Tag Archive for: credit card

How Can an ATM Machine Attract Business?

by

We have all been in the situation where we have run out of money and need to fill our wallets or purse with cash. Credit and debit cards are almost accepted everywhere but nothing is better than having physical cash. Install an ATM machine to attract business and you can help provide people with easy access to cash.

Did you know that there are a variety of ways to attract business and make more money when you install an ATM machine into your business? Businesses owners are unaware of the benefits of owning an ATM machine.

 What are the Benefits of having an ATM?

How Can an ATM Machine Attract Business?

ATM machines are great additions to a business because they can naturally attract customers inside. When a sign is posted outside indicating that an establishment has an ATM machine you draw in more people to visit your store.

People will casually walk in just to get some cash and often will make a small purchase. This can help increase business since a lot of people will visit in a given day just to withdraw some cash.

Psychologically, immediately after someone withdraws funds and has cash in their pocket, they are more likely to spend it right away. Spontaneous shopping happens more often after a person adds more money to their wallet.

It is very common that once people get out cash using your ATM they feel the urge to spend some of the money they just withdrew, this often leads to impulse buying which would be spent in your store..

One cleaver trick that works well is to place the ATM machine in an area of the store where you often display specials or bargains you’re promoting, this encourages spontaneous shopping.  Small businesses find that after an ATM machine is installed they make hundreds of dollars in profits every week as a result.

Large businesses and certain types of businesses notice profits often increase dramatically from having an ATM machine available. Most of the time when people withdraw cash they like to break it down into smaller bills. When receiving a few twenties that an ATM typically dispenses customers like to have smaller increments and are likely to make a purchase to facilitate making change.  Customer that withdraw money are therefor more likely to buy something from your store if they need to break down a large bill.

Convenience stores, small markets, and similar businesses can profit considerably from many small transactions a day. A customer is more likely to purchase additional items when they need to break down larger bills so the potential to earn increases.

As the owner or operator of an ATM you also profit from the commission you receive on every ATM transaction that takes place on your machine. So even if people do not spend any money inside your business you are still generating a profit from the small space an ATM uses.

Customers opt for an ATM machine as opposed to using credit cards more often to avoid credit card charges and interest payments. Between 40% – 70% of credit card charges performed are done with a bank debit card and merchants are paying a high percentage to accept this type of payment. Offsetting Credit Card Fees alone is another way to convert fees paid into money made.

An ATM machine is a profitable investment for a business in many ways. If a community or shopping area lacks ATM machines and you install one, other businesses will send people into your store when their customers ask where the closest ATM machine is. You’ll be the business that has the solution to everyone’s need for cash.

Consider installing an ATM machine to help your business attract more customers and produce more profits daily, weekly, and monthly. You’ll be surprised at the amount of additional income once you add a new machine to your business, just remember to make people aware of its presence.

The Origins of the ATM Part 2

by
When Did the ATM come to the United States

When Did the ATM come to the United States?

When our last post ended, the automatic teller machine had made its successful premiere in the United Kingdom. Across the Atlantic Ocean, however, Americans were still largely unaware that this kind of technology could even exist. However, Don Wetzel, the Vice President of Product Planning at the now-defunct Texas technology firm Docutel, was about to change that.

In 1968, Don Wetzel was standing inside a bank in Dallas, waiting in line, imagining what life would be like if people did not have to wait in lines in banks. Then, all of a sudden, he could see it in his mind: the automatic teller machine.

Wetzel’s employer provided five million dollars to develop this idea. Two engineers at the company, Tom Barnes and George Chastain, worked with Wetzel to develop the product. The ATM was not such a great leap for Docutel, though, as it had worked extensively on creating automatic luggage transportation systems for airports.

The ATM prototype was finished about a year later, and Wetzel, Chastain and Barnes received the patent for this device in 1973. Several banks claim to have been the first to install this machine, but Wetzel has stated that the distinction belongs to a Chemical Bank branch in Rockville Centre, New York. Chemical Bank advertised the debut of this machine in a clever way. It announced in ads that it would open at nine a.m. on September 2, 1969, and that it would “never close again.”

Chemical Bank called its ATM the Docuteller. The machine could only dispense cash, and it was not connected to the bank’s network of computers. Unfortunately, the bank installed the machine outside. The machine was not waterproof. The bank tried to protect it from rainwater by setting up a canopy. The canopy was too high. The soaked machine suffered massive damage.

