Midtowne IGA Lowers Costs with BioPay

Saint Charles, Missouri — April 2006

Mid-Towne IGA manager Scott Kohrs is enthusiastic about BioPay Payments. In less than three months, approximately 30% of his regular check writing customers have enrolled and continue to use their finger to make faster, easier payments at the check out lane — saving him money on check handling and loss to fraud.

The Mid-Towne IGA manager thinks the store's longtime relationship with the community it serves has a lot to do with the high number of participants. "We let our customers know the great advantages BioPay offers," said Kohrs, "and almost without fail, our customers enroll and quickly get used to the convenience, privacy and ease of paying with their finger."

Another key to the success of BioPay at IGA, Kohrs believes, was the graduated introduction of the new payment option. Of course, customers who declined the enrollment opportunity were accommodated. The first two months were designed to introduce the technology and educate customers on its benefits over check, debit, credit, and cash payments. The third month, IGA actively encouraged all customers writing checks to consider BioPay.

For Kohrs, the decision to go with biometric payments came down to dollars and sense. For every transaction he converts to a BioPay transaction, he lowers his transaction costs by 66%. With the number of his customers he has enrolled, he is realizing an average $400 in savings in transaction costs per month. Furthermore, he has seen his average ticket increase by 17%.

Benefits to Retailer

Increased Revenue

• Reduces payment processing cost
• Delivers control over payment choices
• Reduced tender time
  • No card presentment
  • Automatic age verification
  • Automatic membership confirmation
  • Automatic loyalty credit
• Reduced fraud prevention costs
• Prevents cash users from migrating to debit cards
• Reduces cash needs, and potential employee-related loss
• Enhanced image/competitive differentiation
• Increased customer loyalty by improving shopping experience

Consumer Benefits

• Convenience
• Faster, easier checkout
• Easy to sign up and use
• Secure
• Private
• Free