Automatic Merchandiser serves the business management, marketing, technology and product information needs of its readers including vending operators, coffee service operators, product brokers, and product and equipment distributors in print.
Issue link: http://automaticmerchandiser.epubxp.com/i/616338
deliver product and other services in a timely and effcient manner," he said. Telemetry has proven invalu- able in leveraging this type of infor- mation due to its real-time and item level tracking. Early adopters have proven that connectivity across their vending machine assets can increase their return on investment, accord- ing to Reed. Vending sales and data will only become more valuable to operators in order to meet consumer demands in the next 12 months. Part of the evolving consumer demand will be the ability to pay by any means. The newer cashless readers allow many different forms of payment, which will be crucial for vending. "Notes, coins, cashless including mobile wallet, and payback in notes and coins will enable opera- tors to fully compete with alternate refreshment outlets," said Reed. "Anything less potentially forces a vend patron to decide against vending as their preferred option." However there is also the increasing prevalence of EMV (Europay, MasterCard, and Visa) cards, or chip cards. "Operators will be faced with investment deci- sions regarding the timing of mov- ing towards the newer EMV plunge capable readers," said Reed. Glenn Butler, a long-time industry veteran and now general manager, North America for Nayax, sees tech- nology, and specifcally EMV adoption, as the top consideration for operators in 2016. Many of the card readers in the past were not EMV compliant in the U.S. "When a fraudulent card is used, whoever didn't comply the most eats the charge," said Butler — a simple explanation for the liability of covering fraudulent transactions with the new EMV cards. The person to "eat the charge" may be the vending operator if they are the "merchant of record" or it may be a cashless provider or bank. It will be different based on a number of factors. But the real issue for the industry is that when an EMV credit card used at a vending machine is reported stolen, operators have to eat the transaction cost, and also get charged a "chargeback" fee by the cashless processor. And the fee is per transaction, not per card or customer. "One company [has] received $11,000 in chargebacks in one month already," warned Butler. "It will be a huge issue for other operators in 2016," he said. The future does bring challenges to meet the needs of the consumer who likes unique food and cashless payment options. However, these challenges can translate to opportu- nities to increase revenue. That is why many are optimistic about 2016. December 2015 VendingMarketWatch.com Automatic Merchandiser 21 F U T U R E O U T L O O K "Raising Performance To New Levels" Quality Liftgates for Every Application Sideloaders, and Conventional models are all part of the THIEMAN line-up. For many years THIEMAN has been customizing liftgates to meet specific needs. If a special need arises, give us a call. From 1000 lb. to 6600 lb. lifting capacities, THIEMAN can provide a liftgate for almost every application. 600 E. Wayne Street • Celina, Ohio 45822 Ph: (800) 524-5210 • 419-586-7727 • Fax: (419) 586-9724 Email: info@thiemantailgates.com • Website: www.thiemantailgates.com