Payments. Ecommerce. Profits.

Guide to the Cash Discount Program for Antique Shops

Guide to the Cash Discount Program for Antique Shops

Looking for a way to encourage customers to pay for your antique goods in cash? Start a cash discount program now!

As the world becomes increasingly technologically advanced, more convenient modes of payment are gaining popularity. This includes check, mobile, and debit or credit card payments.

However, this is becoming an issue for merchants recently because of the rapid surge in payment processing costs. Businesses lose 2-4% of their profit per transaction due to high processing fees. Additionally, they’d have to pay extra for merchant account charges.

Antique shops are one of the small businesses dearly affected by this. Most especially since their products are relatively cheap and customers bargain a lot more than they would at a department store.

But don’t worry, we have the perfect solution – a cash discount program!

What Are Cash Discount Programs?

In a cash discount program, your products cost less when paid in cash than debit or credit. In other words, when a customer pays in cash, then they can get a discount from the original price. This way, customers are encouraged to pay in cash, and you will enjoy zero processing fees for that transaction. A win-win!

This also means you’ll need the service fee included in your posted price. This gives you enough of a stretch in case some customers prefer paying through credit. So your business won’t end up with too much loss.

Why Antique Shops Should Have Cash Discounts

Guide to the Cash Discount Program for Antique Shops

Businesses of all types are riding the cash discount program wave by storm, and the biggest contributors to that are its benefits. With a cash discount signage alone, expect a wave of customers willing to pay via cash for your goods!

Need more convincing? Here are three reasons why you should implement a cash discount program for your antique shop:

Zero Credit Card Processing Fees

The top reason is to break free from expensive credit card processing fees. Although you may not entirely escape from it, a cash discount program will drive in more cash payments than ever.

Dealing with fewer fees benefits your business greatly in the long run. Cash discount programs give you more room to save money so that you can focus your funds on upgrades, maintenance, and other goals.

Options, Options, Options!

A cash discount program doesn’t just benefit the business but the customers as well, such as giving the customer more options. One, they can pay in credit or debit card and pay the posted price, or two, they can pay in cash and get a discount on their transaction.

Not to mention, most, if not all, antique shop customers love a good bargain. And what’s a better deal than getting a discount when you pay in cash? It’s a steal!

Simpler Payment Method

Last but not least, it makes payment simpler and more straightforward than ever. The customer pays in cash, you receive it and give change, if any, and done. No more risks of fraud, chargebacks, pricing issues, or any technical issues!

More Shop Visits

More customers will also be enticed to visit your shop even with a small discount. The best part is that customer visits will most likely lead to more purchases as they roam around and find more goods they like.

Challenges Faced by Antique Shops

As wholesome and rewarding as it is to open up a shop that brings back memories, setting up your own antique shop can be a challenge. Especially with the new shops popping up both physically and online every second.

Regardless, antique shops have their own charms that set them apart from others. Hence why you’ll always find one sitting in a certain corner of your neighborhood. When setting up an antique business, the most common challenges you’ll encounter are tied to value and competition.

Here are some of the biggest challenges of establishing your own antique shop:

High Competition

Apart from other antique shops, your antique shop will also compete with other local businesses. It’s even more difficult to gain the upper hand if you’re going for general merchandise, with most products easily found in flea markets.

Additionally, you’ll also have to compete with online shops. A lot of people prefer the convenience of online shopping, so you’d need to either hop onto the platform or create a solid marketing plan that will encourage locals to visit.

Finding a Niche

Having a niche can work wonders for your business, but finding one is a lot more challenging than you think. You can’t just brainstorm a good niche; you have to do thorough research on your shop’s location, target market, and your resources.

For instance, if you’re set to launch on the street with lots of furniture stores, you’ll want to avoid selling furniture. Similarly, if you’re in a residential street with a lot of families, then a children’s toys niche product would work nicely.

You’ll also want to consider the supplier you’re buying from. Are your niche products available? Do they offer a good deal that gives you plenty of room to profit? If not, then you’ll either need to pick a different niche or supplier altogether.

Pricing Antiques

Guide to the Cash Discount Program for Antique Shops

Antique shops also have high overhead expenses. These are static costs that will keep on charging your business even without profit. This includes marketing costs, lease, and so on. The credit card processing fees also fall into this category.

Because of these costs, pricing antiques can be more tedious than you think. Otherwise, pricing low will put your business at risk and pricing too high will drive away customers.

