Self-Service Kiosks: Innovation in the Fast Food Industry

McDonald’s made the decision to introduce self-service kiosks in 2017, they did so with an increased customer experience being the primary focus. By launching self-service kiosks in their restaurants, they were able to minimize human attention for that role and bring more attention to the happiness of their customers.

The outcome of this was a 26% rise in their share price, with McDonald’s ratings being raised and their shares surpassing their market predictions.

Later on, self-service solutions became more integral than ever. The pandemic altered the way customers view convenience and speed, and self-service kiosks made that transition easier. They also played a role in the reopening of restaurants during this time, bringing new innovations into the realm of this industry. 

With the thought of cleanliness in the back of everyone’s minds, these kiosks are often outfitted with contactless payment methods, allowing the customer a touchless experience that doesn’t require typing pins or touching screens. 

While self-service kiosks are expected to retain their popularity and relevance in the distant future, the same is expected for their use with curbside pickup, food trucks, and even autonomous robot restaurants. 

Customers in today’s environment expect in growing quantities a personalized and tailored experience in every aspect of their product and service consumption, with a demand for convenience and speed remaining at an all time high. Self-service options in turn allow for staff to meet customer demands, cater to their needs with recommendations, and provide an overall higher experience during their time in the restaurant. This is shown to increase sales compared to the traditional method of conducting transactions and heightens speed, convenience, and customer service in a ubiquitous and omnipresent way. 

Companies adopting the self-service kiosk into their restaurant experienced a higher level of production amongst staff members in the store. With less of a focus on transaction based processes, workers became ready and able to help customer in a multitude of ways, whether it be recommendations, help with ordering, or bringing food out to customers. 

McDonald’s locations that introduced self-service kiosks also found that their sales were increasing due to a growth in average order size. Long lines became less prevalent at these stores and customers were introduced to a transaction experience that offered suggestions, tips, and more time to order. 

This industry is one that goes through constant innovation and the demands of the consumer are unceasing. Systems considered up to date in previous years are being replaced with modernized kiosks that assimilate into their environment with precision and ease, and older systems are now considered overpriced and out of date compared to their new counterparts.

The future of interactive self-service kiosks will continue to go through innovation as consumer demand for technological advancements increase, and the flexibility and lower price point of new models will serve as one of the many drivers for these innovations in years to come. 

Contactless Payments and EV Charging

In the early stages of the automobile industry, electricity was competing with steam and gasoline as means of powering cars. According to a Census Bureau report in 1900, more than one-third of all cars manufactured in the U.S. were electric!

Fast forward to 2021. Electric cars are taking a growing share of the automobile industry as most of the car manufacturers today are already selling electric versions of their existing models. This is certainly a sign that electric vehicles are becoming mainstream, and it has many companies scrambling to solve the problem of refueling these cars considering most of them have limited ranges.

Types of charging

There are three current category types for EV chargers: slow, fast, and ultra-fast. The most common are slow chargers, which are typically in use overnight at home. They use around 7kW and typically take 8 hours to charge an average EV car from empty. Fast chargers are typically 50kW models and can add about 100 miles of travel in about 35 minutes. Ultra-fast 150kW chargers are beginning to show prevalence and can bring a quick charging time down to only several minutes.

Market Size

The sales of electric vehicles have fluctuated over the past couple of years as electric cars failed to gain much market share. Global EV sales grew by 41% from 2019 and the global electric car sales share rose to a record 4.6% in 2020. That represents a total of some 10 million units.

In 2021 new EV registrations are expected to total 300,000 units in the United States, 1.2 million units in China, and 1.4 million units in Europe. The leading countries pushing this trend in Europe are the Scandinavian countries.

The EV market share is expected to increase to about 15% of the market by 2025.

“Fill Up the Tank”

As the market continues to grow, the need for places where cars can be quickly charged is growing as well. In 2020 there were approximately 1.3 million public charging spots worldwide. In Europe, 38,000 public fast chargers were accessible, representing a growth of 55% from the previous year.

The number of slow chargers is also increasing. China, who leads the world in the number of slow chargers, has around a half million chargers compared to Europe, which has a quarter million. The United States lags behind with only 82,000 slow chargers.

The Market Forecast

The United States has 17% of the world’s electric vehicles, China has 44% and Europe has 31%.

