyone for their responses!

Posted
1 hour ago, Riverwood said:

Exactly why I come to you folks! 

The sad thing in today's world is that if a location can't justify the cost of a card reader, you shouldn't even have the location to begin with.  If it's a good location, the telemetry alone can be worth it.

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