Q&A Thursday Episode 5
Q&A Thursday Episode 5
Welcome back to Q&A Thursday episode 5 brought to you by Jacob and Orlagh This week we are discussing the possibility of cash being replaced by contactless payment what it could mean for businesses. Many businesses have recently opted for contactless payments with many preparing to make the change.
Retailers have urged the public to use contactless payment when purchasing products throughout the coronavirus outbreak. Buying using a contactless payment is said to be for hygiene reasons; however, it may cause many to struggle. Those who depend on cash, the older generations and unbanked may be unable to access some services. A survey of 2,000 people discovered that 1 in 10 people was refused by shops when trying to purchase items with cash during the pandemic. The study conducted by the consumer group Which? Shows that businesses going cashless may cause many to suffer.
Is this the end of Physical cash?
Despite potential issues with all businesses going cashless, many retailers have opted for the safer contactless option. In turn, contactless payments increased by 10 % across the country as companies reopened to the public in June. Many large retailers have switched to contactless only. Supermarkets such as Sainsbury’s and Tesco along with food outlets, McDonald’s and Burger King have rejected cash payments.
Mustang conducted a poll on social media to discover our follower’s opinions. We asked our followers “do you believe this is the end of physical cash?”. We received mixed feedback, a majority of 66% voted yes, agreeing that purchasing using contactless payment is the future.
Should my business go cashless?
Paper and plastic money can have thousands of microbes from every environment it touches. In 2017 researchers swabbed $1 notes from a bank in New York City and found hundreds of species of microorganisms. The bacteria, included those that cause acne, microbes from mouths, and DNA from pets and viruses. Therefore, using cash notes make the transfer of infections convenient.
The World Health Organisation announced people should stop using cash and use contactless payment instead. Research shows that COVID-19 can survive on banknotes. In China, banks began to disinfect and put notes in isolation to reduce the spread of the virus. The New England Journal of Medicine (NEJM) discovered that COVID-19 could remain on copper coins for 4 hours. In contrast, the virus can survive on paper money for up to 4 days.
Will businesses going cashless impact virtual currencies?
The virtual or online currency is a digital representation of value that also functions as a medium of exchange. An example of Virtual currency is Bitcoin. The cryptocurrency sector has existed since 2009 the same year bitcoin launched. Virtual currencies have experienced steady growth with one bitcoin now worth over £7000. Many online retailers already accept virtual currencies. Popular retailers such as Etsy, Shopify and Microsoft all accept Bitcoin. With many businesses moving and operating online, virtual currencies may begin to become more prevalent.
Will Cryptocurrency become more dominant?
Cryptocurrency is a digital currency, secured by cryptography, which hides information. Digital currency is safer to use, as there’s no risk of spreading the virus through the use of Bitcoin. The CEO of Coinbase said $1.3 billion in fiat and cryptocurrencies deposited during the market crash in March. Therefore, cryptocurrency might be an essential part of the financial system after COVID19.
Will online shopping be the demise of the high street, or will they adapt?
Families own many highstreet shops with many stores generating low revenue. Many retailers rely on people coming into stores and paying for products in the shop. As a result, many high street stores have struggled during the Lockdown. We found that the high street has decreased in growth by 71% during Lockdown. Low growth has pushed some stores to close, and others are fighting for survival. Consumers are choosing to shop online and not visiting brick and mortar stores. Subsequently, many more stores may not be able to survive if they don’t adapt.
We surveyed across our social media, asking our audience do you think stores will adapt or fail. Our feedback suggested that many thought that highstreet stores would not be able to compete.
So will the need for a website become more prevalent in the future?
Recently, in-store sales have decreased, while online sales have increased, showing the importance of an online presence. For high street and independent businesses, having a website is now essential in selling your products online. It warrants accessibility, so your customers can view information about your company any time, and anywhere. Sites allow you to reach a wider audience too, which generates more potential customers. Most importantly, your customers will still be able to purchase from your business, so this will help you post-lockdown.
How to build a website for a business?
Mustang offers a website package deal for companies based in the UK with less than 30 employees. All websites are secure and reliable and of high quality. It includes a 3-page e-commerce site which will be ready in 7 days. This package starts from just £49 per month. If you have any questions or queries about this Q&A Thursday Episode 5 please feel free to contact us, and we will be happy to help. Leave a comment on our website, contact us via email at email@example.com or phone us on 01925 754766.
If you enjoyed Q&A Thursday Episode 5. Don’t Forget to Tune in every week for Q&A Thursday with Jacob and Orlagh.