Terminal Profitability: How Modern Payment Kiosks Can Kickstart Revenue for C-Stores
By Scott Friedman
For a transactional business like a convenience store, revenue streams are the lifeblood. By offering multiple purchase options for key profit drivers such as the fuel dispensers and carwashes, you can enhance both the customer experience and your bottom line.
But you need the right tools for the task. Without them, you risk profit loss, often right at the payment terminal itself.
Carwash customers have specific expectations – where the name of the game is speed and efficiency. They want open lanes at the pumps and a quick and thorough carwash, which starts with an easy-to-use, EMV-compliant payment system.
But many convenience store sites that fail to update their payment kiosks are missing a significant opportunity for profit gain and a chance to provide a fast and simple process for their customers. Older payment terminals are increasingly inefficient and clunky and can lead to additional expenses for the site. For example, operators may not be aware of the hidden fees associated with non-EMV compliance.
Outdated terminals also directly affect the customer and traffic flow in and out of the bay. Drivers can spend time fumbling for cash or coins, causing long lines to form, and there’s always the risk of older machines jamming or operating incorrectly. These are the types of inadequacies that harm the customer experience from the outset, reducing the likelihood of repeat business and frustrating the customer in the process.
Upgrading to modern kiosks can help mitigate that.
While c-store and carwash operators cannot lower every cost, there are opportunities to reduce the risk of lost profits through equipment upgrades without compromising operational uptime or customer satisfaction. To accomplish this, sites must consistently deliver effortless operation across the board, which begins with the first customer touchpoint – the kiosk.
What Can Updating the Payment Terminals Do for the Store?
The value of updating the terminals extends far beyond the checkout counter or wash lane.
Today, an increasing number of devices are becoming interconnected on-site. It is easier than ever to offer incentives for the carwash or the store, right at the fuel pump, inside the store, or both. That communication flexibility enables the c-store to easily sell wash subscriptions, promote loyalty programs and more.
New kiosks serve as the central hub, bringing with them several key advantages to the business:
- Systems designed specifically for c-stores
- Built for in-bay or outdoors
- EMV compliance
- Improved efficiency
- Flexible and secure transactions for multiple payment types
- Increases the number of customers served in peak hours
- Personalized customer advertising
- Upsell opportunities
- Connects to apps for subscriptions and rewards programs
- Speed, security and personalization with AI-powered license plate recognition (AI-LPR)
With multiple ways to communicate and transact with customers compared to older payment terminals, operations have a more centralized approach to improve efficiency and add revenue streams.
“Upgrading to new kiosks makes them essentially the hub of your operation,” said Kevin Ahnert, general manager, payment solutions and controllers at Innovative Control Systems (ICS), part of OPW Vehicle Wash Solutions. “Devices and customers are communicating more on-site: Tanks, dispensers, phone apps, they all connect into one system. It’s a great set of tools for both new and existing customers to use. With all the personalization options like AI-LPR, RFID and voice prompts, the business will have new opportunities for customer communication and effective cross-selling.”
Another benefit is the relatively simple upgrade process.
Installation is straightforward from a physical standpoint, requiring no special infrastructure or technology aside from having adequate power availability and a secure internet connection. With most new systems built for plug-and-play capabilities, a c-store site can be up and running with new digital payment terminals quickly and easily.
How Do New Terminals Benefit the C-Store Customer?
Customers visit convenience stores for a quick stop, whether for fuel, snacks, a carwash, or all the above. In any case, they expect speed and reliability. Operators shouldn’t hamper that with outdated payment kiosks that slow everything down or are prone to errors.
“Today’s technologies are more accepting of different payment methods, which speeds things up,” Ahnert said. “Modern kiosks are EMV-ready, allowing for cards, apps and rewards programs to make things more efficient and give the store more revenue options. Plus, new kiosks are much more user-friendly, with bigger screens, simple interfaces and easy-to-follow instructions.”
New payment systems also provide several key benefits to the customer that can kick off a great experience and drive repeat business:
- Ease of use
- Speed and efficiency
- Multiple payment options – no need to count cash or risk a jam during payment
- Personalized incentives based on purchase history
- Quick access to rewards, discounts, memberships and loyalty programs
Conclusion
Many c-store carwashes are losing profits at the payment terminals without realizing it. The inefficiencies and cumbersome operation of older kiosks can slow down traffic during peak hours, frustrate customers who expect a quick, smooth payment process and limit the flexibility of the store to collect multiple payment types.
By upgrading to new generation terminals, the c-store can more effectively cross-market between the fuel pumps, carwash, the store and even the individual customer through several levels of interactivity. Furthermore, installing new kiosks that accept multiple, secure and accessible payment types gives the operation additional revenue streams while minimizing profit loss from outdated equipment and the chance for customers to have a negative experience.
Scott Friedman is the director of marketing at OPW Vehicle Wash Solutions. OPW Vehicle Wash Solutions was formed in January 2019 and consists of PDQ Manufacturing, Inc., Belanger, Inc., Innovative Control Systems (ICS), Kesseltronics and Transchem. For more information on OPW Vehicle Wash Solutions, visit opwvws.com.
