Cash is here to stay, with nearly 6-in-10 businesses (57 per cent) expecting to never be entirely cashless despite the widespread adoption of electronic, card and mobile payments. This is according to The Cash Chasm, a new research report from global cash management solutions provider PayComplete which surveyed cash processing and management decision-makers within the retail, hospitality, and leisure sectors from across the world, to assess the status of cash management.
However, regardless of cash’s staying power and continuing popularity with consumers, many businesses are still stuck with out-of-date manual processes for handling, storage, counting and reporting cash that create huge inefficiencies that literally leaves "money on the table". In a surprising revelation, it has been found that 41% of companies still use manual cash-handling processes, leading to many businesses spending over £400,000 a year on excessive security costs which could be slashed with the introduction of new CashTech solutions.
Cash Crashes the Payments Party
Globally, cash usage remains resilient, with estimates of $40 trillion of physical cash in circulation. Despite many expecting cash use to disappear following the COVID-19 pandemic, quite the reverse has happened. For example, the amount of US dollars in circulation as cash has increased, while in Germany it remains a strong cultural preference. Even in the UK, a region at the forefront of payment innovation, has seen the Financial Conduct Authority (FCA) announce the need for new legislation to enshrine access to cash in law.
"Cash is alive and kicking in the 21st century," says Simon James, PayComplete CEO. "However, organizations aren’t giving it the attention it deserves. Just as card payments evolved from low-tech systems like pen-on-paper slips to magnetic stripes and now fully interconnected electronic systems, cash is having its own digital revolution.
“Previously cash management advancements relied on new hardware being deployed, but this piecemeal approach has created fragmented, Frankenstein cash estates that are inefficient and reliant on manual processes. It’s time for a new digital attitude to physical cash.”
Highlights from The Cash Chasm Report include:
• Over-reliance on manual processes – 41 per cent of organizations admit to having an entirely manual cash handling process. This figure jumps to nearly two-thirds (62 per cent) in France, which lags behind the global average.
• Irritating Inconsistencies – Over a third (34 per cent) of organizations say their biggest challenge is discrepancies when handling and processing cash due to low levels of automation. France (54 per cent) and Spain (43 per cent) are the regions with the biggest discrepancy issues.
• Vanishing Value – A shocking 20 per cent of the value of cash is lost for organizations with 3-5 people handling cash.
• Going Against the Grain – More than one in three (35 per cent) organizations encourage buyers to use electronic payment methods to increase overall efficiencies, despite cash remaining a strong customer preference for payment.
• A Band-Aid on a Broken Leg – 31 per cent of organizations are tightening processes and increasing staff training to offset their lack of automation, further increasing unnecessary operational expenditures.
This lack of automation is having a major impact on business operations leading to issues including cash discrepancies, security worries, and high cash management costs, which were ranked as the top three cash handling and processing challenges.
High costs due to inefficient processes are a massive concern for businesses. Research reveals that when over six people are involved in cash handling, the cost of security measures increases by over 380%, to an average annual cost of over £409,000. By reducing the number of people involved in cash handling, businesses can slash their operating costs while simultaneously reducing losses from risk, fraud, and theft by an astounding 280%!
Closing the Chasm with CashTech
“Only a few (27 per cent) forward-thinking businesses have fully automated their cash reporting with CashTech systems," James continued. "This lack of automation when it comes to cash holds organizations back from reaching their full potential. Cash management has left the Stone Age and entered the Digital Age. While some organizations are looking to steer customers down the route of cash payments due to their efficiency, the report reveals how others are looking to develop a dual strategy where the cash management processes are reviewed holistically and optimized with new technology to achieve levels of efficiency that have previously only been associated with card payments.”
PayComplete is at the forefront of modernizing cash management for the 21st century. With its cutting-edge systems and proprietary hardware, coupled with a manufacturer-agnostic cloud-based platform, PayComplete is trusted by major businesses across the globe including retailers, merchants, banks, cash-in-transit (CIT) firms, and international mints to automate and provide real-time visibility into the movement of physical cash across their organizations, ensuring more efficient and secure operations.
