Do you still carry cash in your wallet? When was the last time you paid for dinner using bills and coins? Well, this is no longer as common as it was 20 years ago.
Payment methods have evolved a great deal in recent decades and we're heading toward the “cashless economy”, that is: an economy without physical cash.
If you're looking at this trend and want to understand what cashless is and how to adopt it in your business, keep reading this article!
What is cashless?
Cashless means “without cash” in English. The term refers to a payment system where transactions are carried out without the use of physical cash. Em vez disso, são utilizados meios eletrônicos como o PIX, for example.
The objective is to have more security, efficiency and convenience. No sistema cashless, os consumidores podem pagar utilizando dispositivos como cartões de aproximação, smartphones e smartwatches. Desta forma, não é necessário lidar com dinheiro vivo.
As technology evolves, cashless payment becomes more common. It is already widely used in retail stores, restaurants, nightclubs, events, festivals, public transportation, and much more.
According to Febraban Banking Technology Survey 2023, 8 out of 10 banking transactions carried out in Brazil are done through digital channels and 66% of operations were done via mobile phone.
Thus, offering cashless payment methods has become essential for any business. Learn about the main technologies below.
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Cashless payment technologies
There are several technologies that make cashless payments possible, and you're probably already using some of them at your establishment. Learn more about them below.
Credit and Debit Cards
Credit and debit cards are one of the most traditional forms of cashless payment. They're so common that they're often not even considered a cashless technology — except for contactless cards, which we'll cover next.
PIX
Pix is an instant Brazilian payment system that allows funds to be transferred between bank accounts.
To use PIX, you need to activate an access key (email, phone number, CPF, or a random key) in your bank's app. The transfer can be made by entering the recipient's key or by scanning a QR code with your phone's camera.
Digital wallets
Digital wallets are apps that turn smartphones and smartwatches into payment devices. Just register your credit and debit cards to make payments without needing cash or a physical card.
NFC (Near Field Communication)
NFC is a short-range wireless communication technology that connects devices within a radius of a few centimeters. It enables contactless payments at POS terminals using NFC-enabled smartphones, smartwatches, and cards.
RFID (Radio-Frequency Identification)
RFID is a technology that enables radio-frequency identification of devices such as cards, wristbands, and tags.
Customers purchase credits and, at the time of payment, hold the device near an RFID reader to complete the transaction. It's used in public transit cards and individual event tabs, for example.
These are the main cashless technologies in use, but there are many other ways to pay without cash: facial or voice recognition, SMS messages, cryptocurrencies, and more.
Why use cashless payments in your business?
Offering cashless payment options to customers is essential for any establishment. Check out some of the advantages for restaurants, bars, and nightclubs below.
Greater convenience for customers
The payment methods available are an important factor in the customer experience.
Besides offering several options so customers can choose the most convenient one, speed also matters. In that sense, cashless payment has the advantage of being quick and easy.
More security
Another advantage of working with a cashless system is the reduced risk of theft and fraud.
Since there's no need to handle cash, the register can hold smaller amounts — just enough for the occasional change or an emergency. Electronic transactions are also more secure, since they're automated and can be easily tracked.
Efficient financial management
Electronic payment methods make financial management more efficient, since they allow you to automate processes (like cash register closeout, for example), collect data, generate reports, and have greater control over all operations.
Reduction of operational costs
Adopting cashless payments can also help reduce costs associated with handling cash (eliminating change errors, deposits, cash transport) as well as card fees.
Better customer experience
Cashless payments are faster, which makes the customer experience much better. Customers don't have to wait in line at the register, pay easily, and get more security.
It's also possible to create loyalty programs and personalize offers based on transaction data. Cashback and points programs that generate credits for future purchases are good examples of customer loyalty initiatives.
Examples of cashless payments in restaurants, bars, and nightclubs
Now that you know the cashless technologies and their benefits, you might be wondering: how do I apply this to my business?
There are many possibilities, so we've brought a few practical examples that some EPOC customers use to make their operations more efficient.
individual tab
A individual tab with NFC technology is an excellent option.
They can be prepaid (with credits purchased for use throughout the event) or postpaid (consumption is recorded and payment is made at the end of the event).
This way, customers don't need to make multiple trips to the register or use cash.
EPOC GO
Our QR code digital menu lets customers view the menu, open a tab, and pay via Pix, credit card, or digital wallets like Google Wallet and Apple Pay.
with EPOC GO, you get a complete self-service solution that gives customers full autonomy.
Pix Digital Account
With EPOC's Pix Digital Account, the pre-bill on PDV comes with a Pix QR code and copy-and-paste code. This makes it easier for customers to pay and can even cut your card processing costs by up to 40%.
Want to learn about EPOC's solutions and see how we can help your restaurant, bar, or club become more efficient and profitable? Then Schedule a free demo right now!
