Handling cash transactions can be a cumbersome and time-consuming process that is prone to errors and discrepancies. It’s no surprise that many businesses today are adopting electronic funds transfer at point of sale (EFTPOS) systems. This payment platform allows customers to make secure payments using their debit or credit cards, which makes transacting faster, safer, and more convenient for everyone involved. In this blog post, we’ll explore the numerous advantages an EFTPOS terminal can bring to your business.
Cash in Today’s Economy
Gone are the days when cash was the only mode of payment. In 2020 the big banks in New Zealand closed 84 branches and 249 Automatic Teller Machines. With online and app banking becoming the preferred means of interacting with banks, less than 1 per cent of all transactions occur at a physical bank branch. As a result, obtaining cash and banking cash takings, is becoming more challenging. It’s no wonder more and more businesses, stall holders and charitable organisations are contacting Eftpos Now to enquire about renting or purchasing an EFTPOS terminal.
Introducing an EFTPOS terminal to your business
Despite the sophistication of EFTPOS technology, procuring, installing, and operating an EFTPOS terminal is a relatively simple and quick process. When engaging a client that has already acquired their own merchant number, Eftpos Now can dispatch the EFTPOS terminal anywhere in the country, in just a few hours.
An EFTPOS terminal that will sit on a countertop where power is readily available, will benefit from being connected to a Wi-Fi/Broadband network primarily. Wi-Fi/Broadband provides the most stable network connection, and your ISP (internet service provider) should activate your internet service before the EFTPOS terminal arrives. If you have rented or purchased a mobile/portable EFTPOS terminal, this will have a SIM card installed so it will use the nearest cell tower to communicate, using GPRS (General Packet Radio Service).
With these 2 essential aspects of EFTPOS operation (merchant number and connectivity) activated and, provided there is sufficient paper in the EFTPOS terminal to print receipts, you can transact straight away! It really is one of the simplest procurements you can undertake. (For more about our consumables such as paper, visit our Consumables Page).
Benefits of an EFTPOS terminal:
Reduced Wait Times
One of the most significant benefits of an EFTPOS system is that it reduces the amount of time customers spend at the checkout counter. Customers can make payments quickly and efficiently, without the need to fumble with cash or wait for it to be counted. Even when the transaction value is manually keyed into the EFTPOS terminal (in the absence of a cash register or POS system), transactions using an EFTPOS terminal require less effort and time.
Security
Cash notes are less secure to carry and store and, despite stringent New Zealand currency security features, there have been many instances where fake notes have been found circulating in New Zealand. As recently as May 2023 in Rotorua and the greater Bay of Plenty area, counterfeit notes have been detected in regional economies.
Stolen or lost cash, leaves the victim with limited or no compensation, as cash is not traceable, and most insurance companies will only cover losses up to $250.
When credit card payments are issued by the main card schemes, Visa or Mastercard, fraudulent transactions are subject to greater security and compensation. Fraud is detected and traceable, but the same cannot be said for cash transactions. As an added layer of control, if a card is stolen or misplaced, it is now extremely simple for the card holder to instantly deactivate the card (temporarily or permanently) by simply logging into their bank account. This is also beneficial for merchants who are equally concerned about falling victim to illegal transactions and fraud.
Every party involved in an electronic transaction through an EFTPOS terminal is governed by strict security measures and responsibilities.
Cashflow Management
Possessing an EFTPOS terminal, enables business owners to receive funds quickly and with little to no margin for error. A standard cash transaction requires more time to count, reconcile, and then deposit into the bank. With banks closing or opening for limited hours, it can take some time for the funds to be reflected in your accounts. Conversely, funds transacted via EFTPOS terminals, are deposited into your business bank account daily. This provides a secure audit trail also, which ensures all sales are accounted for legally and accurately.
Integration and Peripherals
Whilst EFTPOS terminals can easily be used on their own and independently, their ability to integrate with a cash register or POS system increases their value and versatility in your business. With the advent of reasonably priced point of sale devices and software, integration with your EFTPOS terminals is simple and provides a dimension of sales and inventory management that can improve accuracy and record-keeping.
A Professional and Modern Image
Having an EFTPOS terminal elevates your business to a more modern and professional image. Even an older or second-hand EFTPOS device will have a positive impact on your business by providing more options to customers. With technology evolving all the time, it is then easy to graduate or upgrade into a terminal that has greater functionality and features. The latest addition to our fleet, the T650P, is one such aspirational terminal which is affordable and versatile.
More Payment Channels
International visitors want to be able to transact seamlessly when visiting new and remote locations, as well as modern shopping precincts and landmarks. As a business owner in any industry, accepting a wide range of cards and payment modes (including wearables such as smart watches), will limit the risk of lost sales.
A taxi or shuttle, for example, that accepts EFTPOS cards and third-party payment methods like WINZ cards, will have a competitive edge over a taxi that only accepts cash.
Transaction Visibility
The leading payment networks in New Zealand, Worldline and Verifone, have created online reporting portals for subscribed merchants. Their portals provide secure access to real-time transactional activity, which is a huge asset when managing cashflow, disputes, reporting, tax, and accounting tasks.
Conclusion
EFTPOS terminals are essential devices for any modern business. Not only do they offer non-cash payment options for products or services, but they also facilitate improved cashflow using secure networks and encrypted data. Operating an EFTPOS machine offers numerous benefits that can make an essential and fundamental part of your business – getting paid – a secure and simple process. If you’re interested in investing in popular and reliable technology to enhance your business’ ability to compete in our fast-paced economy, then an EFTPOS terminal is a great choice!
Unlock the power of seamless payments with EFTPOS Now. Tap into the convenience of contactless ‘Tap & Go’ technology for businesses in NZ. With 24/7 support and affordable rates, we’ve got your payment needs covered. Buy or rent your EFTPOS machine today and visit our EFTPOS terminals page for more information.