He concluded: “Anyone who thinks cash is a relic of the past is in for a big surprise! But this doesn’t have to be a problem or challenge to overcome. Adopting the latest CashTech solutions to automate and fully connect their cash estates, allows businesses to finally have a complete view of their payment ecosystem that combines electronic and cash payments together.”
North East Lincolnshire Council Trading Standards team have seized over £100,000 of illicit tobacco products during operations throughout Stoptober, the council stated on Wednesday (13).
The team and partner organisations such as Humberside Police uncovered 28,120 cigarettes, 12.45 kilos of tobacco and 3133 illegal disposable vapes in a number of shops during the four week operation. The products have an estimated value of over £100,000.
Shops and businesses on Freeman Street, Cromwell Road, Yarborough Road, and Second Avenue on the Nunsthorpe estate were all visited. The raids were part of Operation CeCe, an ongoing intelligence-led operation, targeting counterfeit and illicit cigarettes, tobacco and illegal disposable vape dealers.
Since January 2021, North East Lincolnshire Council Trading Standards team have seized 84,957 packs of cigarettes, 10,750 pouches of tobacco and over 17,000 illegal vapes, with a combined value of almost £1.8 million, all money which would have gone out of the local economy and into the hands of organised crime gangs.
Humberside Police’s Neighbourhood Policing Inspector for Grimsby West Claire Jacobs said: “We deployed our teams in support of North East Lincolnshire Council during this important operation to combat illicit cigarettes and tobacco within North East Lincolnshire.
“We continue our commitment through the Clear Hold Build initiative to ensuring that Grimsby remains a fantastic place, and working closely with partners on operations such as this one helps us to do exactly that.”
By law, Vapes should have an internal tank capacity of no more than 2ml, and the level of nicotine contained in the vaping fluid should not exceed 20mg/ml (or 2 per cent). As with tobacco products, these items are required to display certain health warnings and every such device, and the liquid it contains, should be registered with the MHRA (Medicines and Health care products Regulatory Agency) prior to being released onto the market.
Councillor Ron Shepherd, portfolio holder for safer and stronger communities, said: “This joint operation shows just how important it is to work together. Multi-agency operations such as these are keeping these products, that do not meet safety standards and are putting lives at risk, off the streets. We know illicit and fake cigarettes do not comply with the Reduced Ignition Propensity requirements and won’t self-extinguish, so are likely to start a fire.
“When you buy these products, you could be putting your own health at risk. Not only has no duty been paid on them but they’ve not been tested to ensure they’re safe. It is important to remember that whilst legitimate disposable vaping bars can be a very useful aid to smokers who are wanting to quit, they still have potential health issues as a result of use, and should never be purchased and used by non-smokers”.
Speaking about quitting smoking, Cllr Stan Shreeve, NELC Portfolio holder for Heath, Wellbeing and Adult Social Care, said: “I urge smokers in our region to use the support services on offer to help them to quit smoking.
“We have so many examples of people turning their lives around completely after quitting smoking with support from the Wellbeing Team, and you only have to look at the figures released today to see what a positive impact that could have for everyone.”
Britain's Premier Foods reported a 4.6 per cent rise in half-year revenue, driven by continued growth in its grocery business and brands such as Mr Kipling, Nissin and The Spice Tailor, shows the results reported today (14).
As UK inflation eased during the first half of the year, consumers who had been cautious about non-essential spending began to loosen their purse strings. That bodes well for food manufacturers who aggressively hiked prices at the peak of a cost of living crisis over the past few years.
Pricing on average is lower than last year, CEO Alex Whitehouse said in a media call, adding that the lower pricing has led to strong volume growth for the group's grocery and sweet treats businesses.As spending trends change and in the lead up to the key Christmas season, some food manufacturers are offering temporary discounts to attract more customers.
