Will Cash Become Obsolete?

As the world turns ever more digital daily, many business owners are wondering if their investments in note counters, coin counters, and other products are going to ‘go to waste’. Is cash soon to become obsolete? Will we be handling the business of the future purely with digital wallets? Today the team from LJ International takes a look at this thorny question, and all the considerations to make before you invest in your business infrastructure.

The State of the Modern Buying World

It is true, of course, that digital payment options have become increasingly popular. A recent study suggests that 30% of Americans don’t carry cash at all, and that many shoppers who do still keep cash on-hand are using small amounts only. And with the issues around crime in South Africa, many buyers feel keeping cash amounts limited is a smart way to make yourself less of a target.

With the many advances in both card payments and ‘cashless’ digital solutions, paper money can seem more of a risk than a reward- after all, all you need to do is tap. While South Africa has been slower to adopt cardless payment options like Apple Pay, we’re even seeing these on the rise. Coupled with the popularity of online shopping and eCommerce, it does make a strong argument for cash falling out of favour within businesses.

Does that mean it is on its way to ‘extinction’, however? Not quite. There’s still a strong demand for cash payments, from people who are only paid in cash (think waiters and day labourers) to people who are either unconfident with new technology or simply used to what they like. Trust in mobile payment options is not high in South Africa, and many elder and low-income shoppers prefer to stick to this timeless option, too. 

Technology Doesn’t Always Replace Staples

While new evolutions in how we do business are always just around the corner, that doesn’t mean older technologies slip into obscurity. Older readers will doubtless remember how we were promised ‘paperless offices’ with the rise of IT in business, and yet here we sit- still very reliant on paper.

So while it is inevitable that cash usage in business will decline as smart digital options become available, and the payment landscape has certainly evolved, writing cash off just yet isn’t the smartest idea. Modern consumers want diversity and convenience, so removing active payment options is more likely to frustrate them, then be seen as progress. No one wants to turn away a consumer because they can’t cater to them in a business landscape where conversions are king.

Yet, if cash is becoming rarer in the marketplace, it is more important than ever that you have safe, fast, and efficient processes in place to help you keep your business processes smooth and effective. Having a money sorter or note counter you can rely on to give you accurate tallies, fast counting, and reduce the cash handling in your business to a minimum will become a staple of staying agile and mobile in a multi-payment option business landscape.

Luckily, if you’re in the market to upgrade and simplify how your business handles cash, LJ International’s expert team is here to help you find the perfect balance of accessibility and function. Reach out to us, and we’ll help you find the cash handling solution that is perfectly scaled to your business and needs today.