Welcome!

SOA & WOA Authors: Bernard Golden, Carmen Gonzalez, Ivan Antsipau, Paul Speciale, Sandi Mappic

News Feed Item

USA Technologies’ Two-Tier Pricing Program Tops Milestone of 11,000 Locations Nine Months After Launch

USA Technologies, Inc. (NASDAQ: USAT) (“USAT”), a leader of wireless, cashless payment and M2M telemetry solutions for small-ticket, self-serve retailing industries, today announced the achievement of a milestone 11,000 customer locations utilizing USAT’s Two-Tier Pricing Program, nine months after launching the program in January.

USAT’s Two-Tier Pricing Program provides operators of small-ticket, unattended terminals such as vending machines, the ability to charge two different prices—a standard retail price for credit/debit card transactions, and a discounted price for cash purchases.

Jim Turner, vice president of deployment services for USA Technologies, commented: “Our Two-Tier Pricing Program has been gaining strong traction with operators of our unattended retail locations as they recognize the benefits of cashless adoption and the valuable role two-tier pricing can play in their purchasing decision. In addition, we continue to monitor consumer reaction to two-tier pricing through the USAT Knowledge Base, including a recent analysis of two-tier pricing deployments using a population three times larger than our initial analysis earlier this year. We believe the positive data from this recent analysis continues to strengthen the case for cashless adoption by our customers,” said Turner.

The Benefits of Two-Tier Pricing:

  • Provides operators the opportunity to improve their return on investment when implementing cashless and telemetry solutions by offering consumers the option of two vend prices – a standard price for credit/debit and discounted price for cash;
  • Incremental revenue for operators due to higher vend prices;
  • Offers operators the ability to drive cashless convenience more deeply into their customer base due to improved ROI; and,
  • Provides a flexible system that enables operators to set their own credit/debit price, by account or machine, remotely through the customer portal of ePort Connect®.

Findings from the Latest Two-Tier Pricing Knowledge Base Study

In September 2012, using its ePort Connect Knowledge Base, USAT evaluated the impact of two-tier pricing on consumer behavior. Following the initial analysis conducted in early 2012, which evaluated data from approximately 450 ePort terminals with two-tier pricing, the September analysis evaluated cashless sales and usage data from approximately 1,500 terminals.

The analysis tracked key metrics, per terminal, for the one month before and after deployment of USAT's Two-Tier Pricing Program to gauge the impact that two-tier pricing was having on cashless sales and usage. Consistent with the initial analysis, all key metrics—cashless sales as a percentage of total sales, aggregate cashless dollars, number of vends and average credit vend—grew, supporting USAT’s view that consumers are willing to pay for the convenience of cashless even with a two-tier pricing structure. (Note: this analysis did not include vending machines where key metrics were affected by outside market conditions during the period studied, such as the opening of a college around the time that two-tier pricing was enabled.)

What Customers are Saying

Snackworks: “Based on our own experience, consumers appear to have accepted two-tier pricing because of the convenience it offers,” said Lisa Leuchter, founder and co-owner of Snackworks, with well over 1,000 vending and coffee machines in Florida. “Adding USAT’s Two-Tier Pricing Program as one of our cashless payment options has helped us to be more flexible and competitive, and is bringing in enough additional pre-tax profit to pay for our card processing and one-third of our ePort Connect service fees. The program has made installing cashless payment more viable with a broader base of customers," she said.

The Rawls Distributing Company: “We are continually adding new technology and services to improve operations and the customer purchasing experience,” said Robin Rawls, founder and owner of Rawls Distributing Company, with 1,200 vending machines in Georgia. “I was prompted to try USAT’s Two-Tier Pricing Program when I learned about the positive findings in their latest study of two-tier deployments. Now, we try to get two-tier pricing on all of our machines as existing contracts run out with some of our more intractable clients. Their employees want the service and are willing to pay for it,” he said.

CNC Vending: Another company taking advantage of USAT’s Two-Tier Pricing Program is CNC Vending, of Texas (“CNC”). Owner/operator, Chuck Olson, acknowledges that consumers are spending more at CNC machines when they can pay with their debit or credit cards instead of cash—on multi-vends and on higher priced items. “Every CNC vending machine that goes out now has an NFC-enabled card reader, giving our consumers more convenience, ease of use and speed of transaction, adding so much more value to their shopping experience. This was another reason for going with USAT’s Two-Tier Pricing Program. We can offer every payment option and open up new streams of revenue,” he said.

