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Guide to the Cash Discount Program for Newsstands

Do you want to sell more books and magazines but have trouble getting your customers to pay cash for them? A cash discount program can help!

The newsstand business is a tough one. With the rise of digital media, it’s become increasingly difficult to profit in the newsstand industry. However, some strategies can help you succeed and keep your customers happy. And cash discounting is one of them.

Here’s the guide to the cash discount program for newsstands.

What Is a Cash Discount Program for Newsstands?

A cash discount program allows a newsstand proprietor to offer price reductions to customers who pay with cash. The amount of the discount varies depending on the store and its needs.

For instance, if you are a small business owner looking to expand your customer base, a cash discount program may be just what you need. It will encourage people to visit your store (and give them an incentive).

Not only that, but it will also help them feel more comfortable when they do come in. This way, customers know they won’t spend more than necessary on the products or services they want or need.

This is a great way to get customers in the habit of using cash, which can be better for your bottom line than credit card payments. It also helps you avoid paying the fees associated with accepting credit and debit cards.

Why Do You Need a Cash Discount Program for Your Newsstands?

You’re probably wondering, “Why do I need a cash discount program for my newsstand?”

Since you want your business to be successful, it needs to attract its fair share of customers. However, other factors may threaten your profit margin and keep your business from expanding in this age.

Here are just a few:

Marketing Competition

Every day, newsstands compete with other brick-and-mortar stores, online retailers, and even local businesses to attract customers and keep them coming back.

They have to offer something that makes them stand out from their competitors—unique products or customer service experience.

Soaring Inflation

The price of everything from groceries to gas is rising at record rates. That’s why it’s more important than ever to ensure your newsstands get the best deal on the products they sell.

Increasing Costs of Retail Services

Guide to the Cash Discount Program for Newsstands

In recent years, retail services have become increasingly expensive. Newsstands, in particular, are facing a lot of challenges.

These retail services have increased due to the price of paper and ink cartridges. The increasing costs have increased the price of newsstand products.

Hence, the price of newspapers is increasing because the cost of producing them has increased. You will have to pay more to sell the newspaper subscription or other products available at your newsstand.

How Using Cash Discount Programs Can Help Your Newsstand Thrive?

It’s hard to imagine a business that wouldn’t benefit from using a cash discount program. Whether you’re selling groceries, parts for your car, or magazines and newspapers, getting more money for your products can only help you thrive.

But if you’re in the newsstand business, it might feel like cash discounts are out of reach—that they don’t apply to you. After all, people don’t often come in and buy magazines on credit. So how can you get the most bang for your buck?

The answer is simple: use a cash discount program. It’s not just for big-box stores anymore! Nowadays, almost any business can use this program to boost profits and grow.

No More Increasing Mastercard, Visa, and AMEX Fees on Business Owners

If you’ve encountered an increase in credit card fees over the past few months, chances are you’re keeping a closer eye on your business’s expenses. And, if you haven’t been checking on those fees from credit card companies, the most recent news might come as a surprise: Visa, Mastercard, and American Express are raising the fees they charge retailers.

However, with cash discount processing, you can simultaneously save money for your business and increase revenue. You can eliminate those frustrating fees that Mastercard, Visa, and AMEX charge. Hence, the increasing card processing fees won’t be troubling you anymore.

Lower Credit Card Payment Processing Costs Increases Profit Margin

As we mentioned, the biggest expense for any small business is credit card processing costs. A typical newsstand that sells magazines, newspapers, and snacks will pay between 2% and 3% of credit card transactions. When you look at the numbers, that adds up to a lot of money!

If you’re a small business owner, it can be tempting to increase your profit margins by raising prices or lowering quality. However, if you’re looking for ways to save money without hurting your bottom line, implementing a cash discount program might be the solution you’ve been looking for!

Implementing a cash discount program on your newsstand will help you minimize the payment processing fees from debit and credit card transactions. Due to this, you will be able to enjoy an increasing profit margin without lowering your business quality.

Financial Stability and Better Cash Flow

If your newsstand is struggling to meet its financial obligations, it may be because you do not have enough money in the bank to cover expenses. To keep your business running smoothly, you need to pay bills on time and make sure that cash is readily available when needed.

Since cash is the lifeblood of your business, if you don’t have enough of it flowing through your newsstands, you’ll be in trouble. But how can you make sure that your cash flow is always healthy?

The answer is simple: a cash discount program. A cash discount program will help ensure you have enough cash to meet any demand.

Besides, cash discount programs also give you greater flexibility with your finances. They allow you to borrow against future sales rather than relying on current income from customers or vendors.