Premier Foods said it was on track to meet full year expectations but does not give actual figures. Analysts expect revenue of 1.15 billion pounds and adjusted pre-tax profit of 161.9 million pounds for the year ending March 30, according to a company-compiled consensus.
However, volume trends are expected to normalise and per unit prices are expected to be flat compared to a year ago, rather than lower, Whitehouse said.
Premier, which makes products ranging from plain flour to cooking sauces and quick meals, reported headline revenue of 498.7 million pounds for the 26 weeks ended Sept. 30, up from 476.7 million pounds a year earlier.
Whitehouse said, “We’ve delivered another really strong branded performance in the first half, underpinned by double-digit volume growth.
"This demonstrates the success of our proven branded growth model which was also supported by sharper promotional pricing. We gained both volume and value market share, outperforming the market as many consumers switched into our leading brands from own label. Our innovation programme continues apace as we brought many new products to market in the period, including Sharwood’s curry kits, Mr Kipling Loaf cakes and Loyd Grossman Pesto.”
“As inflation has begun to ease and shoppers are starting to feel more confident, we’ve seen consumers treat themselves more, helping sales of both Mr Kipling Signature Bites and Ambrosia Deluxe more than double in the first half of the year. We’ve continued to make very good progress against all the pillars of our growth strategy.
"We accelerated capital investment in our supply chain, continuing to invest in projects to improve automation and increase efficiency, in addition to enabling growth through new product development. Angel Delight ice cream and Ambrosia porridge pots contributed to strong progress in our new categories, which grew 67 per cent, while the international business performed very well, with revenue up 31 per cent.
"We continue to be very pleased by the progress of our acquired brands, The Spice Tailor and FUEL10K and we now have the biggest selling granola product on the market.
“As we look to the second half, we have exciting plans in place across all our brands, with our best ever Mr Kipling Signature mince pies benefitting from expanded distribution. With this, and our continued branded momentum, we are on track to deliver on expectations for the full year. As we look further ahead, we expect revenue growth to continue to be generated from our strategic priorities of growing our UK branded core, extending into new categories, overseas expansion and M&A activity.”
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Eco Vape partners Aspire to launch new hybrid vape product with 3500 puffs
Eco Vape partners Aspire to launch new hybrid vape product with 3500 puffs
Over a third of UK of vapers will defy any new flavour restrictions brought in under the Tobacco and Vapes Bill, a poll by campaign group We Vape has found.
Commissioned after the bill's first reading in parliament, the poll showed 35 per cent of a 601-strong sample group of vapers across the UK would continue to buy flavoured vapes online, abroad or elsewhere if flavours were limited to only "tobacco", "menthol", and "fruit'.
With 5.6million vapers in the UK, that equates to nearly two million of them (1.96million) buying unregulated products if flavours are restricted.
Research has shown flavours are a significant draw for smokers looking to switch to vaping, an accepted safer way to use nicotine.
And while moves to ban flavour names specifically aimed at children – like candy floss and bubble gum – are widely welcomed, campaigners warned excessive restrictions would drive people back to cigarettes.
"Our polling shows millions of vapers are just going to ignore any measures that prevent them from accessing the flavours that help them quit smoking," said We Vape founder Mark Oates.
"If a certain vape flavour stops a person lighting up, it should be protected. Naming products in a way that clearly appeals to children, like bubblegum, must of course be banned, but there are many flavours that attract smokers looking to make the switch away from the tastes and smells associated with smoking.
"Appealing flavours must be protected to ensure we don't see a mass migration from vaping back to combustible tobacco, which is a death sentence for most users."
The poll, carried out by researchers from Britain in Focus, also showed a quarter of UK vapers would be much less likely to vote Labour if the Government restricts vape flavours.
It means 1.4million of the 5.6million vapers in the country will be lost potential voters for the party, already embattled over a tax-ramping budget and declining voter support.
