MEI technical support centre

Use of Cash Recycling Technology Grows in the Vending Industry

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WEST CHESTER, Pa., April 25, 2011 —Vending operators deploying MEI cash recyclers technology are reporting an increase in profits and improved customer retention. MEI is reporting an upward trend in the adoption of cash recycling technology, and sees that as evidence that vending operators are recognizing the buying power that is enabled when vend patrons are able to use the higher denomination bills they typically carry.

 MEI reports that cash recycling technology provides a compelling ROI and new up-sell opportunities for vending machines that sell products in the “over $1.00” range and do not have the technology to accept higher denomination bills. Early adopters of recycling technology are reporting sales lifts of between 15 and 40 percent and are achieving a return on their investment in as little as six months.

Adding a cash recycler to a vending machine allows the machine to accept the larger bills that consumers typically have in their wallets without causing change starvation. Consumers have responded positively to machines that accept $5, $10, or $20 bills and are less inclined to walk away to make a purchase at alternative retail outlets that have more payment options .

Since launching the product, MEI has tracked a steady increase in adoption of the CASHFLOW® VNR Vending Recyclers that is now approaching one in every three MEI bill validators sold. This adoption rate highlights that bill recycling is rapidly moving to a competitive need and is no longer a niche solution.    

Cash recycling enables vending machines to dispense change with the same $1 or $5 bills that it takes in for purchases, which allows machines to accept high denomination bills without depleting its change cassettes. Consumers prefer to receive a mix of bill and coin as change since it more closely aligns with their experiences in other retail channels. The positive experiences lead to increased use of higher denomination bills.

 The MEI CASHFLOW VNR has a modular design and has the smallest cash recycler footprint available. Operators currently using VN2700 bill validators can easily convert the units in the field to include the VNR recycler module.
 
About MEI

MEI, headquartered in West Chester, Pa., holds the world’s largest installed base of unattended payment systems, handling over two billion transactions per week in more than 100 countries. The company developed the first electronic coin mechanism in the 1960s, followed by the first electronic non-contact bill validator, and more recently its credit card capability and vending management solution. Recently, MEI reached a milestone of selling more than four million bill validators and five million coin mechanisms worldwide. Its products are in widespread use in the vending, soft drink, gaming, amusement, transport, retail, and kiosk markets. For more information on MEI and its products, visit www.meigroup.com or call 800-345-8215.