This enables you to take advantage of opportunities as they arise without waiting for those sales or payments to stay afloat financially!

Lucrative Marketing Tactic

When you offer a cash discount program at your newsstand, you’re making it easier for people to buy your products. With this program, you can entice customers with deals they won’t find anywhere else.

Also, you can give them the incentive to come back again and again. This way, you’ll be able to attract more customers who want to save money on their purchases, which means more sales for you!

Plus, because these customers will be coming in looking for deals, they might buy something else from your store instead of just what they originally came in for.

Smooth Set Up

Cash discount programs are simple to set up. Common credit card processing banks offer this program. As long as you qualify and meet the requirements for credit card terminals, they will accept you into the cash discount program.

Besides, the point-of-sale (POS) technology to handle discounts is easy and straightforward for any merchant. Your merchant processing representative will walk you through it all while you may have to educate your employees for an efficient system.

Is a Cash Discounting Program Suitable for Your Newsstand?

Cash discount programs are a great way to save money and ensure your newsstand is stocked. But how do you know if a cash discount program is best for you?

Well, there are a few things you can do to find out. First, ask yourself:

Are Cash Payments Your Priority?

Guide to the Cash Discount Program for Newsstands

Cash payments are the most important factor when selecting a cash discount program. Cash discounts are a great way to increase revenue, but they can be difficult to manage if they’re not used correctly.

You should also ask yourself if there’s enough time in your day to manage the program effectively. While cash discount programs will help increase revenue and decrease costs, they require a lot of work for store owners and managers.

If you don’t have enough time to manage the program correctly, it may not be worth it!

How Much Do You Rely on Repeat Customers?

It’s important to ask yourself how much you rely on repeat customers.

If you have many return customers, a cash discount program could be perfect for you. The more loyal your customers are, the more likely they’ll be to use their discounts and keep coming back.

If you don’t have many people coming back for more news, it might be best to set up a dual pricing system. This way, you will be able to keep both cash-paying customers and credit/debit card customers happy while increasing your profits.

How Can You Implement a Cash Discount Program in Your Newsstand Business?

Cash discount programs can help you thrive your newsstand because they’re easy to set up and offer you a lot of flexibility in how you use them.

Following are some easy steps you need to follow to implement a cash discount program on your newsstand business:

  • Sign up for a cash discount program and activate your merchant account
  • With the help of a merchant processing representative, understand the cash discounting model
  • Purchase processing hardware and educate your employees
  • Use a suitable marketing approach to advertise your cash discount program
  • Install signage, POS system, etc., and get ready to save on every sale!

If you want to use one of these programs, we recommend that you start by contacting your bank or credit union. They can tell you about any cash discount programs available in your area.

Also, they’ll help you set up a merchant account with the program. All that’s left for you to do is decide what kind of merchandise is right for your business!

What Do Newsstands Need for Cash Discount Programs?

In general, there are only a few requirements for putting the cash discount program into action. You must first ensure that your company complies with all applicable local, state, and federal regulations. You should also make sure you’re not breaking any rules established by the organizations who handle the actual credit card transactions.

Besides that, though, you won’t need anything extra to get going. All you have to do is set up a predetermined cash discount to be applied to the bill of consumers who pay with cash at the point-of-sale terminal. Finally, inform your consumers that the program has launched by putting up banners and other signage in your establishment.

Alternatives to the Cash Discount Program

The cash discount program is excellent for your newsstand in terms of both cost savings and revenue growth, but there are other choices as well. The most straightforward is to charge higher prices for everything in your newsstand. However, this could cause even more problems if your regulars object to the higher prices. You could also look into partnering with a payment processor that charges less per transaction. While this might not solve the issue entirely, it should reduce the cost of dealing with it.

What Do Customers Think About Cash Discount Programs?

Guide to the Cash Discount Program for Newsstands

Since their inception many years ago, cash discount programs have been a hit with customers. Customers appreciate the savings and may even spend more money than they originally planned. It’s safe to assume that the cash discount program is well-liked by the majority of customers.


Cash discount programs are ideal for every small business to help survive in this era of soaring inflation. And yes, this program is suitable for your newsstand too.

You can use the cash discount program to promote your newsstand by encouraging repeat visits from loyal customers excited about the deals they get from shopping at your store.

You’ll need to register with the processor handling your payments to set up a cash discount program. They will then provide instructions on how to set up your account on their website, including how much you’ll need to pay each month for processing fees. Once this is done, you must advertise your cash discounts and enjoy its benefits!

As always dive deeper into cash discounting topics in our vast resource library.