Over recent years, there have been numerous reports[i] about a ‘cashless’ society suggesting that cash will be replaced by cards and people paying with their mobile apps. Whilst cards and mobile app usage has increased, the use of cash has not decreased. The US Federal Reserve predicts, “cash will grow an average of 1.7% per year from 2012 to 2022, with other reports stating a 79% cash increase over the next decade[ii]”.
Cash still provides a simpler way to pay for items, especially for low-cost items. The Reserve Bank of Australia[iii] stated “the use of cash as a payment means remains widespread”, adding “consumers used cash for most of their low-value transactions, with around 80 per cent of the number of payments under $25 in 2010 made using cash”.
Compared to credit cards, the costs of cash and debit cards is substantially lower[iv]. This statement is also supported by the European Central Bank and the US Federal Bank of Kansas independent studies.
So what does this mean for retailers in the UK, Europe, USA and Australia?
It appears that the myths dispelled and perpetuated by credit card companies have no basis and that cash will not be going anywhere, anytime soon. Inger Davidson, Marketing Manager for Cashmaster International, who specialise in count-by-weight 'cash counting' machines states
“These reports back up our own independent research that cash is here to stay and that consumers will always depend on it, thus retailers will continue to have a need to count cash in great quantities”.
Cashmaster International is a global company specialising in manufacturing count-by-weight ‘cash counting’ products. Established in 1977, the entire range of ‘cash counting’ machines and printers is designed and manufactured in Scotland.
For additional information please contact: Inger Davidson, Marketing Manager.
firstname.lastname@example.org or tel: 01383 416 098.
[i] Currency Research – The Case for Cash summary report
[ii] Currency Research – The Cash for Cash summary report
[iii] Reserve Bank of Australia, 2001 – 2014.
[iv] The British Retail Council’s (BRC) 2012 study.