Friday, August 7, 2015
ShopKeep's cloud-based POS platform for iPad cash registers includes inventory management tools and data analytics. Approximately 16,000 independent small to midsize businesses in the United States, Guam and Canada are using the solution, the company stated.
"The results from our merchant survey and same-store sales data report that small businesses are booming, demonstrated by the fourth consecutive quarter of increasing revenue and growth," said Norm Merritt, ShopKeep President and Chief Executive Officer.
Merritt also noted that a majority of the independent business owners who participated in the SSBI are new business owners who share an optimistic vision of the future. Nearly 98 percent of ShopKeep merchants surveyed expressed cautious optimism in the U.S. economy and provided favorable business forecasts.
Other notable SSBI statistics include:
Also, a 23.1 percent increase in year-over-year revenue was noted across all categories. And in addition to the 69 percent who plan to hire at least one new employee, 12.5 percent plan to hire four or more new staff members by the end of 2015. This trend, combined with falling unemployment may improve the national unemployment rate, which is currently at 5.8 percent, ShopKeep pointed out.
Sixty-two percent of merchants surveyed have not increased retail prices in 2015 and attributed the growth in their businesses to increased sales and new customer acquisition. Seventy-two percent of respondents had no plans to raise prices for the remainder of the year, preferring to focus on such strategies as developing marketing campaigns, expanding product and service lines, and expanding operations and staff.
The report noted positive growth in same-store sales data for the second quarter when compared to the same period of the previous year. This growth was reflected across a range of business segments including quick service restaurants, restaurants and bars, and retail. The average cross-category growth rate of 23.1 percent in sales revenue reflects an 11 percent increase from the first quarter of 2015.
The approaching October 2015 liability shift deadline for implementing Europay, MasterCard and Visa (EMV) is prompting many small-business owners to consider upgrading their payment card processing systems. Many of these merchants understand they will bear full responsibility for any fraudulent payments transacted on non-EMV compliant equipment after Oct. 1, 2015.
Numerous reports with varying statistics on EMV merchant readiness have been circulating throughout the payments industry. SSBI findings indicate that 62 percent of ShopKeep's customers are prepared to implement EMV before the Oct. 1 fraud liability shift.
"When asked why they will be ready, small-business owners provided valuable insight, such as improved security, future-proofing their businesses, and already fully prepared with necessary hardware," the report stated. The report also noted the need to educate small-business owners on EMV security and best practices.
ShopKeep leadership anticipates the EMV transition will prompt merchants to explore other emerging technologies such as contactless and mobile payments. "Each quarter we monitor adoption trends of contactless payments, and this quarter, an impressive 82 percent of merchants agree that contactless payments will boost business, stating reasons such as increased customer convenience, speed and revenue," the report stated. More details can be found at www.shopkeep.com/wp-content/uploads/press/2015-ShopKeep-Q2-Business-Index.pdf .
Editor's Note:
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