Card payment on vending machines: systems, costs and retrofitting

Fewer and fewer customers carry small change. A vending machine that only accepts coins therefore loses sales, especially with younger target groups and in companies. This overview shows which payment methods a Vending machine needs today, how card terminals work, what costs arise and what to look out for when retrofitting.

Which payment methods a vending machine needs today

• Cash: Coins and notes remain important, for example at schools, in clubs or with older target groups.
• Contactless card: Girocard, credit and debit cards are expected at most locations.
• Smartphone and smartwatch: Apple Pay and Google Pay run via the same card terminal.
• Employee and student ID cards: In canteens and at universities, payment is often made with RFID cards or credit.

Which mix makes sense depends on the location. In offices and production companies, card-only payment is often sufficient; at public locations, a combination of cash and card is usually the safest choice.

How it works: Card terminal on the vending machine

Card terminals are usually connected to the vending machine via the MDB interface (multi-drop bus). MDB is the standard in the vending industry, which is also used to connect the coin changer and Banknote reader . The customer selects a product and holds a card or smartphone to the terminal, and only after successful payment does the vending machine dispense the goods. Many systems first only reserve the amount and debit it after dispensing. If dispensing fails, the amount is not charged.

To process payments, the terminal needs a data connection, usually via mobile network using a SIM card, alternatively via Wi-Fi. Many terminals also supply sales data: you can see online what was sold when and plan restocking better.

What costs arise

• Acquisition: A card terminal such as the Nayax Onyx costs €440 net at VendSpot.
• Monthly basic fee: Payment service providers usually charge a fixed fee for the platform and data connection.
• Fee per payment: In addition, there is usually a percentage of revenue, depending on the provider and card type.

Compare the total costs with the additional revenue. If customers without cash would otherwise walk on without buying, a terminal quickly pays for itself at busy locations. You will find an overview of all running costs of a vending machine in the guide How much does a vending machine cost?

Retrofit or buy with card payment from the start?

Most modern vending machines have an MDB interface and can be retrofitted. Check these points beforehand:

• Is an MDB interface available and free?
• Is there space on the front for the terminal, or is a suitable bezel needed?
• Is mobile reception at the location sufficient, especially in basements and halls?
• Does the payment service provider’s fee model suit your expected revenue?

For a new vending machine, it is best to decide on the payment system straight away. At VendSpot, you choose it in the configurator on the respective product page, for example for our Snack Vending Machines. For existing units, you will find terminals, coin changer and Banknote reader in our accessories.

Age verification for tobacco, e-cigarettes and alcohol

Anyone selling age-restricted products must ensure that children and young people cannot take them. An ID reader on the vending machine is common, for example the ICT DCM5 Age Verifier. We explain the specific rules in the guide Setting up a vending machine.

Checklist

• Define the target group and payment mix at the location
• Check the MDB interface and installation space
• Test mobile reception on site
• Compare the basic fee and fee per payment
• Use sales data for restocking and accounting

Would you like to equip or retrofit a vending machine with card payment? We advise you Monday to Friday from 10 am to 6 pm on +49 176 63463646 or via our contact form.