The tourism industry is big business. Tourists drive a large part of the Canadian economy.
Despite this, the individual businesses that make up the tourism industry often face slim margins and increasing pressures. Tourists want great deals, but overhead costs just keep climbing. In businesses like zoos, aquariums, and theme parks, making a profit can be a challenge.
One excellent way to improve your profit margins in the tourism industry is to adopt cash management technology. These various pieces of equipment can ease some of the challenges you face in managing cash.
Why Is Cash Management Technology So Important?
As most business owners in this sector know, a large proportion of transactions are still conducted with cash. Tourists tend to travel with cash, especially if they’re travelling from another country. Cash is more reliable than credit cards and debit cards, which may not work in a foreign country.
Even local tourists tend to carry some cash on them. They may not be sure if all businesses accept alternative payment methods. Again, cash is the safer choice.
The more cash you handle in your business, the more cash management technology can help.
The Rising Costs of Doing Business
Many business owners tend to prefer cash. Credit cards, debit cards, and other forms of payment come with vendor fees. This can raise the cost of transactions.
People tend to see cash as devoid from similar associated costs, but it does have them. When a business has poor cash management processes, the cost of handling cash is more apparent on the bottom line. For example, poor cash management can result in mistakes, which run up costs as you try to find and correct them.
The rising cost of doing business also shows just how valuable cash management is. The minimum wage has increased in several provinces across Canada recently, resulting in higher labour costs for employers. The more time your employees spend handling cash, the more you’re paying for cash management.
Some would call this the cost of doing business. Cash management technology can help you curb the upward trend in costs.
What the Right Technology Can Do for Cash Management
As established, many businesses in the tourism industry rely heavily on cash transactions, and they also face pressure from increasing overhead costs. Rising minimum wages and increasing labour costs are prime examples.
The right cash management technology can reduce your labour costs and lower the costs of handling cash. For example, a coin and bank note recycler can reduce the time cashiers spend preparing floats and counting tills at the end of their shifts.
Other technology can reduce the amount of time your employees spend counting and sorting cash at the end of the day. Some machines can tally cash for you, reducing the likelihood of errors. In turn, this also reduces the amount of time and effort you spend finding and fixing those errors.
The end result? Better cash management, a more streamlined process, and reduced labour costs associated with handling cash.
Pushing the Bottom Line
The right cash management technology doesn’t just reduce labour costs associated with cash handling. It can also mean you may be able to reduce shift lengths and overlap. You may even be able to schedule fewer staff members at any given time, thus cutting costs.
Finally, the right technology allows your employees to get back to what’s most important. With fewer cash management tasks to manage, they can get back to delivering great customer service. Better service translates into happier customers, who return time and time again.
