Retail Cash Capture 2.0: The Future for Your Bank and Retail Customers
The perfect business opportunity awaits today’s local and regional financial institutions – the chance to cement your bank as a true value-added partner to your retail customers while creating additional revenue for your institution with minimal investment. That opportunity lies in remote deposit capture and recycling technology that will transform in-store operations while reducing costs and eliminate the deposit only limitations and additional expense of the current smart safe functions being used.
Your retail customers are constantly searching for ways to improve operations, reduce costs and increase cash flow. The deposit and recycle solution for retailers achieves all three of those objectives. Because they are no longer simply depositing larger notes for credit and are now “recycling” their own in-store cash, significant improvements can be made to till drawer management and cash flow between cashier shifts. Retailers can also reduce time spent on open/close drawer procedures while decreasing armored car services costs and eliminating shrinkage.
What is Retail Cash Capture?
Cash Counting, Saving Time, and Happy Managers
The deposit and recycle solution serves as cash management tool that will streamline drawer management procedures. Cashiers no longer need to manually count down their drawers nor is there a need for a dual manager count down. At the end of their shift, they simply deposit 40-50 notes at a time into the recycler or more, which will process 5-6 notes per second. The lower denomination bills will be recycled for use by the next cashier coming on shift while the larger notes are sent for deposit. This reduces the drawer close procedure from several minutes to mere seconds.
The recycler solution also supports special instance transactions while providing strong internal controls. For example, a cashier at the Burger Barn begins their shift and gathers their till that contains $75 in cash. A customer comes in and pays for their $10 order with a $100 bill. The cashier does not have enough cash in their till to give the correct change. In most cases, that would require special assistance from a manager and the need to get extra cash for the drawer to give the customer their change. In the world of deposit and recycle, the cashier would be able to deposit the $100 bill into the recycler and get back the change needed for the customer transaction in a single control environment that requires no manager intervention or disruption to the cash balance of the drawer. When the cashier deposits the $100 bill an audit trail is created, by cashier and bill, which deters internal theft and reduces costs associated with shrinkage.
Because retailers are now able to manage more cash continually in-house they also require fewer armored car pickups which reduces costs even more.
So how does your financial institution benefit from the “recycling” movement? You can join the flexible program offered by Quality Data Systems that allows you to purchase the deposit and recycling device and then lease it to the retailer, creating a new source of revenue for your institution based off the interest rate margin of the lease. The device is also serviced by QDS so the entire process, from purchase to maintenance, is seamless and managed by one provider. Should your customer want to buy the device outright, you can serve as the value added partner by connecting your customer to QDS while continuing to provide provisional credit services to them for a fee without having to be the finance partner.
You are also no longer forced to only use one armored car provider. You can select a provider based on your criteria and choose to bring the cash back to your branch network to process or contract with the armored car service provider to process the cash for you at their vault. This can potentially add millions in deposits that never have to hit the branch network and positions your bank for tremendous growth.
Your bank can also extend its reach outside the branch walls with minimal investment. With the flexibility provided by the solution, your service area is no longer limited by geography and branch location. Say that you are currently doing business with 2 locations of the Burger Barn, but the franchise owner actually has 10 locations with the other 8 falling outside your branch service area. By utilizing the deposit and recycle solution at all 10 Burger Barns you and your customer are, in essence, setting up a branch within each of their locations and you are now able to service all of the franchise locations without investing any money on a brick and mortar branch.
By seizing this business opportunity, you are poised to create additional revenue through your device leasing program, increase revenues from provisional credits and enhance long term relationships with your most profitable customers. You may even reduce the stress of managing all that cash on your branch network. Lastly and maybe most importantly, you are helping the customer operate more efficiently and become a greater success, which they will thank you for.
About Sean Farrell
Sean has been in the business since 2003 and always aims to be an expert on whatever solutions QDS is providing. Sean has grown into a thought leader in the space through research and company growth. Sean holds strongly to his Christian faith and uses those principles to guide the business.