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Credit Card Vending Machines Show Sales Increase

Cadbury Schweppes and MasterCard are testing 750 vending machines in the Dallas area, New York and Chicago to answer a key question: Will people spend more if they can use plastic? The early answer is, yes.

Some of the machines were installed in January and have seen sales increases of 5% to 35% without any change in prices, says Mark Jackson, a vice president with Cadbury's U.S. beverages subsidiary. After three months, Cadbury will evaluate sales data and decide whether to retrofit more machines and introduce them in other cities.

Cadbury's experience fits with sales increases that other companies have reported when they shift from cash to plastic. Possible explanations vary from consumers not wanting to carry change to ATMs that dispense only $20 bills, which can't be used in most machines.

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Read the whole story at The Miami Herald/AP »

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