The global coronavirus pandemic has changed how we think and do just about, well, everything. From working to shopping to socializing, COVID-19 is reshaping our everyday lives in ways big and small.
One of the biggest ways that COVID-19 has changed the way we operate is in how we bank. While people have largely switched to online and digital banking as social distancing mandates were set in place, one thing hasn’t changed: customers need ATMs to get cash.
According to the Federal Reserve Bank of San Francisco’s 2020 Findings from the Diary of Consumer Payment Choice, “Consumers used cash for 26 percent of all payments, consistent with the finding from 2018.”
The report also found that, “Cash is used heavily for small-value payments, about 47 percent of payments under $10.”
Since cash cannot be acquired through a computer or telephone, and people still are largely social distancing, ATMs are being acknowledged for their ability to provide a variety of banking services, while adhering to safety protocols.
To Bank or Not to Bank
Consumers are looking for more self-service options as shown by Novantas’ 2018 Shopper Survey where the survey found that a fewer number of consumers stated that their bank branch is their primary driver of convenience – from 30% in 2014 to 19% in 2018.
And with more bank branches closing due to COVID-19, banks are searching for ways to bring quality of service in a contactless manner. ATMs are the solution.
ATMs and IADs are the Answer
As a cost-saving measure, since banks-owned ATMs have high operational costs, more and more banks are beginning to leverage networks of ATMs through Independent ATM Deployers (IADs).
By partnering with IADs, banks can provide customers with surcharge-free ATM networks in locations that have largely remained open during COVID – grocery stores, convenience stores, gas stations, etc.
Additionally, banks can utilize networks of ATMs that have already been placed throughout the community and place their brand and marketing on the ATM, potentially gaining new customers.
A third, and highly-attractive reason that banks are looking to partner with IADs is to leverage the IAD’s management services. Many ATM companies, GoldStar ATM included, offer ATM management services to keep ATMs working effectively around the clock. Without the cost of having to employ a fleet of ATM technicians, banks can significantly reduce their bottom line.
With the ever-changing way we conduct business and move through this strange time, the convenience, security, and dependability of using an ATM has become an essential part of how we bank and how we safely access our cash.