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Simply put, dual pricing is an initiative that provides discounts to customers that opt to pay with cash. This program is widely viewed as a true win-win for both the merchant and the customer, as it gives customers the ability to save money while also helping to reduce credit card transaction fees for merchants
From interchange fees by the issuing banks, to card brand fees, to fees added by the processors, there are several factors that determine the cost businesses incur when accepting credit cards.
However the main culprit for the high cost of acceptance are the rewards programs offered by the issuing banks, in the form of points, miles, cash-back and the like.
Dual pricing is a great solution that enables business owners to combat these ever increasing costs, while also providing consumers with the option to pay with cash or check for goods and services and save money.
The primary benefit of a dual pricing program for businesses is the ability to offset the rising costs of accepting credit card payments without having to raise prices.
With businesses being able to lower their cost, customers can continue to receive great pricing and avoid an increase across the board, impacting even cash and check customer.
Fairly empowering consumers to support their favorite local businesses.
