Falling behind’: Small business risks revenue with old tech, while quarter of Aussies still use cash
A new report has made surprising findings about the use of cash and the number of businesses accepting cash in Australia.


News.com.au
August 18, 2024

‘It’s a freedom battle’: Politicians fight for shops to take cash

Katter’s Australian Party’s Bob Katter has warned that if Australia gives the banks a “no cash society,” then they control “every aspect of your lives”.

A quarter of Australians still rely on cash when purchasing from small businesses, a new report has found.   :)

A survey by small business accounting outfit Xero found 25 per cent of Australian shoppers still rely on cash and cheques when making a purchase

But 41 per cent of consumers rarely use cash or cheques, and only do so when a business asks for it.

Two in every five Australians rarely use cash.

Xero’s Australian sales director Theo Konstantas said small businesses and customers were disconnected over how to pay.

Businesses were hesitant to adopt Apple Pay and Google Pay, and even traditional debit and credit facilities, he said.

“Aussie consumers are increasingly embracing digital payment methods, particularly younger generations.

Bob Katter kicked up a stink earlier this year when he couldn’t buy his lunch in Parliament House using cash.

“However, small businesses don’t seem to be meeting their customers where they are.”

“With a drive to digital, small businesses that don’t meet consumer preferences might find themselves falling behind,” Ms Konstantas said.

Only 55 per cent of Australian small businesses offer debit or credit as a way for customers to pay.


Businesses not keeping up with the tech people want to use to pay with are risking revenue, Xero finds.

More than two-thirds (68 per cent) of small businesses want bank transfers, and cash is the second most common payment method preferred by the proprietor, at 59 per cent.

Xero payments senior vice president, Bharathi Ramavarjula, said businesses who adapted would benefit.

“Understanding how different consumers prefer to pay and giving them the flexibility to pay the way they want, will help small businesses get paid faster and grow their revenue,” he said.

I never use cash, and I understand why many businesses don't want to accept it.

First of all, it means someone has to make a trip to the bank every day.

It also makes the business a target for robberies.

And, many people just can't do basic maths - I've seen shop assistants struggle to figure out how much change to give out of a 20 for something that cost $7.

I understand why some people would prefer to use cash, and I sympathise with them, but if a business doesn't want to accept it just take your money elsewhere.

You can't force them to take cash.

'Legal tender' does not - no matter how many times people tell you otherwise - mean that it's illegal to not accept it as payment.

As a consumer you should be able to pay how you like.  However if they don't take cash, then its see you later, I will go somewhere else.   :(   

greggerypeccary wrote on Aug 18^th, 2024 at 11:57am:

I never use cash, and I understand why many businesses don't want to accept it. First of all, it means someone has to make a trip to the bank every day. It also makes the business a target for robberies. And, many people just can't do basic maths - I've seen shop assistants struggle to figure out how much change to give out of a 20 for something that cost $7. I understand why some people would prefer to use cash, and I sympathise with them, but if a business doesn't want to accept it just take your money elsewhere. You can't force them to take cash. 'Legal tender' does not - no matter how many times people tell you otherwise - mean that it's illegal to accept it as payment.

I prefer to pay with cash but totally agree with you.
It's a simple choice as the buyer.
If the seller doesn't match my expectations of how I wish to pay I simply buy from someone else who does.

The global CrowdStrike incident hit banks and supermarkets, leaving customers in the lurch.
The impact of the global internet outage on digital payments has further demonstrated the critical importance of keeping cash accessible and accepted.

tallowood wrote on Aug 18^th, 2024 at 2:17pm:

The global CrowdStrike incident hit banks and supermarkets, leaving customers in the lurch. The impact of the global internet outage on digital payments has further demonstrated the critical importance of keeping cash accessible and accepted.

How much to keep? $100? Gee, that'll turn it around... NOT!!!

It's a collective multi-million-dollar business overhead to transfer and distribute cash, and ensure its security.

greggerypeccary wrote on Aug 18^th, 2024 at 11:57am:

I never use cash, and I understand why many businesses don't want to accept it. First of all, it means someone has to make a trip to the bank every day. It also makes the business a target for robberies. And, many people just can't do basic maths - I've seen shop assistants struggle to figure out how much change to give out of a 20 for something that cost $7. I understand why some people would prefer to use cash, and I sympathise with them, but if a business doesn't want to accept it just take your money elsewhere. You can't force them to take cash. 'Legal tender' does not - no matter how many times people tell you otherwise - mean that it's illegal to accept it as payment.

Yes, I've seen that quite a few times myself. Even when the screen on the till usually shows them how much change they need to give back.

I suppose it's just as well we don't use pounds, shillings and pence anymore, I'm sure some of the shop assistants these days would never be able to work it out (even if the amount of change was shown on their screen).

I only carry cash for road side donations and illegal windscreen cleaners.   >:(

greggerypeccary wrote on Aug 18^th, 2024 at 11:57am:

I never use cash, and I understand why many businesses don't want to accept it.

I use cash for purchases of things that I don't want a record on my bank statement. For the last 20 years, I have not paid for any alcohol purchases with my cash card. It is always cash.

Meanwhile, it has taken me 15 years to put together my weapons cache that I store all over town here that I can access at a moment's notice. No record of me buying the things on my credit record. Except for my pocket knife that the police confiscated from me.

UnSubRocky wrote on Aug 18^th, 2024 at 5:38pm:

greggerypeccary wrote on Aug 18th, 2024 at 11:57am: I never use cash, and I understand why many businesses don't want to accept it. I use cash for purchases of things that I don't want a record on my bank statement. For the last 20 years, I have not paid for any alcohol purchases with my cash card. It is always cash. Meanwhile, it has taken me 15 years to put together my weapons cache that I store all over town here that I can access at a moment's notice. No record of me buying the things on my credit record. Except for my pocket knife that the police confiscated from me.

Absolutely everything you buy via card is placed on your credit report.



Yes a great point.

Everything you buy via card is recorded and even though I could really care less it's a invasion of my privacy I have to pay a 3 to 5% fee for the privallage of my shopping habits being looked at by third parties let alone hacked and sold on the dark web.

One item I did buy many years ago, cost me about $30 (at most). I made enquiries to the police many years ago to get the item back. However, they ignored the enquiry. So, I have asked to be compensated over $1000 and have 3 of my last traffic infringements rescinded. I would love to read their response.

Once we go cashless, there is NOTHING to stop banks charging you $10+ per transaction. Nothing.

The only way I would support going cashless is if we had a government bank where profit was not the be all and end all.

whiteknight wrote on Aug 18^th, 2024 at 12:01pm:

As a consumer you should be able to pay how you like.

I'm not sure I agree with that   :-/

If a business only wants to accept sea shells as payment, that's up to them. If they lose customers, they'll soon change their approach.

If they're forced by government to accept cash, then maybe the government should provide security for the store and extra security for the staff members who have to carry the day's takings to the bank.

I don't wanna see cash disappear, but I certainly don't think anyone should be forced to accept it as payment.

John Smith wrote on Aug 19^th, 2024 at 8:57am:

Once we go cashless, there is NOTHING to stop banks charging you $10+ per transaction. Nothing. The only way I would support going cashless is if we had a government bank where profit was not the be all and end all.

Many years ago, there was a show called "Swap Shop". The customers would come into this store where they did not use cash transactions. Instead, the customers would swap something of theirs for something in the store of near equal value.

I think Baby Boomers and Gen X people can take a lesson from that show in this context of the cashless society.