According to Pew Research, the EV market will grow faster in China and Europe compared to the United States. Today, 7% have electric hybrid vehicles, however 39% stated that they would consider purchasing an electric vehicle next time they buy a car.

According to meticulous research, the electric vehicle market is expected to reach 234 million units by 2027. According to Mordor Intelligence, the electric vehicle (EV) market was valued at $171 billion in 2020, and it is expected to reach a value of $725 billion by 2026.

It Pays to Charge

With the exploding need for charging EV’s, charging stations are quickly becoming a new growth opportunity for operators. This is true for business models that provide only charging as well as for existing operations such as service stations and car washes which can add charging to their service offering and attract more customers and generate more revenue.

A recent study found that drivers of electric vehicles are more than twice as wealthy as the average American, with a median income of over $150,000. This means that the opportunity of offering additional goods and services is a viable option for growth.

The Ultimate Payment Solution for Charging Stations

Today there are not many options when it comes to charging stations but there are different business models that are at play in the market. It pays to take into consideration that customers tend to be sophisticated consumers of higher income brackets. Therefore, solutions should need to be suited to their tastes and sensibilities.

For example, some chains are locking devices to subscription-based payment platforms, which of course places restrictions on drivers. Other charging station operators in the market provide an open system, a model which is likely to be more successful with sophisticated consumers.

 

UCP Contactless Payment Solutions for EV Charging





Ingenico Self 5000





OTI Trio IQ






The AMP 6500

Adding Card Payments to Pulse Machines with the OTI Trio-IQ

Coin-operated pulse machines were introduced in the early 1880s and have been an integral part of our lives in a variety of ways since that time. The application following their creation was considered significantly diverse, being used for car washes, laundromats, kiddie rides, arcade games, and a variety of other electronically-based systems. The design of these machines were instrumental in revolutionizing the industry of unattended devices, but that doesn’t mean they weren’t without their share of flaws. Coins getting stuck, dollar bill issues, incorrect change on hand from customers, and having to clear out the coin tubs at the end of each day are some of the many challenges that these machines frequently experienced, and it was equally frustrating for both the customer and the service provider. Covid-19 brought along with it a multitude of challenges in all shapes and sizes to countless industries, but it also offered the opportunity for previously unrecognized growth and adaption. In the instance of coin-operated pulse machines, the answer was retrofitting existing machines. 

It’s been understood for a considerable amount of time that money is far from being something clean that we should handle on an everyday basis. Studies have found that 3,000 different types of bacteria live on a single $1 bill, and are one of the dirtiest things you touch every day. This is something that we’ve been aware of for quite some time, but not something most of us paid any mind to until once the pandemic began. People have grown exceedingly conscious of the dangers of handling cash, and have quickly lessened or completely ceased their interaction with cash and coins. Looking for a better solution to bacteria-free transactions is where contactless and cashless technology comes into play. 

With the EMV certified Trio-IQ from OTI with EVO processing, your basic coin-operated pulse machine is transformed into a powerful and state-of-the-art cashless & contactless pulse machine. This modular combo platform combines telemetry with a 5-in-1 EMV payment reader that offers full integration to your coin-operated pulse machine, even with existing functionality and full payment options. The system even knows how to sample pulses that come in to estimate coin payment counting and monitoring. It’s a standard size and can be retrofitted easily with most existing equipment. The device also has full connectivity options such as Cable, WIFI, BT, and even 4G Networks. 

 More revenue potential

The smart billing process enables users to easily add more operations to an existing operation and get a single charge for all. This keeps them playing and spending more money rather than losing focus and searching for more change.

Integrated capabilities can also save on outlay. Some machines have need of an additional timer module that can cost up to $700. TRIO-IQ eliminates the need for a separate timer since it is capable of getting input directly from the machine and acting as a timer using its built-in display.

 Fully customizable

Integrators love TRIO-IQ because it is easy to customize and configure and thanks to OTI’s open garden approach which provides you with SDKs and APIs.

Payment processes can be configured by the operator at will.  Everything can be customized including the messages on the display, the amounts, pulses, coin up or coin down, etc.

In addition, custom configurations and immediate actions can be done remotely. No need to bother going in person to the machine.

 New payment channels

TRIO-IQ supports it all; Credit cards/smartphones that support EMV, insert, swipe, tap and QR Code.

The QR Code can be given as a coupon in front of the machine. The TRIO-IQ knows how to read it and send it to the server for approval for further operation.