Results showed that 23.3 per cent would be "much less likely" to vote Labour, while 4.5 per cent said they would be "somewhat less likely" if done as part of the new Tobacco and Vapes Bill.
Mr Oates said: "The vape vote is becoming increasingly important due to the sheer numbers of smokers who have switched to this effective harm reduction tool.
"Keir Starmer is garnering a reputation for not listening to the public. If this continues with vaping the stats are clear – it will cost him at the polls."
Worryingly, poll results also showed one fifth (20 per cent) of vapers will likely go back to smoking after any flavours ban – slightly lower than the government's own impact report.
Asked how likely they would be to return to cigarettes in the next 12 months if the Government were to restrict vape flavours, 11.5 per cent said they would be “highly likely” to go back to smoking while a further 10 per cent said they would be “quite likely”.
This could mean around 1.1 million vapers returning to cigarettes.
Of further concern, 4.8 per cent of vapers – which would equate to around 270,000 people – even stated they would make their own to circumvent any restrictions and save money after the e-liquid tax hike of £2.20 per 10ml of e-liquid.
Mr Oates said: "This government must understand smoking is most prevalent in low income households and communities.
"Keir Starmer has already announced the vape liquid tax will be increased, almost quadrupling its price, which lessens the appeal of making the switch from smoking.
"Our research now shows some people feel so strongly about further restrictions they would consider making their own vapes.
“Removing a product does not remove its demand and with so many people prepared to use illicit products, the government must protect crucial flavours or face the uphill struggle of trying to uphold laws that are impossible to enforce.”
The We Vape poll results should also worry Trading Standards, who will be tasked with enforcing the disposable vapes ban from June next year and tackling a street black market predicted to skyrocket when the new laws are introduced.
The government's disposables ban has been at the centre of some controversy, with its own impact assessment concluding it would likely lead to “health disbenefits.” It stated “29 per cent of current [vapers] will either revert/re-lapse to smoking tobacco” leading to a rise in “the sale of tobacco goods”.
In some good news for the Government however, the We Vape poll showed an overwhelming majority of the country backed a retail vaping licence – with 80 per cent supporting the move that is intended to help crack down on vapes being sold to children.
In a sample of 2400 people across the UK, 85 per cent also supported the introduction of premarket testing, to help keep illicit products off the shelves.
Shoppers are saving on grocery essentials to be able to afford treats and indulgences during Christmas while the festive time is expected to see a boost in sales of premium private label food and drink as more people "dine at home" , shows recent industry data.
According to total till data from NIQ, sales growth in UK stores stores slowed to 4.0 per cent in the four weeks ending 2nd November, down from a 4.7 per cent rise in the previous month. The research firm suggested that this is likely due to shoppers holding back their spending in anticipation of Black Friday at the end of the month and the upcoming Christmas festivities.
Despite easing inflation, shoppers were still cautious with their grocery shop, with spend per visit down 6 per cent on last year at £18.67. They also remained savvy with how they spend, with sales of items on promotion increasing from 24 per cent to 25 per cent. NIQ noted that 36 per cent of branded sales came from promotions – up from 35 per cent a year ago – with brands heavily reliant on deals to deliver volume growth.
Meanwhile, confectionery (+10.5 per cent) was the fastest-growing category last month as shoppers stocked up on sweets for Halloween and Christmas. However, shoppers reigned in on essentials with subdued value growth in the packaged grocery category (+1.7 per cent) and a decline in unit growth (-0.8 per cent).
Moreover, despite an increased level of promotions, shoppers cut back on purchasing beer, wine and spirits with a unit sales decline of 0.4 per cent – a sign that shoppers are holding back until nearer the festivities. NIQ pointed to a recent Homescan survey showing that price reductions and promotions are almost expected by consumers ahead of Christmas. The most popular are retailer vouchers with money off (24 per cent, up from 17 per cent last year) and product promotions (35 per cent, up from 29 per cent last year), which are the key factors considered by shoppers when choosing their Christmas store.
