Cashless

How Vending Can Solve Fourth Wall Revenue
How Vending Can Solve Fourth Wall Revenue 2048 1011 GAD Vending

Most retailers have dead space that isn’t earning as much revenue as it should. Smart, large box retailers look at every inch to make sure they maximize not only customer experience but also profitability. And so should you.

Vending is an excellent way to achieve this.

First, vending machines aren’t cheap but they are unattended, use very little floor space and can be changed out to various uses as demand dictates. For example, who would have thought 6 years ago we’d be outfitting PPE solution vending machines? But the pandemic changed that.

Vending machines payment solutions have changed with the times as well. While cash is accepted, there are touchless solutions available as well. There are apps as well so returning customers can program their favorites in for quick ordering. The apps also help the vending owner with inventory control, out of service issues and so much more!

Plus vending machines can be so easily branded to your business. Give your customer added flexibility to choose what they want, when they want it.

Here are a few ideas to get you thinking how a specialty vending machine can satisfy your customer and increase your cash flow:

  • Give the bartender a helping hand! Bars are using vending machines to vend individual drink options like champagne, canned drinks and beer. (Visit your state’s liquor license requirements first.) These drink vending machines are also popular at festivals, entertainment zones, concerts and other venues with a closed area, high traffic and a party waiting to happen!
  • Put a vending machine near a swimming pool. Load it with sunscreen, inflatables and water wings.
  • In a school, vending machines can have office supplies, binders and all types of classroom necessities.
  • Showroom samples are easily branded in a vending machine.
  • Employee vending machines can have a mini store stocked with over the counter medications, simple safety items, and more.
  • Put in a Crane coffee vending machine with a whole bean grinder to replace a coffee station or expensive k-cup machine.
  • A beauty vending machine has many possibilities to maximize floor space. Try in a mall, airport or hotel – wherever they is high foot traffic.
  • Add a utility payment kiosk.
  • A coin changer machines are a popular machine. It helps your customer redeem their coins and gives you a source of change for your establishment.
  • Create an electronics vending machine with headphones, chargers and other electronics to create a shoplifting secure, unattended solution.

For more ideas, take a look at Crane’s LookBook here. Contact GAD for more ideas, brainstorming and information.

GAD Knows Vending

Park. Tap. Charge.
Park. Tap. Charge. 2048 1366 GAD Vending

GAD has been on the forefront of cashless payment solutions through our manufacturer, Crane Vending.

With CPI payment systems, GAD has been installing, training and servicing cashless payment solutions in both attended and unattended solutions. GAD has been installing and servicing vending, change machines and ATM’s for decades.

The newest craze is EV Charging Stations. With so many EV’s coming to highways in the US, many are not finding convenient and easy to pay stations. But the solutions from Crane make it easy.

Tap and pay solutions make it really a Park, Tap and Charge solution. If this is what your business is looking into for your retail parking lot, employee EV charging stations or for a food establishment give the GAD sales team a call. We can help you with determine the best unattended or attended payment solution for you.

Vending – Brand Extension and New Marketing Opportunities
Vending – Brand Extension and New Marketing Opportunities 1100 450 GAD Vending

Vending: Not Just for Vending

How Convenience Services is Expanding

Vending: it’s not just for vending anymore. As retailers and brands look for ways to extend their reach and distribute their products in new ways, they’re turning to vending for customized merchandising solutions. A trend driven by both retailers and end users seeking self-service, vending operators are presented with new market opportunities to deploy the equipment they’ve been using for years in a whole new way.

Brand Extension

How Custom Vending Can Play a Role

Auto Vending Specialists (AVS), an Australian equipment distributor, has successfully used vending for companies seeking to deploy and extend their brands in unique ways. Some of the world’s leading retailers, including Moet, Armani, Lancôme, and Yves Saint Laurent, have partnered with AVS to produce custom vending machines that both promote their brands and delight their customers.

Their most recognizable project supported wine producer Moet with a custom vending machine. Designed to dispense single-serving champagne bottles, the fully branded vending machines debuted at high-end events and venues. Vending gave Moet an interactive way to take their brand and their product directly to the end customer.

