Why Cash-Discount Programs Work

Payment processing used to be an unavoidable cost of doing business. Cash-discount and dual pricing programs flipped that script by shifting costs to cardholders who choose the convenience of plastic. When the signage, tax logic, and customer messaging align, the economics become transformative.

Start with transparent signage

Regulators care about disclosure, not marketing slogans. We recommend placing signage at the door, counter, and on receipts.

• Door decals should reference the exact service fee percentage.
• Counter toppers reinforce that a discount already applies to all posted cash prices.
• Receipts print the service fee and instant discount line item.

Florpay & Co. bundles editable signage templates and printer-ready files so you can deploy without design delays.

Engineer the math in your POS

A dual pricing program fails if staff need calculators. Modern POS should automate everything. In Florpay’s terminal manager, we enable the following snippet for every partner:

const applyServiceFee = (subtotal: number, serviceRate = 0.04) => {
  const fee = Number((subtotal * serviceRate).toFixed(2));
  return {
    subtotal,
    serviceFee: fee,
    total: subtotal + fee,
  };
};

By codifying the fee logic, you eliminate operator error and build trust with auditors.

Train teams to talk benefits

Cardholders love convenience. Cash payers love savings. Staff should explain that the listed price is the cash price and the service fee is optional. We suggest a 3-step script:

1. Welcome and highlight the instant cash discount.
2. Mention the service fee is waived for cash payments.
3. Offer contactless options for speed when guests choose cards.

Close the loop with deposits

Cash-discount programs only shine if cash hits your bank quickly. Florpay & Co. funds next-day including weekends, and our merchant portal reconciles cash vs. card volumes so finance teams can validate the economics.

When executed with compliance as the north star, dual pricing turns processing from a liability into a growth lever.