It’s official. The people across the pond don’t really pay with cash anymore. For the first time ever, more people paid with non-cash payments in 2014, according to the Payments Council .
Figures published on May 21 show that the number of cash payments made by consumers, businesses and financial organizations in the UK fell to 48 percent—down from 52 percent in 2013.
Just for your reference: Non-cash payments include checks, debit or credit cards, internet or phone transactions, standing orders, among others.
According to a report published last year by the British Retail Consortium , consumers are using “less cash than ever,” with both the number of cash transactions and the average amount spent each time falling.
Helen Dickinson, the group’s director general, said: “Customers are taking advantage of new ways to shop and pay. The availability of contactless cards, handy express stores, and self-service tills, as well as online sales, has increased the use of debit cards for smaller payments in place of cash.”
In a more recent post from the BRC, online sales saw its best growth in six months at 15.4 percent. Online sales contributed 2.3 percentage points to the growth of non-food total sales in April, its greatest contribution since December 2013. The 3-month average contribution of online to Non-Food growth was almost equal to that of stores.
So the Brits are spending less cash. What does that have to do with you? Well, it isn’t just our neighbors across the pond following this trend. In fact, America is farther from cash than the English. According to Consumer Credit, 80 percent of Americans use their debit cards for everyday purchases like gas and food, while only 14% used cash. According to Mastercard’s 2012 “World beyond Cash” Survey, 73% of Americans say they use less cash today than they did 10 years ago. This means your business needs to have advanced payment options.
Thankfully, PayProTec has many options to help make cash-less payments easy as pie. We pride ourselves on having cutting-edge technology that stays ahead of the trends. With the ability to accept magnetic strip cards and NFC payments, we enable our clients to be prepared for everything!
Check out our services page for more!