Vending Machines Increase Sales 35% after Accepting Cashless Payments

Vending Machines Increase Sales 35% after Accepting Cashless Payments

April 25, 2019         Written By Bill Hardekopf

Michigan State University conducted an 18-month study evaluating the impact of cashless payments on vending machine sales. Their research showed machines with less than $2,000 in annual sales increased revenue by an average of 110% after the installment of cashless technology.

“Cashless technology” mostly refers to credit and debit card acceptance at vending machines, but it could also include mobile wallet payments on smart vending machines. Machines saw an average growth of 35% after installing cashless payment services, no matter how well they performed before.

The most notable finding from the survey was that even cash sales increased after the addition of cashless technology. Low-performing vending machines experienced a 97% increase in cash sales over 18 months, compared to 17% of all machines. Cashless sales increased by 131% in the low-performing machines and 78% in the total population.

The Michigan State study was conducted in partnership with USA Technologies, based on sales activities for over 250,000 vending machines. During the year-and-a-half span, machines experienced a 26% growth in total transactions and a 7% increase in spending per transaction. Credit card transactions increased by 74%.

Cash may still be a go-to choice for vending machines, but 56% of Americans believe the country will be completely cashless by 2030. Several states are working to derail that vision though, with legislation that requires stores to accept cash for transactions.

The information contained within this article was accurate as of April 25, 2019. For up-to-date information on any of the terms, cards or offers mentioned above, visit the issuer's website. Many of the offers on this article are from our affiliate partners, and LowCards.com may be compensated if you take action with any of our affiliate partners.

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About Bill Hardekopf

Bill Hardekopf is the CEO of LowCards.com and covers the credit card industry from all perspectives. Bill has been involved with personal finance for over 15 years. He is a frequent contributor to Forbes, The Street and The Christian Science Monitor.