 Reporting

There are various options for reports and notifications. For example, monthly activity reports – allows tracking and control and prevents theft as it happens today in the transfer of cash from the machine to the recipient.

Real-time reporting of faulty equipment enables operators to fix the problem in a timely manner, cutting down on the loss of revenue due to inoperable machines.

 The bottom line

To sum up, there are several advantages of retrofitting Pulse Machines for cashless payments.

Adding cashless payment abilities to your coin-operated machine opens up new revenue streams. In the process, by connecting your machine to the cloud, significant cost savings can be achieved by more streamlined and efficient management.

Some research shows enabling cashless payments can increase revenue and profitability by as much as 28%. Consumers are likely to use your machine multiple times in one visit, simply because they don’t need an endless supply of coins or banknotes to feed into the machine.

Connecting your machine to the network allows you to run your machines much more efficiently. Cloud management systems provide real-time status data for each machine. This saves money in two ways; less downtime when a machine is not working and fewer costs servicing the machine.

Contactless Payments and the Transportation Industry

Contactless, tap to pay transactions make up one-third of all payments on a worldwide scale. This industry was already experiencing an increase prior to the pandemic, and now there is an excess of 300 million contactless cards that are in circulation. Contactless payments systems are being accepted globally in an effort to offer a clean and safe process at the point of sale, which is of an emphasized importance with individuals during their return to public transportation. A variety of payment networks have begun the process of assisting transit operators globally in switching over to an open-loop payment system, in which consumers will be able to just tap their contactless payment device in order to ride. 

While the immediate benefit to contactless payment may be related to health and a higher degree of hygiene, tap-to-pay also offers a much easier and less time-consuming process for purchasing physical tickets or cards for ride entry. In previous years, consumers frequently experienced issues with the various payment requirements that differed per transportation option. With the increasing adoption of tap to pay, the difficulty in finding out which payment method is necessary anytime you use a new transport provider would be completely rectified. This method introduces a universal transit experience on a worldwide scale that would be interchangeable anywhere you go and eliminates the challenges a multitude of users face on an everyday basis.

The contactless payment method for transportation was originally introduced in London and was seen as a revolution that allowed individuals to pay for various methods of transport in the same way they would purchase their coffee in the morning. There was no longer any necessity in paying for physical tickets or using an Oyster card to access any transport they needed. Major cities like New York, Boston, and Miami quickly followed their lead, seeing the potential in this new method of transit payment and its ability to lower cash handling expenses and the use of closed-loop cards. With their cloud-based payment system in place, agencies providing transport services are now given access to a convenient and low-cost method for contactless payments.

Outside the realm of transportation, contactless payments and readers have seen a vast amount of application as more industries come to realize the improvements and efficiencies of their implementation in their respective platforms. With such an immensity in its level of utilization, contactless readers are being used for car washes, cash-free gaming, kiddie rides, and even in correlation with charitable donations. The possibilities are potentially limitless if the usefulness of these readers is fully recognized and applied to its full extent, which would make transactions in any given industry easier than ever before. 

The Ingenico Open 1500 & 2500

The Ingenico Open 1500 & 2500 are members of a new generation of unattended devices that unite the finest aspects of the transport and payment world. These unique and innovative open readers can be integrated into steel or plastic enclosures such as busses, tram validators and railway gates as well as kiosk mounts. They are PCI-certified and dedicated contactless readers that enable new use cases revolving around contactless ticketing, mobile and IOT payments. The modules are also suitable for contactless payments in retail and hospitality such as retail lockers and QSR drive-thru. Design specifications and other noteworthy details are listed below.

Highest security 

PCI PTS 5.1 certified, the Open 1500/2500 is natively designed to meet local regulations and ensure long-term compliance.

Contactless/NFC payment acceptance

The Open 1500/2500 enables all contactless payment methods: Visa, Mastercard, Amex, Discover, CUP, Interact, Flash, ApplePay, Google Pay and more.

Multiple use cases

The Open 1500/2500 can manage multiple use cases from contactless ticketing in transportation to QSR Drive-Thru in hospitality to even retail lockers.

Compliant with multiple standards

The Open 1500/2500 is compliant with standards for use in fixed or mobile environments across multiple industries (transport, retail, etc.).