“We continue to enhance the value of every connection for our customers, and for USAT,” said USAT’s Turner. “Our Two-Tier Pricing Program is a great example of that; we are extremely pleased that we have attracted 11,000 ePort Connect locations to our Two-Tier Pricing Program in just nine months. Operators of our self-serve retail locations, particularly in vending, are now realizing that USAT’s Two-Tier Pricing Program can help them to quickly scale their cashless deployments while also enhancing their business returns,” concluded Turner.

For more information about USAT’s Two-Tier Pricing Program, contact a USAT sales representative at 1-800-633-0340. For information on USAT’s 2012 Knowledge Base study released in June 2012 that compiled and evaluated data from approximately 57,000 terminals across 39 different channels and customer types on USAT’s ePort Connect service, click here or access at www.usatech.com.

About USA Technologies:

USA Technologies is a leader of wireless, cashless payment and M2M telemetry solutions for small-ticket, self-serve retailing industries. ePort Connect® is the company’s flagship service platform, a PCI-compliant, end-to-end suite of cashless payment and telemetry services specially tailored to fit the needs of the small ticket, self-service retail industries. USA Technologies also provides a broad line of cashless acceptance technologies including its NFC-ready ePort® G8, ePort Mobile™ for customers on the go, and QuickConnect™, an API Web service for developers. USA Technologies has been granted 84 patents; and has agreements with Verizon, Visa, Elavon and major customers such as Compass, Crane, AMI Entertainment and others. Visit the website at www.usatech.com.

G-USAT

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at Internet of @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, will discuss how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money! Speaker Bio: Esmeralda Swartz, CMO of MetraTech, has spent 16 years as a marketing, product management, and busin...
Samsung VP Jacopo Lenzi, who headed the company's recent SmartThings acquisition under the auspices of Samsung's Open Innovaction Center (OIC), answered a few questions we had about the deal. This interview was in conjunction with our interview with SmartThings CEO Alex Hawkinson. IoT Journal: SmartThings was developed in an open, standards-agnostic platform, and will now be part of Samsung's Open Innovation Center. Can you elaborate on your commitment to keep the platform open? Jacopo Lenzi: Samsung recognizes that true, accelerated innovation cannot be driven from one source, but requires a...
SYS-CON Events announced today that Red Hat, the world's leading provider of open source solutions, will exhibit at Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Red Hat is the world's leading provider of open source software solutions, using a community-powered approach to reliable and high-performing cloud, Linux, middleware, storage and virtualization technologies. Red Hat also offers award-winning support, training, and consulting services. As the connective hub in a global network of enterprises, partners, a...
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at Internet of @ThingsExpo, Robin Raymond, Chief Architect at Hookflash Inc., will walk through the shifting landscape of traditional telephone a...
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
BSQUARE is a global leader of embedded software solutions. We enable smart connected systems at the device level and beyond that millions use every day and provide actionable data solutions for the growing Internet of Things (IoT) market. We empower our world-class customers with our products, services and solutions to achieve innovation and success. For more information, visit www.bsquare.com.
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic • Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happens, where data lives and where the interface lies. For instance, it’s a mix of architectural style...
SYS-CON Events announced today that SOA Software, an API management leader, will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. SOA Software is a leading provider of API Management and SOA Governance products that equip business to deliver APIs and SOA together to drive their company to meet its business strategy quickly and effectively. SOA Software’s technology helps businesses to accelerate their digital channels with APIs, drive partner adoption, monetize their assets, and achieve a...
From a software development perspective IoT is about programming "things," about connecting them with each other or integrating them with existing applications. In his session at @ThingsExpo, Yakov Fain, co-founder of Farata Systems and SuranceBay, will show you how small IoT-enabled devices from multiple manufacturers can be integrated into the workflow of an enterprise application. This is a practical demo of building a framework and components in HTML/Java/Mobile technologies to serve as a platform that can integrate new devices as they become available on the market.
SYS-CON Events announced today that Utimaco will exhibit at SYS-CON's 15th International Cloud Expo®, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Utimaco is a leading manufacturer of hardware based security solutions that provide the root of trust to keep cryptographic keys safe, secure critical digital infrastructures and protect high value data assets. Only Utimaco delivers a general-purpose hardware security module (HSM) as a customizable platform to easily integrate into existing software solutions, embed business logic and build s...
Connected devices are changing the way we go about our everyday life, from wearables to driverless cars, to smart grids and entire industries revolutionizing business opportunities through smart objects, capable of two-way communication. But what happens when objects are given an IP-address, and we rely on that connection, sometimes with our lives? How do we secure those vast data infrastructures and safe-keep the privacy of sensitive information? This session will outline how each and every connected device can uphold a core root of trust via a unique cryptographic signature – a “bir...
Internet of @ThingsExpo Silicon Valley announced on Thursday its first 12 all-star speakers and sessions for its upcoming event, which will take place November 4-6, 2014, at the Santa Clara Convention Center in California. @ThingsExpo, the first and largest IoT event in the world, debuted at the Javits Center in New York City in June 10-12, 2014 with over 6,000 delegates attending the conference. Among the first 12 announced world class speakers, IBM will present two highly popular IoT sessions, which will take place November 4-6, 2014 at the Santa Clara Convention Center in Santa Clara, Calif...
Almost everyone sees the potential of Internet of Things but how can businesses truly unlock that potential. The key will be in the ability to discover business insight in the midst of an ocean of Big Data generated from billions of embedded devices via Systems of Discover. Businesses will also need to ensure that they can sustain that insight by leveraging the cloud for global reach, scale and elasticity.
WebRTC defines no default signaling protocol, causing fragmentation between WebRTC silos. SIP and XMPP provide possibilities, but come with considerable complexity and are not designed for use in a web environment. In his session at Internet of @ThingsExpo, Matthew Hodgson, technical co-founder of the Matrix.org, will discuss how Matrix is a new non-profit Open Source Project that defines both a new HTTP-based standard for VoIP & IM signaling and provides reference implementations.