Customer Service

You’ll also encounter a lot of hagglers in an antique shop. Now, this isn’t a bad thing since people always love cheap goods. However, you’ll need to have a lot of patience and know your limits, especially if you already have a cash discount program in place!

Do You Need a Cash Discount Program?

How do you know that you need a cash discount program? Well, here are three factors that you should think about.

Can You Manage More Cash Payments?

Cash discount programs will spike up your cash payments significantly. Hence, your business will need to be able to manage physical money well.

For antique businesses, this won’t be that much of a problem. Not just because items are relatively cheap, but because antique shops usually aren’t as crowded as restaurants or bars. Unless it’s gift-giving season!

Are Credit Card Processing Fees ф Big Issue for You?

If you already have incurred losses because of these stubborn credit card processing fees, then a cash discounting program will save the day. This program will help lessen expenses, save money, and keep your profit steady.

How to Set up Cash Discount Programs

At this point, let’s talk about how you can effectively implement cash discounting programs in antique shops. In just five steps, you can make the most of the program as a small business.

  1. Determine your credit card processing costs. This usually ranges from 2-4% for every transaction.
  2. Connect with a reliable merchant service provider that can help you establish your cash discounting program. They will walk you over everything you need to know about the program and show you what steps you need to take.
  3. Pick out the necessary POS systems and equipment you need for your antique shop.
  4. Get it installed and tested by an expert.
  5. Welcome more pay-in-cash customers!

What Do Antique Shops Need to Start a Cash Discount Program?

Guide to the Cash Discount Program for Antique Shops

Cash discounting programs are acceptable in all 50 states in the USA. However, this isn’t a brand new program. In fact, gas stations have been implementing this program for years now, and many customers and businesses have benefited from it.

To start cash discounting programs, there are several things you’ll need to prepare and determine. First, apart from telling your customers about the program you also need to have a cash discount signage somewhere in your antique shop. This advertises the program, and lets customers know of the benefits they can get if they pay in cash.

Additionally, you also need to display the base amount, the cash discount, and the total cost on the customer’s receipt. It’s also essential that you program the point of sales (POS) to automatically set the discount for cash payments since manual discounts can be inaccurate.

Cash Discount Programs Alternatives

With a cash discount program, you can effectively lessen credit card processing costs and get more pay-in-cash customers. However, the good news is that this isn’t the only way to save money.

Let’s take a look at some other options.

Bump Up to a Reasonable Price

If you’re looking for a more straightforward way to cover the service fee from payment processors, then a price increase would do. However, this is less appealing to cash paying customers and might drive them away.

Negotiate the Fees With the Payment Processing Provider

Now, if your shop usually has a lot of customers, then you can opt to negotiate the markup fee with your merchant service provider. A value-added merchant will usually receive lower rates compared to others.

However, the process could be tedious. You’ll need to present your yearly growth and expected credit card sales in the next year, and come to a reasonable markup fee calculation.

Review Your Merchant Account

Last but not least, review your merchant account. Your credit card processing fees will depend on your declared business characteristics. This includes the business type, frequency, and transaction type.

You will also want to set a minimum purchase amount for debit card and credit card payments. This way, you can avoid sky-high fees for small-value transactions.

What Customers Say About Cash Discount Programs

Guide to the Cash Discount Program for Antique Shops

A lot of businesses hesitate to implement cash discount programs for fear that it would drive away credit-paying customers. However, most of the time, this is not the case. Given the fluctuating economic situation, a significant number of clients do not have a problem with businesses offering a cash discount.

In addition, given the commercial nature of antique shops, clients will undoubtedly have no trouble understanding the goals of the program. As a result, it is highly probable that you will come across customers who will gladly sign up for the program rather than express dissatisfaction with it.

I mean, imagine vintage shopping and getting a discount without even asking for it. This sounds like it could be one of the best deals ever!


As debit and credit card transactions become increasingly popular, small businesses are struggling with high service fees. As an antique shop with relatively cheap items, a high service charge will eat up the profit and will be bad in the long run.

In response, businesses are now implementing cash discount programs to survive the wave. Cash discount programs are beneficial to both the business and the consumers. It gives customers more payment options, and at the same time, lessens the credit fees charged by the business.

Implementing a cash discount program is simple. First, determine the additional fees you get per transaction. Then, connect with a reliable service provider to walk you through the entire process. Afterwards, you can install your POS systems, signages, and train your staff to use them.

And voila! You have successfully implemented a cash discount program for your antique shop. Right now is not the time to give up. Keep going! Don’t forget to increase your knowledge of payment processing in our extensive credit digital library