This weeks quick tip is all about surcharging. If you are an ATM Placement company or if you own your own ATM outright yourself- there are several ways to approach ATM surcharging.
#1- Ask yourself this magic question: “Why do I have an ATM”? If your answer is, for tip money, or to reduce credit card fees, or to accept more cash, or simply to provide a convenience – then we would recommend charging a low, reasonable surcharge. What’s reasonable? In 2020- anything under $2 is generally considered reasonable. Our nationwide average is around $2.
#2 – YOU ARE NOT A BANK ! Don’t Compare yourself to a Bank. Most banks charge $3 however Banks are free for account holders. They charge $3 for non account holders to deter usage. They basically overcharge non customers, with the hopes that those non customers will become customers. Whenever someone tells us “the bank is charging $3, that’s what I’m going to charge- they are thinking about their ATM program- 100% wrong.
#3 – Look at your surrounding ATM’s – If all the ATM’s in your area are charging $1.50, you cannot be the only ATM charging $2. Price yourself competitively withing your geographic market.
#4 – Surcharge Free- More and more often we hear customers telling us- “I don’t care how much I make, I just want my customers to pay cash”. Don’t charge your cardholders anything! simply eliminate credit cards, or put a high minimum – and ask everyone to use the “Free ATM” and pay cash.
#5 – Traffic Generating Programs – If your goal for the ATM is to provide a convenience and get customers into your store- then think about enrolling in a Best Products surcharge free network. Best Products is part of the 3 largest surcharge free networks nationwide. If you are a cardholder of these networks, you can look for the nearest surcharge free ATM and use it. Our customer have noticed up to a 50% increase in ATM usage by simply turning these networks on.