Dual Pricing Program

In addition to being more accessible, the program is also easier to explain to customers. Some merchants isolate and then pay for the card processing by assessing surcharges on the products customers buy with credit or debit cards. That comes with numerous challenges.

For example, adding card-processing surcharges is illegal in many states. Implementing dual pricing, however, is legal in all states. Explaining that every item in the store is priced with built-in service fees is usually easy. The merchants can also deduct the fee easily if someone prefers cash payment.

Even though most individuals prefer to utilize card payments, dual pricing incentivizes them to use cash instead of debit or credit cards for all their purchases. In other words, the time between the sale and the access to funds is minimal. Such transactions do not involve wait time or processing time for the money to get on the merchant’s hand. Moreover, this helps merchants eliminate fraud exposure.

The dual pricing might be a useful marketing tool for your business that will eventually attract more customers. Getting more people inside your store should be your primary goal throughout the year. Ideally, people will get in for a single item and go out with more. Even though a 4% discount will help you cover the cost of processing your dual pricing service, it will be a useful sales or marketing tool if implemented in the right way.