Easy mechanical integration in steel enclosures: Open/2500

Thanks to its flush design and large contactless landing zone, the Open/2500 fits perfectly in steel enclosures in a bus or subway turnstile or into a kiosk for retail lockers and QSR drive-thrus. The part visible to consumers includes an RGB backlit landing zone and 6 rows of 4 LEDs

Easy mechanical integration in embedded validators or other outdoor enclosures: Open/1500

Thanks to its sleek design, the Open/1500 fits perfectly in a plastic validator in a bus or a 

train or into a kiosk enclosure for retail lockers and QSR drive-thrus. The part visible to

consumers includes a backlit RGB and RGB LEDs.

Powerful processor with large memory 

Based on the most powerful processor of the Telium TETRA range with a large amount of memory, the Open/2500 has the flexibility to fit all open payment usage cases.

Highly ruggedized and durable 

Thanks to its robust design (IK10) and high protection against water (IP65) the Open/2500 stands up to the most demanding indoor and outdoor environments. Thanks to an additional removable battery, the auxiliary battery life extends the device’s overall life.

Money20/20 and a Brief Overview of Fintech

A place where financial technology professionals meet to discuss and form the financial landscape of the future, Money20/20 is the universal leader in premium content, sales and connections platform for the global money ecosystem. In the realm of events that cover payments and innovation for financial services, Money20/20 has no equal. It is seen as the industry’s largest multi-track conference and exhibition with more than 11,500 attendants from over 3,400 companies in 100 countries. More than 2,100 of these attendants are C-suite executives, all looking to discover new ideas and trends in the industry during this memorable 4-day experience. 

After over a year of online meetings and events, Money20/20 is ready to offer an opportunity to take part in something that pushes the boundaries of what some consider to be just a networking event. With an immersive and reimagined experience in mind, this year’s experience will bring together the fintech and financial services industries together in a way that will build promising programs in the future, provide tools for growth, and offer those who attend the opportunity to experience moments of connectivity available only at Money20/20. 

This year’s 4-day event will take place at The Venetian Resort in Las Vegas from October 24th to the 27th with a massive amount of the resort dedicated entirely for the show. Inside the largest hotel in Las Vegas is 2.25 million square feet of exhibits, meeting spaces, luxury suites and restaurants renowned worldwide.  

While the basics of financial technology and its industry are common knowledge to some, many individuals find it difficult to grasp the concept behind it and comprehend how it relates to their day-to-day interactions with payments, banking, and other related processes. By understanding the history of fintech and seeing its application in the world in the past centuries, it becomes easier to see the bigger picture and all of its relevancies in the modern-day

In plain text, fintech is simply technology that improves the attributes of financial services. While the concept has been used for more than a century, it hasn’t gained noticeable momentum until the 21st century. Thought of now as primarily related to cryptocurrency and banking, fintech can actually be linked all the way back to the 19th century when money was transferred through telegram and sometimes morse code. It may not sound very exciting, but it’s fascinating to see how the industry has been molded and changed over the course of history. 

Fintech is often looked at as having three and a half different eras, each with a change in the market that impacted how individuals connected with their money. The first took place from 1886-1967 and related to the creation of the foundation and structure that supports globalized financial services. The first-ever electronic transfer took place during this time using telegram and morse code, which was seen as a revolutionary advancement in the industry.

The second era took place from 1967-2008, highlighted by its switch from the analog to the digitalization of finances. The NASDAQ was created during this time as well as SWIFT, a communication system for financial institutions allowing a variety of cross-border payments. During this time, financial perception changed with the online craze taking over and bringing about the first steps towards digital banking in the 1990s. 

The third era of fintech, taking place from 2008-present day, marks the full transition of mobile devices as the primary way consumers interact with the web and financial services. Thought of as the era of the start-up, there is a previously unseen thirst for innovation between investors and consumers alike, bringing along with it a variety of vast new products and services. Pre-existing banks have even begun to re-establish themselves as start-ups in an effort to push forward from the banking system of the second fintech era. Digital banking creation has never been easier, and the ease of use that goes along with it is also unmatched for consumers. 

Fintech 3.5 doesn’t fall under a specific time span like the other three era’s, however it is crucial in the way that consumer behavior is accounted for and the way in which they interact with the internet in this third era. It also accounts for fintech usage between countries, with China and India currently using the most in the world. These two countries have yet to be faced with any sort of physical banking infrastructure, which allows them to create solutions to fintech issues quicker than any of their counterparts. 