The custom machine program resulted in an uplift for AVS revenue and awareness. To support the custom requests, many of which are for pop-up or temporary events, the AVS model enables companies and brands to rent the machines. This allows them to use the same equipment from event to event, with custom wraps and graphics for each. AVS founder, Basil Hourmouzis, explained that while AVS works with multiple machine manufacturers, they lean on CPI machines for custom events. The flexibility and brand reach enabled by the custom machines’ graphics and digital media screens delivers extra value to retailers.

Big Branding Opportunities

Vending’s Custom Future

Hourmouzis believes that the trend towards non-traditional vending will continue to increase over the years, as retailers look for new ways to distribute and promote their products and brands. Both distributors and operators should accommodate these changing needs, increasing the flexibility of their offerings to support clientele beyond the traditional convenience services market.  Increased consumer reliance on self-service will mean increased demands from brands looking for new options to stay engaged with their customers.

Vending – Brand Extension and New Marketing Opportunities
Vending – Brand Extension and New Marketing Opportunities 1100 450 GAD Vending

Vending: Not Just for Vending

How Convenience Services is Expanding

Vending: it’s not just for vending anymore. As retailers and brands look for ways to extend their reach and distribute their products in new ways, they’re turning to vending for customized merchandising solutions. A trend driven by both retailers and end users seeking self-service, vending operators are presented with new market opportunities to deploy the equipment they’ve been using for years in a whole new way.

Brand Extension

How Custom Vending Can Play a Role

Auto Vending Specialists (AVS), an Australian equipment distributor, has successfully used vending for companies seeking to deploy and extend their brands in unique ways. Some of the world’s leading retailers, including Moet, Armani, Lancôme, and Yves Saint Laurent, have partnered with AVS to produce custom vending machines that both promote their brands and delight their customers.

Their most recognizable project supported wine producer Moet with a custom vending machine. Designed to dispense single-serving champagne bottles, the fully branded vending machines debuted at high-end events and venues. Vending gave Moet an interactive way to take their brand and their product directly to the end customer.

The custom machine program resulted in an uplift for AVS revenue and awareness. To support the custom requests, many of which are for pop-up or temporary events, the AVS model enables companies and brands to rent the machines. This allows them to use the same equipment from event to event, with custom wraps and graphics for each. AVS founder, Basil Hourmouzis, explained that while AVS works with multiple machine manufacturers, they lean on CPI machines for custom events. The flexibility and brand reach enabled by the custom machines’ graphics and digital media screens delivers extra value to retailers.

Big Branding Opportunities

Vending’s Custom Future

Hourmouzis believes that the trend towards non-traditional vending will continue to increase over the years, as retailers look for new ways to distribute and promote their products and brands. Both distributors and operators should accommodate these changing needs, increasing the flexibility of their offerings to support clientele beyond the traditional convenience services market.  Increased consumer reliance on self-service will mean increased demands from brands looking for new options to stay engaged with their customers.

Vending Payment Options: What Customers Want
Vending Payment Options: What Customers Want 2048 1365 GAD Vending

Cash Payment Preferences

Options, options, options: consumers demand them in everything that touches their lives. I’m sure you don’t need to be reminded about the proliferation of the seemingly never-ending turnover of snack and drink options in your warehouses and machines.

Well, the latest Federal Reserve Diary of Consumer Payment Choice has been published and, once again, confirms that consumers expect options in payment methods when making an in-person purchase. The continued rise in digital payment methods is evident from the study, but so is the importance of (and preference) for cash payment as an option.

Where Cash Counts

Consumers don’t look at the decision to use cash or a digital payment type as zero-sum. And, this is particularly true for transactions under $10, where cash is used 59% of the time according to another study by Cardtronics. Consumers expect options in the goods and services they purchase, as well as how they purchase those goods and services.

