Analysing the annual revenue of the UK retailers with the fastest profit growth reveals a total potential recovery of £7.232 million each year as a result of refusing cash payments.
Cash usage is declining in every region around the world, with eWallets, bank transfers and credit cards becoming the most popular payment methods in 2018, new research shows.
Research has revealed that the UK has seen a significant decline in cash use, accounting for just 28% of overall transactions last year, or 7% of eCommerce purchases. This represents a 16% decrease from 2017 to 2018, and a 32% decline in cash payments since 2008.
This decline in cash has the potential to save retailers money, as till theft, counterfeit money and cash register shortages can cost organisations an average of 4% of revenue each month – with an additional 2% lost due to processing incoming non-digital payments.
The potential recovery sum increases to £108 million, or £10.8 million each, when the 2% lost due to the average float time, security, transportation and banking expenses retailers experience each year as a result of processing cash payments is taken into account.