The future of fintech is driven to offering the newest innovation to the world through technological means and through machine learning. The world is in the midst of recovering from a massive pandemic, but this type of innovation isn’t easily restricted when there is such a strong driving force behind it. There will continue to be a constant evolution in the way we interact with banks and other companies technologically, and the experience gained from these advancements will help customer relationships grow stronger throughout various companies attached to the fintech industry. Simply put, fintech is expected to revolutionize the way money is handled, managed and overseen within the realm of integrated payment providers. 

Expansion Update

We’re happy to announce that the building construction is well underway and the space looks even better than expected. On our previous visit, the space was just a grey shell with bare stud walls so it’s exciting to see all the progress being made. Windows have been installed, exterior walls have been painted and the ceiling has been placed. We can hardly wait to see the finished results and definitely can’t wait to move in when the time comes.

To answer some questions about the expansion:

We’re moving into a new space because of you, our partners and customers. Your enthusiasm and dedication to UCP has grown to the point where we need to expand our workspace in order to meet current and future customer needs and requirements. There is a variety of industries and applications that utilize our products and services and the demand has gotten to the point where we’ve outgrown our current space, which is definitely a good problem to have. Not to worry, we will continue to offer the level of service you’ve come to expect from our existing location and will maintain the same distinguishable quality as before.

We’ll continue to provide updates and progress pictures as construction advances in the coming months.

Everything You Need to Know About the Chip Shortage

 Computer chips are used as a power source for a vast majority of products across the world that incorporate any type of technology in their design. If it has the ability to connect, transport, or entertain us, then there is a strong chance it uses a chip to do so. These chips are often referred to as semiconductors or microchips and they act as the mind behind our cell phones, televisions, GPS devices, ATMs, check-in kiosks, and just about anything else you can think of. They are even used in products that were originally deemed tech-free, such as shoes, fishing equipment, and even gravestones. The market for this nano-sized chip is enormous and is continuing to grow at an alarming rate. Microchips account for around $300 billion a year in sales across the globe, and this number will continue to grow as more applications are realized for all types of products used in our everyday lives. 

While the application for these chips is quite possibly endless, the world has seen a massive shortage of semiconductors that will potentially last until midway through 2022. One could wager that the shortage is due to COVID and the long-lasting pandemic, which is a correct assumption, however it is important to understand how the virus itself played a role in the scarcity of this microscopic piece of technology. 

Something that could easily be referred to as the perfect storm, the chip shortage was due to bad timing, poor decision making, and an increasing demand for devices woven with technology. Semiconductor foundries in Taiwan (the world’s leading chip producer) and other plants across the world were forced to close due to the pandemic, which halted production and caused a noticeable lack of supply. During this time, consumers were forced to stay home for longer periods than usual resulting in increased demand and purchasing of personal electronics for entertainment, work from home purposes, and students attending classes remotely. To make matters worse, automakers canceled orders for parts containing computer chips, wrongly thinking car sales would decrease significantly during the pandemic. They did drop at first, though they increased considerably with a demand that was higher than the production methods and supply in place during that time. Additionally, Taiwan is experiencing its worst drought in 56 years. Microchip manufacturing requires massive amounts of pure water for sterilization and cleaning, so this combination delayed the process of chip output even further. On top of all this, existing supply was slowed down by new restrictions at ports and international borders, and by the 56 billion dollar six-day blockage of the Suez Canal.

What does this mean for consumers and businesses? Opinions on the estimated end of the shortage vary. Automakers believe that the shortage could easily linger into 2022, while the CEO of Intel believes it could drag on for two more years. Either way, expect to wait longer to purchase products that use a semiconductor, and expect to pay more for them when that time comes. Part of the problem with meeting the rising demand for these microchips is that you can’t simply make more of them than before. To do so, ten billion dollar foundries have to be built, and the process is painstakingly long and arduous. Unfortunately, the best course of action in this situation is to try and wait out the shortage. Supply will eventually increase to meet the demand and the imbalance will be corrected, resulting in a more normal price point for these technology-laden products. If you can afford to wait, you’ll be rewarded for your patience

Growth in The Self-Service Kiosk Market

Self-Service kiosks are continuing to grow in popularity as their application and convenient interface is further understood and recognized throughout a variety of industries. These self-service devices are placed in public settings to help customers and other individuals access digital content in a convenient and simplistic way. The market for self-service kiosks is expected to grow at a compound annual growth rate of 6.4% during 2021 to 2026 and it’s easy to see why. Besides being more efficient and profitable, they also shorten the queue length for customers and cut down on their time spent during each interaction. Not only do customers like to use self-service kiosks, 65% of them prefer using them over full-service options. A majority of businesses are now choosing to operate online, and users want to use an accessible and simplistic interface for transactions that take place in their day-to-day life. Growth in this market also benefits businesses by decreasing the need for a customer service team, allowing these companies to only keep employees on staff that are essential to the operation. In essence, self-service kiosks possess the ability to replace certain employees and lower the cost of running a business.

