Video: Retail

February, 2010: Ken Niven, Divisional President - Cash Solutions, on the CASH360 solution that is changing the face of retail cash management

Transcript:

We in G4S have a relatively new product aimed at retailers, both large retailers and small retailers. We’ve been developing this product for about three years. It’s essentially a reverse ATM into which the retailer puts their cash and once it’s in this device, it’s secure and it’s counted. And the business case for retailers is around efficiency, around loss prevention and a significant reduction in robbery.

Now let me take you one by one through these. In terms of efficiency, putting this equipment into a small retailer usually saves them around about two to three hours a day replacing the time it took their staff to make cash up. And in the larger retail sites, superstores and shopping malls, we are finding that most retailers are able to reduce head count by around about two people so there are very very significant efficiency gains in CASH360.

Also very importantly is the loss reduction, that’s internal theft in retailers, which worldwide we estimate to be around about 0.16%. Now throwing that against the margins that a retailer makes are between two and three percent, that is quite a significant chunk of lost profit and time and time again, when we’re putting our solution into our customers, into retailers, we are finding this big loss is reducing by about fifty percent, so another big saving to retailers as well as efficiency.

On top of all that, is the safety of their employees. We put the money into a very secure safe once it’s deposited. And the robbery incidents just fall away once our equipment is in place.

With CASH360, future opportunities, I think we are cautiously optimistic. It’s a fantastic proposition for retailers.

It also gives them real-time management information on the cash being collected in their stores and in terms of the overall opportunity, we’re currently running in eight countries around the world. A few of these are in the Nordics, Finland, Sweden, South Africa, Canada, United Kingdom, Netherlands and so on so it’s established and running in eight countries, and we have near-term rollout plans in a further five additional countries, and beyond that we’ve a high degree of interest in fifteen countries.

So at the moment we’re in eight countries, potentially twenty more countries to come. How it translates into every country remains to be seen but I think giving that base and that forward momentum, I think we can be cautiously optimistic.