SUNNYVALE, Calif., Oct. 20, 2014 /PRNewswire/ -- Spansion Inc. (NYSE: CODE), a global leader in embedded systems, today added 96 new products to the Spansion® FM4 Family of flexible microcontrollers (MCUs). Based on the ARM® Cortex®-M4F core, the new MCUs boast a 200 MHz operating frequency and support a diverse set of on-chip peripherals for enhanced human machine interfaces (HMIs) and machine-to-machine (M2M) communications. The rich set of periphera...

SYS-CON Events announced today that Aria Systems, the recurring revenue expert, has been named "Bronze Sponsor" of SYS-CON's 15th International Cloud Expo®, which will take place on November 4-6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Aria Systems helps leading businesses connect their customers with the products and services they love. Industry leaders like Pitney Bowes, Experian, AAA NCNU, VMware, HootSuite and many others choose Aria to power their recurring revenue business and deliver exceptional experiences to their customers.
The Internet of Things (IoT) is going to require a new way of thinking and of developing software for speed, security and innovation. This requires IT leaders to balance business as usual while anticipating for the next market and technology trends. Cloud provides the right IT asset portfolio to help today’s IT leaders manage the old and prepare for the new. Today the cloud conversation is evolving from private and public to hybrid. This session will provide use cases and insights to reinforce the value of the network in helping organizations to maximize their company’s cloud experience.
The Internet of Things (IoT) is making everything it touches smarter – smart devices, smart cars and smart cities. And lucky us, we’re just beginning to reap the benefits as we work toward a networked society. However, this technology-driven innovation is impacting more than just individuals. The IoT has an environmental impact as well, which brings us to the theme of this month’s #IoTuesday Twitter chat. The ability to remove inefficiencies through connected objects is driving change throughout every sector, including waste management. BigBelly Solar, located just outside of Boston, is trans...
SYS-CON Events announced today that Matrix.org has been named “Silver Sponsor” of Internet of @ThingsExpo, which will take place on November 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA. Matrix is an ambitious new open standard for open, distributed, real-time communication over IP. It defines a new approach for interoperable Instant Messaging and VoIP based on pragmatic HTTP APIs and WebRTC, and provides open source reference implementations to showcase and bootstrap the new standard. Our focus is on simplicity, security, and supporting the fullest feature set.
Predicted by Gartner to add $1.9 trillion to the global economy by 2020, the Internet of Everything (IoE) is based on the idea that devices, systems and services will connect in simple, transparent ways, enabling seamless interactions among devices across brands and sectors. As this vision unfolds, it is clear that no single company can accomplish the level of interoperability required to support the horizontal aspects of the IoE. The AllSeen Alliance, announced in December 2013, was formed with the goal to advance IoE adoption and innovation in the connected home, healthcare, education, aut...