Growth in this market is largely attributed to North America’s adoption of these machines throughout the retail industry and government sectors, with the expectation that they will remain the driving force for growth to 2027. Europe has also seen an abundance of growth in this market, taking second in overall growth during the period. Much like North America, high levels of demand for kiosks in Europe has boosted the growth of touchscreen kiosk machines throughout the continent. This rise in demand is due to the various applications of these kiosks. In Europe, they are frequently used in places like airports, bus depots and various other transportation systems as well as grocery stores and even shopping arcades (shopping malls). Europe has also seen significant growth in interactive kiosk usage in relation to the banking sector and restaurant industry, both industries that were originally seen to have little potential in the adoption of the self-service kiosk market.

The introduction of COVID-19 had an unusual effect on the self-service industry, but it was one that may potentially prove to be a benefit in the long run. With the initial closing of airports, shopping malls and some restaurants there was a negative effect on the market, but this only occurred during the beginning stages of the lockdown. Once restrictions were lowered and various businesses reopened, the capabilities of these kiosks were looked upon in a newfound and more favorable light. With the introduction of mandatory social distancing regulations and other guidelines established to prevent the spread of COVID-19, self-service kiosks were looked at as the most promising way to reopen retail, transportation, and medical sectors among various others, all while adhering to the new norms set in place. In regard to the restaurant industry, mobile order and pay was originally thought to be of sole importance during the pandemic, but were unable to do everything. It is undoubtedly easy and safer for customers to place orders with their phones, but they are not able to offer any physical aspects of whatever goods or services they are purchasing. Kiosks, on the other hand, are able to print tags for order identification purposes and in some cases even allow you to pick up your order directly from the kiosk itself. Both phones and kiosks offer promising features but integrating the two into the same process so they work together would be an effective and promising solution to this specific problem.

Regardless of the initial stages of lockdown affecting the market, and the introduction of mobile order and pay on phones seeing growing success during the pandemic, the self-service kiosk market unquestionably has years of exceptional growth to look favorably towards. Not only are the uses for these kiosks endless, but the opportunities for them to be deployed are as well. 

The End of Signatures for Credit Transactions

If you live in the US and use a credit card for in store purchases you are probably used to signing your name or, if you are like me, scribbling on a receipt or electronic signature pad in order to complete the transaction. You have also probably thought to yourself, is this really necessary, is this adding any extra security against someone using my card without my consent? When you stop and think about it the answer is… no, it doesn’t.

While it would be a lot more secure to do what most other countries have done and assign PINs to credit cards just like our debit cards have, the US card issuers thought chip and signature would provide for a smoother migration to EMV. With the switch to EMV chip cards the card issuers have security measures in place that are exponentially better than that of the old magstipe cards. Due to this, all major card brands have announced that they are dropping the signature requirement for credit purchases in North America.

The four major card brands in the US, Visa, MasterCard, American Express, and Discover are changing the requirements for credit card signatures effective April 2018. Each card issuer is adding new rules or amending the old ones regarding signatures. Being asked to sign for your credit card purchase won’t stop across the board but starting April 2018 you can expect it to occur a lot less frequently. Card fraud at merchant locations using EMV card terminals has fallen by two-thirds according to Visa so I think it’s safe to say that over the past 2 plus years the chips are doing their job.

All this said, there are still a ton of merchants out there who have not yet made the EMV migration and for them the signatures remain. The most common reason that these merchants have not made the switch is cost. While the EMV capable terminals can be costly, they are a worthwhile investment. Not only will a merchant be able to stop hassling their customers with using a pen that never seems to write on the receipt or trying to sign their name using an electronic signature pad they are protecting themselves against being liable for fraudulent card present transactions. That’s right merchants who are still using magstripe, think of the cost associated in making the EMV migration as insurance because you would never start a business without being insured right?