The data also shows that the cautious consumer sentiment has put pressure on general merchandise sales in supermarkets, with value down 1.4 per cent and volumes falling 5.5 per cent.
Mike Watkins, NIQ’s UK Head of Retailer and Business Insight, said, “Total Till sales over the last four weeks have slowed, with shoppers pulling back their spend. Shoppers so far have been cautious, and it’s evident that they are saving on grocery essentials to be able to afford treats and indulgences.
“However, the start of the Christmas advertising campaigns is an opportunity for brands and retailers to entice consumers and showcase what’s new and what’s different. And given that it’s possible that many shoppers will ‘dine at home’ more in the next few weeks, we expect this to boost sales in premium private label food and drink, which NIQ expects to do very well this Christmas.”
Walkers Chocolates said it is switching its popular own brand Turkish Delight and Mint Cream chocolate bars into EvoPak RCM, a 100% recyclable paper wrapper.
The bars will begin rolling out to selected Premier and Asda stores this month.
Unlike conventional paper packaging which often contains polyethylene, consumers can dispose of the new Walkers’ wrapper in their normal kerbside recycling collection along with their other paper recyclable items. Currently, it is only possible to recycle similar wrappers by returning them to store, which isn’t convenient for consumers and in many cases, where recycling processes aren’t carefully controlled, the wrapper still ends up in landfill or incinerated.
Significantly, if littered, the new wrapper does not produce harmful microplastics when it breaks down which cause serious damage to the environment and animal health.
Walkers Chocolates said the new paper wrapper provides a functional and environmentally friendly alternative to current snack and confectionary packaging which, over the past 30 years, has become complex with the development of light weight multi-layer structures.
This has driven efficiency and shelf life, but the complexity makes them impossible to deal with at end of life. This is compounded by consumer consumption, which is often on the move, making littering a bigger problem than other formats. The other factor is that small units using a complex combination of materials makes recycling and recovery options currently limited, resulting in landfill with no circularity option.
“At Walkers Chocolates, we have a strong focus on sustainability and are committed to reducing our impact on the environment. As part this, we will move away from plastic to paper-based materials completely over the next three to five years where possible,” Tom Murtagh, commercial director, Walkers Chocolates, said.
“Today’s announcement is an exciting step for the Walkers team with two our key customers and I hope is the start of a much bigger revolution in the chocolate category, and one which will be welcomed by consumers who can recycle the wrappers and know that no harmful microplastics are being produced at end of life.”
Developed by EvoPak, a manufacturer of sustainable paper based flexible packaging, the new paper wrapper (known as RCM) uses the same environmentally friendly technology as the world’s first fully recyclable crisp packet – the innovative polymer, Hydropol, developed by Aquapak, which is used in place of conventional plastic.
To keep the chocolate fresh and in good condition in transit and on the shelf, the packaging needs to provide protection from oxygen, seal well on standard packaging equipment and must be easy to print on. Hydropol provides all this functionality as well as offering multiple safe end-of-life disposal options for consumers and brands who want to help eliminate harmful plastic pollution.
Hydropol allows paper to remain fully recyclable and compostable and is even compatible with anaerobic digestion. Thanks to its solubility it doesn’t interfere with the recycling process and can allow up to 100% paper fibre recovery in standard mills.
Furthermore, if unintentionally released into the natural environment, Hydropol – which is proven to be both non-toxic and marine safe – still has a safe end-of life and will dissolve and subsequently biodegrade. It does not break down into harmful microplastics either in the paper mill or if packaging it is not disposed of as intended. It is already being used in products such as crisp packets, chocolate and garment bags.
The wrappers have been certified as recyclable in standard paper recycling mills by OPRL, the only evidence-based on pack recycling labelling scheme. This means they feature the green recycle logo and can be disposed of in consumer kerbside collections along with other paper material, unlike other wrappers.