What is Contactless Payment and Why Does It Matter for Restaurants?

Woman making a payment with her smartphone and credit card using contactless technology.
Ayseli İzmen
Ayseli İzmen
April 27, 2022

Since Q1 of 2020, our social interactions have evolved towards systems and solutions that reduce repeated human contact on shared surfaces, tools, and areas… This is best observed in public or shared spaces and businesses such as restaurants. Limiting by nature compared to our previous everyday habits, reduced physical contact efforts are seen in the form of rapid digitalization. In fact, most of it makes life safer and more practical while eliminating human error.

It’s not that digital menus or payment apps weren’t in use before the changes following the global pandemic. Let’s say they were on trial. Post-pandemic, however, they’re pretty much embraced and in demand by consumers, soon to become the expected standard.

A great example of this big topic is contactless payment technology, with which we are all familiar by now. We will be digging deeper, layer by layer into what they are, why they matter, and the advantages of implementing contactless digital systems in a restaurant business. If you aren’t already offering contactless payment or aren’t sure what it is, or what it does, read on to find out how you can provide exceptional service in a competitive environment.

What is Contactless Payment?

Contactless payment, among other contactless tech tools, is a somewhat new method to keep everyone safe while still offering outstanding service. It can be considered the 101 of digital ordering and payment methods to reduce the possible impact of shared surfaces and items.

Contactless payments date all the way back to 1995 and the first documented use in a public space was introduced by the Seoul Bus Transport Association in South Korea. It has since come a long way in terms of widespread adoption and is offered by millions of merchants all over the world from bakeries to convenience shops and restaurants.

The key takeaway is that contactless payment, which makes use of RFID technology and near-field connectivity, is not only a safe way of paying with your card but also a more hygienic one.

The Advantages of Contactless Payment in Restaurants

Let’s dive straight into some of the fantastic features of contactless payment that will make your business more efficient, especially if you are a restauranteur:

    Time is what you pay for when you have staff doing their hours. Contactless payment radically reduces customer buildup at the cash register and waiters going back and forth between tables and the cashier. It’s efficient in its purest form and shape. More time also means more sales.

    You may think that card payment is a cleaner option than using cash, but that depends on who is touching those cards and at what frequency. By introducing contactless payment to your restaurant, you automatically reduce your physical contact with plastic cards handed to you by random people who hand them over to multiple random people for shopping, every single day.

    Another great feature of contactless payment is the avoidance of security and legal threats to your business. In the day-to-day life of every restauranteur, there’s the customer who leaves his/her card behind which may cause concerns for all. By introducing contactless payment, you can directly avoid claims of identity and card theft as well as fraudulent transaction claims. You haven’t even touched that card after all…

    Contactless payment can also occur via certain apps. Customers may be using their favorite app in which they store their credit card information. If you have a system in place which allows different channels for contactless payment, you’re in a good place. The point is that you get paid for the food that you sell and the more practical the payment, the better.

    Easy implementation is one of the top advantages of this form of payment system.

In some countries, retailers can expect to wait for up to a year for their bank to issue a POS system, but it doesn’t end there. There are almost constant technical issues and POS technicians who can not be there right when you need them to prevent businesses from selling their products. Not relying on the mercy of institutions or their contractors is a great idea when they are making money off you.

    Finally, think of contactless payment like the early smartphone era. All your friends and family who were determined not to switch to a smartphone fifteen years ago are using one now. Because contactless payment is a necessity rather than a luxury, businesses that don’t implement it now, will be implementing it at a later date due to demand and convenience.

A Connected Payment System for Your Restaurant is Ready for Your Service

FineDine’s “Everything that your restaurant needs” slogan may sound like a very powerful, over-confident statement, except that it’s not. It is just a short sentence explaining what FineDine does in its simplest way.

From helping restaurants design and construct their menu in the blink of an eye to simplifying taking and managing orders, FineDine offers too many perks to ignore. Some of the many advantages of using FineDine are that it offers multiple language options for guests from all around the world, helps analyze customer preferences and bestsellers, incorporates a QR menu, and gets your reporting and stats in front of you in a breeze and much much more.

Offering dine-in, home delivery, and takeaway menu options, FineDine is the top AI-backed digital menu solution for the ultimate guest experience.