The Future of Electronic Payments in AUSTRALIAAnd What Every Business Owner Needs to Know

Wendy Newbold

“We help businesses to Save Money by Reducing their Merchant Services

Fees, in most cases down to Zero”

CASH IS ABOUT TO DISSAPEAR

THEWAYYOURCUSTOMERSPAYYOUIS

CHANGINGFOREVER

AND THE

SCARY THING

is…

that it’s

creeping up

rapidly

And most of us are blissfully unaware

~9000 BC

~600 BC

~1730

1930

nations abandoned the gold standard

1981

late 2000s

miniHISTORY

ofCURENCY

THE FUTUREElectronic Payments Near Frequency Communication Digital Wallet

Cash is on the Decline

73%Cash

2005 2013 2018

59%Cash

43%Cash

2021

??%Cash

THE GOOD NEWS

THE BAD NEWS

and the

THE GOOD NEWS and the

THE GOOD NEWS

THE BAD NEWS

Text here

THE BAD NEWS

Text here

THE BAD NEWS

Text here

THE BAD NEWS

Retailer(Merchant)

Merchant’s Bank

(Acquiring Bank)

Customer’s Bank

(Issuing Bank)

Merchant Service ChargeOr Credit Card Fee

• Guaranteed payment• Card reader technology• Customer Service• Rate negotiated between

merchant and their bank

Interchange Fee

• Shares out the costs• Invest in new technologies• Protect the system• Covers points systems• 220 categories of

interchange fees

Understand The Process & Fees

THE GOOD NEWS

THE GOOD NEWS

But…Merchant’s are not allowed to profit from Surcharge

CAUTION

Merchant’s do not have the tools to correctly charge surcharge….but we do

CAUTION

CREDIT CARD INTERCHANGE CATEGORY UNIT RATE BANK FEE

TOTAL COMBINED RATE

VISA DOM ELECTRIC CONSUMER 0.09% 0.80% 0.89%VISA DOM DR STANDARD 0.29% 0.80% 1.09%VISA DOM CR ELECTRONIC 0.33% 0.80% 1.13%VISA DOM CR STANDARD 0.33% 0.80% 1.13%MC DOM CR ELECTRONIC 0.33% 0.80% 1.13%MC CR STANDARD 0.33% 0.80% 1.13%VISA DOM DR BUSINESS 0.94% 0.80% 1.74%MC DOM COMMERICAL 1.00% 0.80% 1.80%MC DOM DR PREMIUM 1.00% 0.80% 1.80%VISA DOM STANDARD PLATINUM 1.02% 0.80% 1.82%MC CR PREMIUM 1.04% 0.80% 1.84%VISA DOM CR BUSINESS 1.07% 0.80% 1.87%VISA DOM CR BUSINESS 1.07% 0.80% 1.87%MC DOM CR COMMERICAL 1.10% 0.80% 1.90%VISA DOM CR CORPORATE 1.32% 0.80% 2.12%VISA DOM CR CORPORATE 1.32% 0.80% 2.12%VISA DOM CR PURCHASE STANDARD 1.32% 0.80% 2.12%MC DOM SUPER PREMIUM 1.75% 0.80% 2.55%VISA INTERNATIONAL 1.88% 0.80% 2.68%MC INTERNATIONAL 2.15% 0.80% 2.95%

THE GOOD NEWS

and the

YOU CAN NOW CORRECTLY APPLYCustomer Surcharge

1. The ProductCustomer Surcharge

SIMPLE & FASTStep 1: Press Start button & select the customer’s preferred option of Eftpos or Credit

Example 1.98%

1. EFTPOS 50c2. CREDIT 1.98%3. DINERS/AMEX 2.99%

1. The Product

SIMPLE & FASTStep 2: Select the customer’s preferred option of Eftpos or Credit

Example 1.98%

1. EFTPOS 50c2. CREDIT 1.98%3. DINERS/AMEX 2.99%

Customer Surcharge

1. The Product

SIMPLE & FASTStep 2: Select the customer’s preferred option of Eftpos or Credit

Example 1.98%

2.CREDIT 1.98%

Customer Surcharge

SIMPLE & FAST

Purchase $100.00Surcharge $ 1.98Total $101.98

Example 1.98%1. The Product

Step 3: Key in the amount of the sale, press enter

The terminal automatically calculates the surcharge.

Now, simply collect payment as normal

Customer Surcharge

Purchase $100.00Surcharge $ 1.98Total $101.98

Full Amount goes into the Merchant’s

account

Covers all fees

1. The ProductCustomer Surcharge

1. The Product

Type Default Rate

Final Rate

MasterCard & Visa Credit

1.98% Set by Eftpos HQ after Merchant Statement Review

MasterCard & Visa Debit

1.98% Set by Eftpos HQ after Merchant Statement Review

Debit Eftpos / Savings / Cheque

50c or 1.98%

Set by Eftpos HQ after Merchant Statement Review

Amex / Diners / China Union Pay

2.99% Final Rate

Please note: Photograph of most recent Merchant Statement must be submitted for review to consider any rates other than the default rate.For new account with no trading history, rate reviews after 6 months may be required.

Customer Surcharge

Customer Surcharge Fair and appropriate approach

Without Surcharge,all prices need to rise Greater than the cost of Bank Fees to maintain target Net Profit %

With Surcharge, the cost to the customer only needs to increase by the bank fee/surcharge rate

2. THE SOLUTION & PRODUCT

Merchant’s do not have the tools to correctly charge surcharge….but we do

Want to See How Much You Can Save?

MERCHANT SUMMARY

Wendy

Contact Me for a Free Eftpos Health Check

wendy.newbold@zbfe.com.au0411 648 769www.zerobankfeeseftposaus.com.au

2. THE SOLUTION & PRODUCT

Merchant’s do not have the tools to correctly charge surcharge….but we do

2. THE SOLUTION & PRODUCT

1. The Problem

Uhmmm…

This adds up to a big problem over 12 months

1. The Problem

Uhmmm…

This adds up to a big problem over 12 monthsApproximately what Net Profit %

would businesses of this size in your industry be looking to make?

Approximately how much you will save, per year, now that you have begun using surcharge.

If you didn’t apply surcharge, how much additional revenue would you need to make to earn that amount of Net Profit?

10%

$10,000

$100,000Does that sound about right?How do you feel about that?

1. The Problem

Uhmmm…

This adds up to a big problem over 12 monthsApprox. Industry Net Profit %

Your approx. saving per year with surcharge

Additional Revenue required without Surcharge

8%

$10,000

$125,000

(1/NP%)*Surcharge Saving = Revenue Required

IMPACT CALCULATOR