Visa Takes War on Cash to Restaurants. Company offers up to 50 merchants $10,000 apiece to upgrade payment technology and stop taking cashVisa’s new initiative is part of its broader effort to steer Americans away from using cash, long one of its biggest competitors.
Visa Inc. has a new offer for small merchants: take thousands of dollars from the card giant to upgrade their payment technology. In return, the businesses must stop accepting cash.
The news release from Visa (V) on this initiative positioned the program as the company helping small merchants avoid the hassles of accepting cash because ” . . .a cashless culture means convenience, security and ease of use . . .”
Well, we certainly agree from a consumer standpoint, but not so sure many merchants would agree since it effectively cuts their profit margins by having to pay transaction fees. But in today’s world — cashless payments are the price of entry for any business. Plus, it’s hard to imagine that Visa, or any credit card company for that matter, would need to push retailers to stop accepting cash. Afterall, who carries cash anymore?
It’s why Cashless Consumption is such a key investment theme of our approach at Tematica. It’s really the glue that holds together the Connected Society and Content is King thematics. For a full list of all our themes, check out our new page: What is Thematic Investing?