Posts Tagged ‘Cash machine’

Mastercard raises fees for ATM owners

Sunday, May 9th, 2010

With little warning and no consultation, Mastercard has changed the ATM fee structure for Mastercard-branded cards, as well as its Cirrus card network.

The changes are complicated, but they break down into two basic categories:

1. Mastercard pays an “interchange fee” on every ATM withdrawal involving its Mastercard/Cirrus networks. As of April 1, MasterCard cut those payments by 30 percent.

2. Mastercard charges a fee for any transaction involving its Mastercard and Cirrus networks. As of April 16, Mastercard more than tripled that fee.

Added together, Mastercard is cutting its per-transaction payment by more than 62 percent on most transactions — dealing serious harm to every nonbank company that deploys ATMs. Overall, the move is expected to cost the nonbank ATM industry up to $26 million a year.

Other cards and networks currently are not affected.

BOTTOM LINE
Here’s what it means for ATM owners and operators: As of April 1, Mastercard is taking an additional 28 cents or so from every Mastercard-related transaction processed by a nonbank ATM.

WHAT YOU CAN DO
We will give the Mastercard deduction its own line on our monthly statements, so you can see exactly how much this affects your residual amounts.

We recommend raising your surcharge to cover the Mastercard/Cirrus pass-through. You might consider urging your customers to use any other card, such as Visa, Discover, American Express or regional banking cards.

You can also contact Mastercard/Cirrus directly at 1-800-627-8372.

For further updates, announcements and current industry headlines, check the “News” section on our ATM Network home page.

Tags: ATM, atm fees, ATM machines, Cash machine
Posted in ATM operators, ATM owners, Company news, Finance, Industry news | Comments Off

In midst of recession, ATM use surged

Monday, May 3rd, 2010

The ATM business is sometimes described as “recession proof”, and stories like this are one reason why.

U.S. consumers are withdrawing more money from ATMs, likely the result of the economic recession, industry insiders say. In September 2008, when the recession was official, consumers started relying more heavily on cash and debit, and less on credit.

Gary Faulkner, the executive vice president and chief marketing officer of Morphis Cash Forecasting Software of Dallas, says it was around that time that U.S. ATM withdrawals started going up. He said many of his ATM customers started complaining that the Morphis forecasting tool was not meeting targets, and ATMs were often low on cash because of increased withdrawal amounts. Faulkner says ATMs that had been effectively managed by Morphis’ system for years were suddenly running out of cash.

“Starting in September 2008, customers were complaining that the forecasting was not right,” he said. “Nearly universally, our customers saw an increase in transactions and an increase in cash withdrawals per transaction.”

Faulkner says the volume of transactions increased as well. In fact, Faulkner estimates that the overall cash withdrawals from each transaction increased from roughly $65 to $75 a transaction to about $100 a transaction.

We’ve written before about the practice of using cash accounting to manage tight budgets — withdrawing a certain amount of money for holiday shopping or a weekly budget, and when the cash is gone, stop spending. We’ve also noted why a recession can be good for ATM usage.

Now the numbers are in. ATMs really *are* recession proof.

Tags: ATM, ATM machine, ATM machines, ATM Network, ATMs, Cash machine
Posted in ATM benefits, ATM operators, ATM owners, Research | Comments Off

ATM maker Triton sold for $7.5 million

Thursday, April 29th, 2010

A year after a failed merger with Nautilus Hyosung, ATM manufacturer Triton Systems — maker of the popular Triton RL1600 — has been sold.

Triton Systems of Delaware was recently purchased from the Dover Corp. by a group of private investors for $7.5 million.

Triton Systems president and CEO Daryl Cornell says the new owners have expressed confidence in their ability to continue to grow the company.

“The only real change is the end of the uncertainty surrounding Triton during the protracted sale process,” Cornell said. “We believe that this sale was the best possible outcome for Triton, its customers, its employees and the community.”

The company will maintain a strategic partnership with the publicly held Dover, but does not plan a public stock offering of its own.

Cornell says Triton’s continued partnership with Dover had its advantages. But being a privately held will allow Triton to explore otherwise unavailable opportunities and partnerships.

The company will not seek a public offering, either, Cornell says. Such a move would allow Triton access to equity markets, but would be too cost prohibitive in the end.

In the short term, no major changes are expected, and no executive departures were announced.

Tags: ATM, ATM machine, ATM machines, ATMs, Cash machine
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The Tranax 1705W: New product review

Wednesday, May 27th, 2009

Whenever we get a new ATM model in, we keep a close eye on it. We test it ourselves for reliability, ease of use, ease of service and feature set. We also pay close attention to what our customers say during and after installation.

We recently concluded our testing period for the Tranax 1705W and have found it to be nothing short of spectacular.

We have installed nearly 100 and they are operating without errors. Our customers have said they like the ease of operation, the easy-to-read 7″ color screen and the capacity to display 8 advertising screens. They also like the TCP/IP capabilities, because they can connect the ATM through an Internet connection and not pay for an extra phone line.

The one complaint is that the manufacturer ships the 1705W without an owner’s manual. So we’ve created a digital manual that will be included with every order (on a CD-ROM) and also available to download from the troubleshooting page on our website.

