(Restaurant News Release) Value Trade Network and its staff have been serving small and mid-sized businesses for over a decade. As new challenges arise, our mission is to provide cutting edge solutions for our business partners to face these challenges head on.
With such tight profit margins already, restauranteurs across the country are looking for creative ways to stem the tide of problems that face them in today’s market. From the pandemic and mandatory wage hikes to staff shortages and inflation, restaurants have been hit HARD. Luckily, Value Trade Network has created innovative solutions to bring relief to restaurant owners.
Now, restaurants can significantly lower or stop paying their card processing fees, adding 3% and up to 4% back to those razor thin profit margins. At the same time, restaurants can also increase repeat visits as well as average customer spend. Our case studies show that restaurants who have implemented this program correctly have seen as high as a 60%+ increase in sales, even during Covid years! These studies were conducted through 2020, 2021, & 2022.
The food & beverage industry’s adoption of this program has been one of the slowest thus far due to the lack of integration by point-of-sale providers and poor representation by merchant service “professionals.” Value Trade Network is helping by leading the charge on migrating this industry over to these programs by partnering with top point-of-sale providers and giving business owners the tools they need to succeed.
The problem businesses face with credit card fees is the fact that they increase TWICE per year. Once in April and once in October. These increases are usually minimal, so businesses don’t really feel the effects for a couple of years. Most businesses simply raise their prices across the board to accommodate for these rate hikes. The problem with that is, in doing so, businesses penalize cash paying customers. This certainly does not incentivize credit card users to use less expensive forms of payment.
Customers who pay cash are now subsidizing card paying customers who use Reward Cards to pay for their flights to Hawaii and other bonuses. These types of incentives are offset by the card brands and their issuing banks by charging higher rates to accept those cards. After all, someone has to pay for these bonuses so why not you, the business owner, right? WRONG!
That’s precisely what the In re Payment Card Interchange Fee and Merchant Discount Antitrust Litigation, MDL 1720 along with the Dodd-Frank Wall Street Reform and Consumer Protection Act specifically addressed. Business owners who accept VISA/MC now have the ability to incentivize customers to pay with cash and other less expensive forms of payment. Before this lawsuit and piece of legislation, the card brands would penalize and fine business owners for incentivizing their customers to use less expensive forms of payment.
Now, with over 12 BILLION in legal settlements by the card brands, business owners finally have the upper hand.
Restaurants can finally give their customers a choice! You can now offer Dual Pricing; one price for cash, Venmo, and other payment methods, and a slightly higher price for cards. The slightly higher price for cards is automatically used to cover the cost of acceptance and eliminate the thousands of dollars restaurants are paying to accept cards each month. This also allows you to reward your customers by using a less expensive form of payment. With Value Trade Network, all of this can be completely automated through your point-of-sale.
This is NOT to be confused with other programs that add an extra fee at checkout such as a surcharge, convenience fee, or “non-cash adjustment.” For starters, those types of programs have been deemed non-compliant by the card brands as well as several states. Despite that fact, this is the type of program many “Merchant Service Professionals” and “ISO’s” are still misguidedly representing to businesses.
The other issue with those types of programs is customer satisfaction. Many customers feel taken advantage of by a business who has added a surcharge during the transaction. Most customers do not realize it’s even been added until after the transaction is complete and they glance at their receipt. When surveyed, more than 95% of customers preferred businesses choosing the dual pricing method instead of a business raising their prices across the board or adding a surcharge.
Value Trade Networks dual pricing program not only ranks highest among consumers, but also complies with all card brand rules and state regulations, eliminating any worry of violations or customer attrition.
Value Trade Network has not only been able to increase profit margins, sales, and operational efficiencies for restaurants, but also decrease other high-cost fees such as third-party ordering and delivery. Value Trade Network has the right dual payment solution for every application from the single family-owned location utilizing a stand-alone basic terminal to the multiple unit restaurant using several POS terminals and printers. In many cases we can provide all or partial FREE state-of-the-art POS technology! Contact Value Trade Network for a FREE demo and cost analysis today and Make 2023 a more profitable year!
For your Free Cost Comparison, contact Senior Coordinator Gary Ripsco gripsco@valuetradenetwork.com 760-828-2918