In that 2018 Health of Cash study by Cardtronics, 1000 consumers aged 18 and over were surveyed on their in-person (not online) spending preferences. 73% of those consumers reported using cash regularly despite other forms of payment being available, and nearly 45% said they would stop going to a store or restaurant if it stopped accepting cash. The findings also concluded that 56% of people use cash for purchase amounts of $30 or less, just slightly below the 59% for purchases $10 or less.

In that same Cardtronics study, I was surprised to read that 81% of consumers use cash as frequently, if not more, than they did last year. I’ve read an increasing amount of articles describing cash as a budgeting tool for the younger generations—a demographic we don’t think of as having any meaningful interactions with cash. Turns out, what’s old is new again—just like my college clothes, long ago discarded in the back of my closet. If they only still fit…

Going Steady with Cash

The continued use of cash is also reflected in data on ATM usage. In 2018, six in 10 people (59%) reported withdrawing money from an ATM monthly or more frequently, according to a Mercator Advisory Group report. This rate remains unchanged from a few years ago, as Mercator found that six in 10 people used an ATM at least monthly in 2016, showing that ATM usage remains stable.

Even millennials are withdrawing cash at high rates. That same Mercator report found that 53% of people aged 18 to 34 reported at least monthly ATM usage. The report also found that young adults are also more willing to try alternative authentication methods including the use of biometric data. It’s hard to conclude against cash remaining a preferred, if not desired, payment option with so many young people relying on ATMs to withdraw cash at least a few times a month.

Looking back to the Federal Reserve study, if we compare a 2013 Consumer Diary study to the 2018 edition, it is interesting how little has changed. Back in 2013, the majority of purchases (across all demographic groups) $10 or under were made using cash; in 2018, the same remains true. Debit card usage continues to grow, but only becomes dominant in transactions exceeding $25.

Coping in a Cashless Society

Another demographic to consider is the unbanked. According to a late 2017 survey by the FDIC, one in four US households are unbanked or underbanked—referring to people who don’t have a bank account, or only use their account for direct deposits, and immediately withdraw the balance. This population only transacts in cash, and carries a significant amount of buying power. And, the younger generations we mentioned before? The population aged 15-34 makes up the largest portion of the unbanked and underbanked. We see this more than ever, with some cities now reacting by mandating retailers accept cash in an effort to protect the unbanked and underbanked as the trend of stores going completely cashless rises. My very own city of Philadelphia just passed a similar law prohibiting “cashless only” retail operations.

A route driver or technician approaches a bank of machines, and can instantly see, in simple green, yellow or red icons, the health status of every payment peripheral in those machines. They can see all alarms in priority sequence to help the tech work through the tasks at hand. And best of all, any alarm automatically links to a series of written troubleshooting steps or videos to walk anyone through to resolution.

What This All Means for Vending

We are a convenience services industry, delivering outstanding products and services every day. Cleaned, filled, and working isn’t enough to drive sales growth. Operators need to ensure every potential vend patron can make a purchase at machines, with no barriers. While we all get excited about the possibilities of cashless (as we should—connectivity does amazing things for machine efficiencies and customer experience), we can’t assume that because cashless is great, cash no longer is. Cash isn’t going anywhere, and operators are wise to remember this. A great operation continues to be a diversified one.

We always say it, because it’s always true: from cash to credit to mobile and beyond, design your operation to take whatever is in the consumer’s wallet.

Labor Shortage Issues? Want to Accept Cards and CASH? Look Into How Self Check Out Can Help Your Business
Labor Shortage Issues? Want to Accept Cards and CASH? Look Into How Self Check Out Can Help Your Business 750 520 GAD Vending

47% of all sales that total under $25 are paid in cash

It’s 2022–Retailers have recognized the value of self-checkout technology and the benefits it will bring to their stores including easing labor shortage problems, improving the customer experience, and, of course, increasing the bottom line. Now you need to consider how to deploy your self-checkout to best suit the needs of your stores and your customers; the big question is—do you automate cash, or go completely cashless?

