The TOP 5 reasons to use automatic payment terminals

by Jim Belanger

1. Improved Customer Service

One of the first things on an operator’s mind when considering an upgrade is how will my customers benefit from the upgrade.  Automatic payment terminals provide operators the flexibility to offer features such as multiple gates, expanded payment options and no hassle transactions. In addition, installing cutting edge technology on your site can improve your company’s image and brand with equipment that enhances the user experience.

When thinking about your customer base can you count how many demographics your customer base can be split into? Based on that information, can you list the different wants and needs each demographic values about your car wash? I bet somewhere on that list you wrote down that some customers want fast, automated service while others value having an attendant on-site to help them with the transaction process. Having the flexibility to meet those different needs is what separates successful car washes from the rest.

Many car wash sites today have designated individual gates or lanes managed by automatic payment terminals for that very reason—flexibility.  Offering expanded payment options such as credit card transactions and loyalty pre-paid cards benefit customers who don’t carry cash and prefer card payment. Other loyal customers may know what they want before they show up on-site and prefer the privacy of interacting with an automatic terminal. The nature of pre-determined routes through the different screens from greeting to final sale promotes fast transactions for those who are concerned about time.

2. Improved Cash Control

Consider using automatic payment terminals at your car wash site to improve your cash control. Let’s compare an automatic payment terminal to your average car wash attendant. Assuming all of your car wash attendants are honest, hard-working employees you can draw many similarities between your employees and an automatic payment terminal; both provide service to your customers, act as salesman for your car wash, and communicate and operate your tunnel. However there is one important factor eliminated by automatic payment terminals and that is human error. No matter how trustworthy or efficient your employees are there is always a chance that your attendants may make a mistake giving back change or handling money. Most payment terminals are built like ATM’s in that they handle cash more accurately and securely store money thus reducing the opportunity of cash being mishandled, miscounted or lost.  With an automated terminal, fraudulent activity is eliminated.  Seems like a trusted employee everyone could use.

3. Reduced or Enhanced Labor

Managing costs is one of the most important obstacles facing car wash operators as we continue to experience uncertain economic conditions. In order to make a profit, operators must ensure their labor consistently reaches performance goals to justify their absorbed labor costs. By installing an automatic payment terminal, operators can experience a number of factors to improve their efficiency while reducing their labor costs. An on-site payment terminal reduces the amount of people needed on-site, which in result reduces payroll and employee costs. Plus, once operators customize their terminal’s appearance, audio and screen functionality they can expect consistent and professional service for every customer, not to mention their terminal is never going to call in sick. One of the factors that can prevent a site from building a loyal customer base is inconsistent service. While part of your customer base is receiving great service from some of your employees you may have other customers greeted by employees that look sloppy and unprofessional or act tired and lazy.

4. Increased Sales

Another reason to consider installing automatic payment terminals at your site is the potential increased revenue per vehicle. Operators who employ automatic payment terminals at their site usually benefit from two revenue-generating opportunities that may not present themselves with lanes worked by car wash attendants.

Consumers generally tend to spend more with credit or debit card purchases. Generally there is a great psychological difference between reaching into your wallet and pulling out money for a transaction as opposed to swiping a credit card to make a purchase.  Studies prove that when we are ready to make a purchase and we are paying with a credit card we are more inclined to purchase the “upgrade” product or service. Human nature seems to cause most of us to be inclined to purchase the “better model or service upgrade” when we can finance the purchase with a credit card. Cash is a tangible object and physically handing it over can have a negative influence on consumers’ willingness to spend more during the transaction process. However with a credit card the purchasing decision becomes very simple and inductive to spending more. With a single swipe of a credit card, customers eliminate the psychological battle of watching cash leave their hands and they can make an easy commitment to the service they want.

The second revenue-generating factor is 100 percent of customers are asked to upgrade during the transaction process. During the transaction process, customers can always be presented by one of the terminal’s screens for upgrade to a selected service or package. That consistent customer service is an important factor to building customer loyalty. The same can be said about an automatic payment terminals’ ability to produce the same kind of consistency for a car washes’ sales process.

5. Loyalty Programs Increase Frequency & Build Loyalty

Customer loyalty is the key to any successful car wash operation. In fact, loyalty programs and the word “success” go hand-in-hand in today’s marketplace. Loyalty programs are all around us. In the wash marketplace, loyalty programs rewarding visits and pre-paid cards entitling a set number of services are just a few ways operators are bringing customers back to their car wash.

“Loyalty programs create unique opportunities unlike any other marketing program. Consumers take pride in belonging to loyalty clubs or programs and therefore develop a strong emotional attachment to that car wash or business. It’s those consumers that have consistently demonstrated a higher visit frequency and greater dollar spend at your carwash and should therefore be the focus in developing a customer base,” said Aaron Schmick, Marketing Manager for Integrated Services, Inc.

The growth of loyalty programs in car washes can be attributed to the growth of computerized management systems. Software management systems and automatic payment terminals have made it much easier for car washes to manage loyalty programs electronically and via the Internet as opposed to filing stacks of paperwork on-site. And car wash operators aren’t the only ones benefiting from electronic loyalty programs. Customers no longer have to worry about keeping track of receipts or finding lost punch cards when their loyalty status is kept by a software management system. When integrated with a car washes’ software management system, automatic payment terminals give customers the freedom to manage pre-paid loyalty cards and programs privately. Just another example of a no hassle transaction.

Jim Belanger is the president of Car Wash Management Integrators. He can be reached at jbelanger@carwashcmi.com or 866.868.5312. For more information visit www.carwashcmi.com.