• About
  • Solutions
    Financial Toggle dropright
    BranchWare WebUCM Universal Cash Manager (UCM) CashView Web
    Retail Toggle dropright
    Cash Core CashView Web
    Gaming Toggle dropright
    BranchWare
  • Support
  • News
  • Contact
  • Blog

Back

March 20, 2019

“What's Holding Up Smart Safe Installs?”

This question is often asked at cash automation meetings, and in industry circles. There are approximately 1,500,000 - 1,800,000 retail locations in the USA and approximately 300,000 installed smart safes. After 15 years a 20% penetration rate could indicate something is holding the industry back. But is that really the case? And if so, are retailers concerned about investing in automation when cash payments are slowing, or are alternative solutions holding back sales?

Are cash payment diminishing?

Alternative payment vendors often claim people prefer not to use cash but Federal Reserve studies disagree. Cash in circulation continues to grow and, although at a slightly slower rate, shows no sign of stopping. The Federal Reserve Bank chart indicates the circulation of all denominations of cash continues to grow. If you accept cash as a form of tender, you can expect to continue to do so for the foreseeable future

Does the average value of transactions affect smart safe installations?

Not all retailers experience the same payment preferences. Federal Reserve Bank studies indicate cash is often used for transaction values less than $25.00, and frequently for values less than $50.00. If your average transaction value is less than $50.00 prepare to handle and deposit cash on regular basis. The majority of smart safe installs are in QSR, CStore and Gas Station markets where transaction values fall below $50 and CiT cash transportation is preferred. If smart safe installs are measured in just cash intensive markets they are substantially higher.

Cash dominates small value purchases under $25, and is a significant payment preference for purchases under $50.

What is the smart safe addressable market?

The total number of retail locations include establishments too small to support cash automation, as well as a small number that do not accept cash payments. A more addressable number of retail

Are alternative solutions keeping smart safe sales down?

Retailers that accept cash as a form of payment must handle and control cash to avoid losses. If cash is a significant payment tender, smart safes can automate deposit and credit functions to reduce handling, CiT, and banking cost. If cash deposits are insignificant than cash controllers or counters can help automate change fund set up and revenue reconciliation.

A new class of cash automation solutions interface with the POS to reconcile cash transactions, and truncate cash at the POS. New smaller smart safes and cash recyclers interfaced to POS are poised to continue the expansion of smart safe and recycle sales, creating a closed cash control system from the POS to the bank, and integrating retail enterprise systems to expedite and lower costs at sales audit and treasury.


Tags: compuflex news cash

Sign in to comment

Sign in with LinkedIn

By clicking Sign in with LinkedIn, you agree to let Compuflex Corporation store your LinkedIn profile.


There are no comments for this post. Sign in with LinkedIn to leave us a comment!

Related Articles


The Retail World has a Problem… COMPUFLEX Has the Solution

THE RETAIL WORLD HAS A PROBLEM… COMPUFLEX HAS THE SOLUTION

December 28, 2018


Retailers are faced with major challenges regardin... read more
Tags: compuflex retail
Interfacing Cash Automation Equipment to POS

INTERFACING CASH AUTOMATION EQUIPMENT TO POS

December 28, 2018

Retail Industry
The Compuflex Lab in New Jersey is a first stop fo... read more
Tags: compuflex retail
Reducing the Cost of Counting Coins

REDUCING THE COST OF COUNTING COINS

September 16, 2019

Financial Industry Retail Industry
Handling cash to open and close tills comes at a c... read more
Tags: retail financial coin automation
The Retail Mainstreaming of Cannabis

THE RETAIL MAINSTREAMING OF CANNABIS

October 15, 2019

Retail Industry
Retail sales of medical and recreational cannabis ... read more
Tags: Retail Cannabis
Retail Mainstreaming of Cannabis Part 2 – The Solution

RETAIL MAINSTREAMING OF CANNABIS PART 2 – THE SOLUTION

November 14, 2019

Retail Industry
As the number of dispensaries increase the lack of... read more
Tags: compuflex retail cash
6 Simple Rules...

6 SIMPLE RULES...

December 16, 2019

Retail Industry
The right cash automation for your locations depen... read more
Tags: retail cash getting/cash/right GettingCashRight
Things You May Already Know...

THINGS YOU MAY ALREADY KNOW...

December 27, 2019

Retail Industry
...because we already told you According to the B... read more
Tags: compuflex retail cash GettingCashRight
Driving Sales Up and Costs Down - Cash Kiosk & POS

DRIVING SALES UP AND COSTS DOWN - CASH KIOSK & POS

January 23, 2020

Product Updates Retail Industry
The NRF Retail Big Show kicked off 2020 with excit... read more
Tags: compuflex products retail cash GettingCashRight
Cash: Post Covid-19

CASH: POST COVID-19

April 23, 2020

Financial Industry Retail Industry
Relationships and Trust are at the core of human i... read more
Tags: compuflex news retail financial cash automation
  • 1
  • 2
  • Next →

Receive information for:

© 2025 The Compuflex Inc. (Compuflex Corporation)  All rights reserved.

Privacy Policy