Cashless society? Not in the foreseeable future: Ovum

Most retail transactions are still being settled with cash

The amount of cash in circulation is continuously increasing and the vision of a 'cashless society' will not become a reality in the foreseeable future, according to Ovum.

Part of the Datamonitor group, this technology analyst firm says that in the coming years, cash will remain the primary method of retail payment by volume.

Distribution by ATMs

Today, most retail transactions are still being settled with cash, notes Ovum senior analyst Jaroslaw Knapik, who says this is happening despite the continuing predictions about the declining use of cash, and forms of payment that could take over.

Knapik also notes the European Central Bank, which reported that the number of bank notes from the Eurozone is rising by about nine per cent per year. More than 40 per cent of US dollar bills are now available as compared to the beginning of the millennium.

Most people like to visit their nearest ATM to take out cash and so this channel is still expected to grow. Ovum has found that the Asia Pacific is the fastest-growing market and accounts for more than 40 per cent of global ATM hardware shipments.

Technology investments

It is important to be competitive in this dynamic business environment and the research firm suggests that the banks who want to be ahead in the race should focus on maintaining or expanding their ATM channels.

The need of the hour is to focus on efficiency because users demand good customer service and it is important for the growth of the organisation.

Knapik said more banks are investing in technology because of the increasing cost of managing the ATM channel and want to reduce the cost of operating the device. The cost-efficient management of the ATM channel can be achieved by integration of the several service components.

"Given the fact that vendors able to provide integrated services are emerging, such a reengineering of processes and the underlying infrastructure is becoming much more feasible to manage," added Knapik.

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.

Tags financeindustry verticalsovum

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Anuradha Shukla

Unknown Publication
Show Comments

Father’s Day Gift Guide

Brand Post

Most Popular Reviews

Latest Articles

Resources

PCW Evaluation Team

Luke Hill

MSI GT75 TITAN

I need power and lots of it. As a Front End Web developer anything less just won’t cut it which is why the MSI GT75 is an outstanding laptop for me. It’s a sleek and futuristic looking, high quality, beast that has a touch of sci-fi flare about it.

Emily Tyson

MSI GE63 Raider

If you’re looking to invest in your next work horse laptop for work or home use, you can’t go wrong with the MSI GE63.

Laura Johnston

MSI GS65 Stealth Thin

If you can afford the price tag, it is well worth the money. It out performs any other laptop I have tried for gaming, and the transportable design and incredible display also make it ideal for work.

Andrew Teoh

Brother MFC-L9570CDW Multifunction Printer

Touch screen visibility and operation was great and easy to navigate. Each menu and sub-menu was in an understandable order and category

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Featured Content

Product Launch Showcase

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?