How ATM Programs Can Benefit Your Business
Businesses need every edge they can get to succeed out in the marketplace. This includes the most recent technological advances. While there are many financial services and solutions out there, ATM programs have some unique benefits that most businesses can take advantage of.
If you’re wondering what an ATM program is, what the benefits are, and how they work, don’t worry, we’ve got you covered. This post will cover everything you need to know to get started using an ATM program and making the most out of your business.
What is an ATM Program?
Not to be confused with a traditional ATM, which is operated by and tied to a bank, an ATM program is an exchange program for businesses that want to own and operate their own ATMs. Typically to buy and operate a personal ATM for your business, you’d have to go through an ATM service or broker in order to acquire the machine or machines and the customized program of your choice.
The main difference between a bank-operated ATM and a personally owned ATM is that the bank-owned ATMs are controlled by the bank and the surcharges that are charged for using that ATM is set by the bank. In these cases, businesses receive a portion of the surcharge fee and the bank keeps the rest, while also filling, maintaining, and servicing the ATM.
When using an ATM that you personally own, the responsibilities and the maintenance are on you, but so are the benefits. Typically a personal ATM is stocked by the business that owns it and on their own schedule. Maintenance is usually subcontracted out to an ATM vendor or service company. Many businesses will own one third-party, non-bank-affiliated ATM, whereas larger companies may have several on their premises.
Benefits of Owning an ATM
For businesses that want to own their own ATM, there are several benefits. The chief benefit is that having an ATM in your establishment organically increases foot traffic to your business thanks to the convenience. Once customers enter, there is a chance they will buy something.
Second, an ATM you own means you get to set your own surcharges and keep 100% of the fee. In addition to that, 80% of funds withdrawn from an ATM are spent in that store. This means you’re getting a large return on the funds placed into an ATM.
Third, it reduces the number of fees paid for credit and debit purchases since more customers use cash.
Lastly, more customers are likely to make impulse purchases since they have cash on hand. This leads to a higher overall return on investment per customer just for having the ATM in the business.
These are some of the primary ways that ATM programs and owning your own ATM can benefit your business.
