Australia’s small and medium businesses are increasingly turning to cashless payment systems, according to a recent report by Tyro. A staggering 55 per cent of surveyed businesses have considered going completely cashless in the past year, with 16 per cent already having made the switch.
Why the shift to cashless?
Several factors are driving this trend:
- Consumer preference: A significant portion of Australian consumers now prefer card or digital payments, making it convenient for businesses to cater to this demand.
- Cost reduction: Handling cash can be time-consuming and expensive. Cashless systems streamline operations and reduce the risk of theft or errors.
- Regulatory changes: The Reserve Bank of Australia’s review of payment regulations may further encourage cashless transactions.
Retail and hospitality leading the charge
Businesses in the retail and hospitality sectors are particularly keen on going cashless. Almost half of those who considered the switch were from these industries. This aligns with the increasing popularity of contactless payments and the desire for faster and more efficient transactions.
A bright outlook for small businesses
Despite economic challenges, small and medium business owner remain optimistic. A majority are confident about their future, with many expecting growth in the coming year. However, they are seeking greater government support to navigate rising costs and complex regulations.
Key takeaways from Tyro’s Big Time Business Report:
- A significant portion of businesses are considering or have already adopted cashless payment systems.
- Retail and hospitality businesses are leading the way in this trend.
- Small business owners are optimistic about the future but seek government support to mitigate economic pressures.
As Australia moves towards a more cashless society, small and medium businesses are well-positioned to adapt and thrive. By embracing cashless payment solutions and seeking appropriate support, they can continue to contribute to the nation’s economic growth.
Want to learn more? Download the full Tyro Big Time Business Report