You may be leaning toward cashless—it’s less costly upfront, and card payments seem more like “the future.” Let’s examine that assumption—can you get the full ROI you expect from your self-checkout without adding cash? First consider from the perspective of the speed of service; self-checkout will move your customers through the line faster and eliminate long lines at peak times of day. If you’ve only automated cashless payments you haven’t solved the complete problem, and will not be able to repurpose cashiers to take on additional store related tasks, like cleaning, stocking shelves, etc. Stores that struggle with staff shortages will find relief by allowing their customers to checkout without their assistance, ensuring only one cashier is required to ring up age-verified products.

41% of customers will abandon their purchase if they see a long line

What is your customers’ experience? For the average purchase in convenience stores, consumers overwhelmingly choose cash; 47% of all purchase values under $25 are paid in cash. The percentage of cash usage in your stores may be even higher given that the average c-store transaction is between $3.75-9.00; recent studies report around 40-50% of purchases are made in cash. In addition to preferences, the Federal Reserve estimates 20-28% of the population is currently “unbanked,” or “underbanked,” and do not have access to card payments. Cashless only self-checkouts could lead customers to perceive unfairness—why should they wait in line while the card paying customer can breeze right through? It’s not worth the risk alienating such a large portion of your customers.

Card-only self-checkouts will still require a cashier to handle all cash payments, increasing the likelihood that lines will continue to be long at rush hour, and risk customers walking out without purchasing. 41% of customers will abandon their purchase if they see a long line, and one bad experience can sour customers on your entire business. Almost half of consumers avoid a specific store if they have to wait longer than 5 minutes. No one wants to lose business due to customer dissatisfaction, and these lines can be effectively eliminated by deploying cash automation with self-checkout.

Lastly, cashless processing isn’t always as cheap as it seems to be. There’s a good chance cash payments cost less as a percentage of your revenue than cashless. Driving customers to cashless may actually increase costs and negatively impact profit margins.

In order to fully reap the benefits of your self-checkout deployment you need to include both cash and cashless payments. Cash automation makes it a well-rounded solution and delivers a superior ROI for your business.

If you are looking for self check out equipment that accept both cash and cards, give GAD a call. Our sales team is knowledgeable to help retailers save on labor cost, speed check-out, and improve customer experience.

3 Reasons Why Self Checkout is a Smart 2022 Solution
3 Reasons Why Self Checkout is a Smart 2022 Solution 332 347 GAD Vending

It’s 2022 and savvy retail owners have recognized the value of self-checkout technology and the benefits it will bring to their stores including:

  1. Easing labor shortage problems
  2. Improving the customer experience
  3. Increasing the bottom line

Now you need to consider how to deploy your self-checkout to best suit the needs of your stores and your customers; the remaining big question is—do you automate cash, or go completely cashless?

47% of all purchase values under $25 are paid in cash

You may be leaning toward cashless—it’s less costly upfront, and card payments seem more like “the future.” Let’s examine that assumption—can you get the full ROI you expect from your self-checkout without adding cash? First consider from the perspective of the speed of service; self-checkout will move your customers through the line faster and eliminate long lines at peak times of day. If you’ve only automated cashless payments you haven’t solved the complete problem, and will not be able to repurpose cashiers to take on additional store related tasks, like cleaning, stocking shelves, etc. Stores that struggle with staff shortages will find relief by allowing their customers to checkout without their assistance, ensuring only a few manager cashiers are required to ring up age-verified products and help customers with items that don’t want to ring up easily.

Next, think about your customer’s experience. For the average purchase in convenience stores, consumers overwhelmingly choose cash; 47% of all purchase values under $25 are paid in cash. The percentage of cash usage in your stores may be even higher given that the average c-store transaction is between $3.75-9.00; recent studies report around 40-50% of purchases are made in cash. In addition to preferences, the Federal Reserve estimates 20-28% of the population is currently “unbanked,” or “underbanked,” and do not have access to card payments. Cashless only self-checkouts could lead customers to perceive unfairness—why should they wait in line while the card paying customer can breeze right through? It’s up to the retailer to know their average ticket sale and customer demographic to make the right choice before going all cashless.