ATMs began sprouting up all over the place. That’s not to say there weren’t some snags in those early years, though. Just imagine the following issues:

  • For some banks, the cost of the initial ATMs was prohibitively high.
  • Many banks would only allow their best customers – those with the most sterling financial histories and records – to touch these machines.
  • Until 1972, a bank customer could not use an ATM unless he or she had a credit card.
  • Some customers were puzzled by the ATM at first. In Texas, an ATM refused to give money to a certain bank customer. That customer got so mad he pulled out a gun and shot the machine. Luckily, it was bulletproof.

Little by little, the ATM improved. Docutel put out a total ATM in 1971, one that could transfer money from one account to another, send money to credit card accounts, and so on. Wetzel, Chastain and Barnes also got to work on ATM cards equipped with magnetic strips. These strips proved so effective that they became standard on credit cards.

In 1995, the Smithsonian National Museum of American History officially designated Don Wetzel the inventor of the ATM, despite several people having made that claim over the years. In many ways, it’s astonishing to think about what a contribution Wetzel made to society. Today, there are more than 1.8 million automatic teller machines in existence. That number increases constantly. In fact, about once every five minutes a new ATM opens for business. The average American uses his or her ATM card between six and eight times every single month.

Of course, when you consider these statistics, you might reflect on that poor, solitary ATM in Rockville Centre, New York, standing outside, getting wet in the rain.

Mobile ATMs

by

 Conveniences of a Mobile ATM

Conveniences of a Mobile ATM

A mobile automatic teller machine is an ATM on wheels, one you can rent for a special event such as a county fair, music festival or circus. You could even set up a mobile ATM at a more solemn occasion, such as a graduation or a civic ceremony honoring military veterans. Really, any event at which merchandise is sold or donations are collected – that is, any occasion at which attendees might suddenly realize they need extra cash – is an event that can benefit from the presence of a mobile ATM.

Mobile ATMs usually uses an ATM wireless technology –not telephone lines – to send and receive information about customer accounts, so they know how much cash they can dispense to various individuals. Sometimes these ATMs do require a power source, however, so make sure you have an extra electrical cord handy, one that will be long enough.

Increasing Your Business

In fact, so many mobile ATMs have been appearing at large and small events in recent years that many attendees come to rely on them. Some people are loath to carry more cash than is absolutely necessary. In many cases, these people figure that if they see souvenirs or other items at an event that appeals to them, or to their children, they can simply head to a mobile ATM and get the funds to buy those products. Therefore, if you do not have a mobile ATM at your event, you will lose out on all of that business. In addition, customers with easy access to cash tend to stay at events longer, and in the process, of course, spend more money. Furthermore, if your event relies on third-party vendors, you want to make sure those vendors make as much money as they possibly can, lest they decide not to return to the event the following year. On top of all that, it can be easier and faster for customers to pay with cash at outdoor events than with personal checks or credit cards. And when cash is used, event organizers do not have to worry about checks that bounce, and you and your vendors are not responsible for credit card processing fees. (In fact, many event vendors refuse to accept any credit cards.)

Safety and Weather Concerns

Mobile ATMs are designed with customer safety as a top priority. They come with bright overhead lights to ward off criminals who would lurk in the shadows, and sometimes they include visible security cameras as well. As the planner of an event, you can further increase your mobile ATM customers’ feelings of security by putting the machine right in the middle of the action – in an area that you know will be heavily-trafficked, as this placement will certainly discourage would-be thieves as well.

One especially helpful feature about mobile ATMs is that event planners don’t have to worry about the weather when they order them. Mobile ATMs, just like the stationary ATMs you find out on the streets, are built rugged, more than able to withstand all kinds of weather conditions, including driving rain and heavy snow. They are water-resistant, too, and usually they include advanced temperature control systems to heat them up or cool them off as conditions require. If the weather is going to be horrendous, however, you could always elect to set up a mobile ATM indoors.

Choosing a Rental Company

When you’re looking for a mobile ATM rental company to patronize, look for a company offering the following:

  • strong encryption measures to safeguard passwords and user data – triple encryption is recommended
  • excellent references
  • at least several years of experience
  • signs that will guide customers to the mobile ATM