We will continue offering the Tranax 1705w at its introductory price through the end of June. So get a great ATM at its lowest price ever and see for yourself what it can do for your business.

To learn more, visit the ATM Network store, fill out a form or call us at 1-800-929-0228.

Tags: ATMs, Cash machine
Posted in Research, Technology | Comments Off

ATMs are a ‘must have’ for bars and nightclubs

Monday, April 6th, 2009

Nearly 40 years after the first ATM made its debut outside New York City’s Chemical Bank, it seems that cash machines are everywhere. In addition to being on nearly every street corner and convenience store, ATMs often find a home inside bars and nightclubs.

If you ask barowners and managers about ATMs, most will tell you that they couldn’t operate without them.

“I think it is essential for anybody who sells liquor and food to have ATMs,” said Roger Payne, General Manager at Shephard’s Beach Resort in Clearwater, Fla. “It helps people spend money. Some people don’t want to use their check card. They prefer to use debit and get cash out of the machine.”

Many bars and nightclubs don’t accept credit cards on busy nights. On those nights, ATMs typically get a ton of business. According to Cory Huetter, owner of The Safari Bar in Omaha, Neb., “Our bartenders just get way too busy to mess with credit cards. In the time it takes to ring up a credit card they could have poured 50 shots.”

Tim Borden is vice president of corporate development for Ala Carte Entertainment, a Chicago-based restaurant and nightclub company that operates 27 locations. He said having an ATM in your business often determines whether a customer stays or goes elsewhere. “Having an ATM is not a novelty anymore. People almost expect it there. For a decent-size establishment, it’s almost a prerequisite in people’s minds.”

A big advantage of having an ATM inside a bar or nightclub is that much of the money withdrawn ends up getting spent inside the business. “I think a good percentage of the money withdrawn is for the purpose of spending at bars,” Borden said. “You also get a lot of return on additional sales.”

Learn more

To find out more about ATM ownership, leasing or placement, e-mail info@atmnetwork.net, visit our Benefits page or download our Buyer’s Guide.

Tags: ATMs, Bar, Cash machine, Nightclub, Restaurant
Posted in ATM benefits | Comments Off

7-11 study measures advantages of ATM ownership

Wednesday, December 31st, 2008

7-11 first installed ATM machines in all of their locations nationwide more than 30 years ago because they learned (maybe before anyone else) that customers that use their ATMs to withdraw cash end up spending money inside the store.

Not only did ATM customers spend money inside the store when they use a cash machine, but they actually spend 25 percent more on average than non-ATM customers. For many types of business owners, this adds up to additional revenue of several hundred dollars every month.

Cash machines have become a very popular tool for personal banking. Nearly 80 percent of all banking is done through privately-owned cash machines in places like gas stations, convenience stores, bars and nightclubs.

People are busy these days, and it makes them impatient. They don’t want to stand in line at a bank just to get cash. So most people get cash while doing other things like shopping or running errands.

As a result, many people make decisions on where to shop based on whether or not there’s an ATM machine inside. Indeed, most customers expect businesses like gas stations, convenience stores, and bars to have cash machines.

Further, a convenience like an ATM increases customer loyalty. Once customers know you have an ATM, it’s much easier to get repeat business from them and have them coming into your business weekly or even several times per week.

For the customers that come into your store just to use the ATM machine and do not end up spending money, you still earn the transaction fee on the machine, which is normally between $2.00 and $3.00.

Learn more

To find out more about ATM ownership, leasing or placement, e-mail info@atmnetwork.net, visit our Benefits page or download our Buyer’s Guide.

Tags: ATM Network, ATMs, Cash machine
Posted in ATM benefits, Research | Comments Off

80% of banking transactions occur at private ATMs

Wednesday, November 26th, 2008

People do not go to the bank to get cash the way they used to. Instead, they look for retail locations to get money while running other errands like getting gas or shopping. In fact, over 80 percent of all banking transactions do not take place at banks — they take place through privately owned ATMs.

For merchants that have ATMs in their business, that means increased customer traffic. Because getting cash is one of the things on their “to-do” list, most customers get cash, gas, cigarettes, coffee, etc. all at the same location.

Here’s what some ATM owners had to say about having atms in their businesses:

“Operating a convenience store, we certainly could not live without an atm. People come to use the atm and end up spending more money in our store. Before we had one, we lost many customers to a competitor up the street.”

Ron Coolidge, owner, Super Stop

“We don’t accept credit cards, and since the local bank ATM does not advance funds on credit cards, this has impacted my business and given my customers an additional payment option. I recommend this system to bars or taverns of any size in any town.”

Daniel Bowden, Owner, Doolittles Pub & Eatery

“I think it is essential for anybody who sells liquor and food to have ATMs. It helps people spend money. Some people don’t want to use their check card – they prefer to use debit and get cash out of the machine. Plus, you see a lot of return on additonal sales.”

Cory Hunter, General Manager, Boondocks Bar & Grill

What would it mean to your business if customers came in just to get cash then decided to spend money?

In addition to seeing increased sales, the owner of an ATM also get to keep the transaction fee charged by the machine. If you accept credit cards, you’ll also see a reduction in your credit card fees because more people will withdraw and spend cash instead of making you pay a processing fee by using your credit card terminal.