Card-only self-checkouts will still require a cashier to handle all cash payments, increasing the likelihood that lines will continue to be long at rush hour, and risk customers walking out without purchasing. 41% of customers will abandon their purchase if they see a long line, and one bad experience can sour customers on your entire business. Almost half of consumers avoid a specific store if they have to wait longer than 5 minutes. No one wants to lose business due to customer dissatisfaction, and these lines can be effectively eliminated by deploying cash automation with self-checkout.

41% of customers will abandon their purchase if they see a long line

Lastly, cashless processing isn’t always as cheap as it seems to be. There’s a good chance cash payments cost less as a percentage of your revenue than cashless. Driving customers to cashless may actually increase costs and negatively impact profit margins.

In order to fully reap the benefits of your self-checkout deployment you need to decide to include both cash and cashless payments. Cash automation makes it a well-rounded solution and delivers a superior ROI for your business.

Having a conversation with a well versed GAD Vending sales person can help you determine the optimal self checkout solutions for your business. Let us help today.

Crane Vending Machines Configured with Drinks and Snacks. Midwest at GAD Vending.

Vending Is Going Green
Vending Is Going Green 750 395 GAD Vending

Sustainability: The Hot Topic

There’s one topic that has transcended every country, industry, and consumer group: sustainability. As a new generation of buyers emerge, one with increasingly potent buying power, businesses are faced with a decision: get on board with sustainability, or get left behind. What do retailers need to know about this consumer shift toward sustainable purchasing? We break it down for you. Read on to understand the trends that are molding a new generation of business investments.

NEXT VEND, NEXT GEN

Meet the Newest Group of Vending Consumers

As retailers start investing in new technology, it’s important to understand the consumers they’re serving. With Gen Z wielding nearly $143 billion in buying power, they make up over forty percent of global consumers. What’s more? It’s estimated that ninety-three percent of parents say their Gen Z children’s opinions influence their household spending decisions. Capturing the attention and trust of Gen Z is a no brainer when it comes to running a successful, future-proof business. There’s more: Gen Z-ers are earning income sooner than their predecessors in the Millennial age group. Most enter college with a job, and nearly half (46%) of them having already joined the gig economy. They have money to spend.

With this in mind, we know where Gen Z goes, money flows. So how can we win their business? Sustainability is a natural place to start. Gen Z buyers care about what brands care about, with over 54% saying they’re willing to pay an incremental 10% more on goods and services coming from businesses that directly work sustainability and environmentally friendly practices into developing and delivering their products.

RETAIL SUSTAINABILITY

More than Generational

While Gen Z makes up a major part of the global buying power, the impact of socially responsible businesses isn’t lost on millennials or even boomers, with even bigger portions of this generation following through on opinions with actual spending. Forrester Analytics’ latest Consumer Technographics® data showed that 51% of boomers are more likely to say they’re environmentally friendly, and 59% are actually willing to look for and direct their spending with brands that boast energy-efficient labels.

And the investments don’t stop there. A 2019 CSB study found that nearly 50% of sales growth between 2013 and 2018 came from sustainably-marketed products. IBM’s 2020 consumer research study showed that 57% of consumers (across every age group) were willing to change their purchasing habits to help reduce negative environmental impact. More than 7 in 10 of those same consumers would pay a premium to make purchases from brands that support recycling and sustainability.

VEND SOMETHING BIG

Cashing in on a Mega Trend

Sustainability counts when it comes to consumers, but it can also have a big impact on business costs. 75% of corporate sustainability professionals say that businesses need to get better at including sustainability into business strategies. Many view sustainability as a megatrend. Morningstar defines megatrends as movements “likely to have broad, deep, and long-lasting impacts on our lives and institutions, and those of future generations.” With businesses like Amazon, HP and Unliver boasting decades-long plans to restructure their business models to support sustainability, it’s clear that this isn’t just a fly-by trend, but one we can expect to see permeating businesses for decades to come.

But, there’s evidence to suggest that getting in on the trend can actually benefit a business’s bottom line. Though shifting towards more sustainable business practices costs more up front, companies have realized that “greening” their businesses reduces the cost of business over time, with many companies prioritizing sustainability efforts in order to improve operational efficiency. And there’s more: Many companies can benefit from tax credits, rebates and savings by going green.

