Source: USA Technologies | Released May 8, 2013
MALVERN, PA -- May 8 -- USA Technologies Inc. (NASDAQ: USAT), ("USAT") a leader of wireless, cashless payment and M2M telemetry solutions for small-ticket, self-serve retailing industries, today released data from its 2013 Cashless Knowledge Base that demonstrates how a cashless payment platform can be instrumental in driving additional revenues. One of the highlights of this year's study was a Sales Trend analysis that showed a 28% increase in average revenues and 23% increase in average transactions for a dataset of approximately 10,000 vending terminals over a 12-month period.
USAT's Knowledge Base represents cash and cashless payment data collected from its ePort Connect® service network -- a network that processes over $200 million in cashless, self-serve retail transactions annually. The 2013 Knowledge Base is designed to help customers optimize their cashless payment platforms and includes various subsets of vending machine activity that can be used to gauge incremental revenue post cashless installation, average transaction metrics and channel information.
Mike Lawlor, USAT's Senior Vice President of Sales and Business Development, unveiled key data from the 2013 Cashless Knowledge Base at this year's NAMA OneShow in Las Vegas. Lawlor commented, "Our customers no longer question whether consumer demand is trending toward the use of cashless forms of payment; rather, the bigger question we try to address is: ‘Can it help my business results and if so, how?' The data, noted below from the Sales Trend analysis, presents a positive story. We are not just seeing cashless sales and volume increase over time, as last year's study pointed to, but we are seeing growth in cash sales as well. In our view, that tells us that cashless is doing more than just replacing cash --it's bringing in business."
The data used for the Sales Trend Analysis, consisted of qualifying data from approximately 10,000 cashless vending terminals with data tracking beginning the first month after installation. Qualifying data was defined as data from cashless deployments that started after 12/31/2010, generated at least $1,000 in cashless sales by the end of the 12-month period following installation and had at least 12 months of data available. Highlights:
» 28% increase in average monthly vending sales (credit and cash), fueled by 79% increase in credit sales; 17% increase in cash sales.
» 23% increase in average monthly vending transactions (credit and cash), fueled by 74% increase in credit transactions; 15% increase in cash transactions.
USAT also evaluated data over a three-month period, from January-March 2013, from approximately 62,000 ePort Connect cashless vending terminals that had at least $500 a year in annualized cashless sales. Highlights:
» The average credit "spend" was 30% higher than a cash vend.
» The rate of cashless usage more than doubled for a $3 transaction compared with a $1 transaction.
"In our view, a cashless payment platform can prove to be one of the most impactful investments a business can make," continued Lawlor. "With the onset of mobile payment, new loyalty programs and major beverage companies like Coca-Cola recently talking with the NFC Times about the importance of cashless, we believe there is no better time to plan for widespread cashless adoption.
USA Technologies is a leader of wireless, cashless payment and M2M telemetry solutions for small-ticket, self-serve retailing industries. ePort Connect® is the company's flagship service platform, a PCI-compliant, end-to-end suite of cashless payment and telemetry services specially tailored to fit the needs of small ticket, self-service retailing industries. USA Technologies also provides a broad line of cashless acceptance technologies including its NFC-ready ePort® G8-G10, ePort Mobile™ for customers on the go, and QuickConnect™, an API Web service for developers. USA Technologies has been granted 85 patents; and has agreements with Verizon, Visa, Elavon and customers such as Compass, Crane, AMI Entertainment and others. Visit the website at www.usatech.com.
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