Vending 2.0: Nayax Cashless Payments for Unattended Retail
In episode 78 of The Payments Show Podcast, I spoke to Yair Nechmad who is the Founder of Nayax.
Nayax provides businesses with payment solutions for Point of Sale and Unattended Retail such as Vending, Parking, EV Chargers, Car Washes and more.
AUDIO VERSION: thepayments.show
Episode Highlights:
Unattended Retail: What Is It? How Big Is The Market?
Examples of Unattended Retail: vending machines, EV chargers, car washes, kid's rides, airport massage chairs. The vending machine industry alone is expected to reach about $146 billion dollars by 2027 (source: businesswire.com).
Nayax customers can make about $30,000 per month from cashless payment solutions (source: CNBC). Laundries, for example, where owners can generate 49% more revenue with cashless card readers.
TCO of Cash Payments: Not Crossing 7% Cost of Cash
It's all about the total cost of ownership. If you calculate total cost of ownership of cash: don't forget to collect the cash. It's cost money to deposit and to count cash. There is a shrinkage in in the cash. There is the coin mechanism that has some jams. The cost of the coin mechanism altogether. The industry is measuring this around 5% - 7% cost of what we call managing cash.
25% - 35% Sales Uplift, and 25% to 35% Opex Reduction
The value behind Nayax is that usually cashless is generating uplift: the value and the volume of the machine, by 25% to 35%. And in terms of the cost, it's reducing the, your cost operation in 25 to 35%. So, imagine the productivity per employee, to the route driver if you have five routes for your vending machine. This saving can be part of your net profit.
One-Stop, End to End Solution
We are providing the payment part, we are providing the telemetry part, we are providing the payment facilitating, we are providing mobile app. It's like an Enterprise Solution for the very small merchants in the unattended space.
With Unattended, we're talking about not just vending today. We're talking about the kiddie rides, the laundry mats, the EV chargers, the car wash. There are 44 verticals, in more than 70 countries.