THE TAKEAWAY

Sustainability is Here for the Long Haul

With consumers driving the demand for more sustainable, environmentally friendly purchase options, it’s clear that sustainability is a trend that’s here to stay, and retailers must make the investment in technology and products that meet the call to action. As retailers seek to be more competitive, the importance of sustainable investment—from technology to operations to product—and communicating that investment to consumers, couldn’t be more important.

Taking these steps is surprisingly simple. Ask us how you can invest in responsible, sustainable technology to start driving your business toward a greener, more profitable future.

GO GREEN WITH CPI

Learn about how Crane Vending and GAD are bringing sustainability to unattended retail

Crane Vending Machine Touchless Purchasing options.

What Vending Operators Need to Know to Be More Green
What Vending Operators Need to Know to Be More Green 1000 656 GAD Vending

THE SHIFT

Sustainability at the Forefront

Sustainability has never been more important. The pandemic, war and politics remind us of the fragility of our world, reaffirming our need to protect the health of both people and the planet. That’s why it’s no surprise that in the wake of crises, businesses and industries alike are taking active steps toward a more sustainable future. And it’s not just because it’s the right thing to do, it’s what today’s consumers have come to expect.

But where do vending machine operators fit into the sustainability equation? And how can they adapt to meet evolving industry standards and the needs of environmentally conscious consumers?

THE NEED

Making Vending More Planet-Friendly

Traditional vending solutions have come a long way in recent years, with today’s smart machines offering everything from freshly brewed self-service coffee to cosmetics, clothing, PPE and everything in between. But alongside advances in vending technology, a green revolution has also been taking place, challenging operators to reexamine the environmental impact of their products and their machines.

From increasing the energy efficiency of their equipment to offering more eco-friendly products, operators are doing their part to ensure cleaner, greener vending operations. And, we can all do more. Adding packaging that is easier to recycle or is biodegradable. Keeping vending machines cleaner with touchless payment options. Providing customers with recycling options near them. And, upgrading machines to more environmentally friendly refrigerants.

GAD Knows Environmentally Friendly Solutions (while remaining cost effective). GAD is an authorized Crane Distributor. Call us today to find out more about what we stock, how our service department can help you and how GAD can help you provide more Planet-Friendly solutions.

Where Do You See Vending Machines?
Where Do You See Vending Machines? 1800 1200 GAD Vending

Where do you see vending machines? Everywhere!

Sometimes we walk right by without thinking but so many times we run up and think “thank goodness”. That’s where the perfect placement of a vending machine rocks. And, with Crane vending + GAD, there are lots of ways we can create a positive vending experience.

  • A big success metric to vending is foot traffic.
  • Add exciting graphics.
  • Promote product mix with ad graphics on the digital display.
  • Allow customers to use touchless payment methods or cash.
  • Regular customers can be sent messaging of a special or a new product.
  • Keep your vending machine in good repair with regular maintenance and set up alerts if there is a problem.
  • Tie it all together with Crane’s comprehensive remote management systems.

So, where do you see vending machines? Office, warehouse, breakroom, hospital waiting rooms, cafeterias, café, shopping malls, sporting venues, concerts – anywhere and everywhere people are.

GAD Vending

Greater America Distributing (GAD Vending) is your premier marketer of vending equipment and amusement games in Mid America.  The company has been operating for over 30 years with offices in Omaha, Nebraska; Kansas City, Missouri; and Grimes, Iowa, a suburb of Des Moines.

Omaha

6161 Grover Street, Omaha,
NE 68106

1-402-553-2812
[email protected]

1-402-553-2812
[email protected]

Kansas City

3230 Roanake Road, Kansas City,
MO 64111

1-816-531-4300
[email protected]

1-816-531-4300
[email protected]

Des Moines

2105 SE 37 Street, Grimes,
Iowa 50111

1-515-278-4455
[email protected]

1-515-278-4455
[email protected]

Greater America Distributing

© 2023 Gad Vending. All Rights Reserved.

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