In an age dominated by mobile wallets, contactless cards, and online payments, it may seem like cash access is fading into the background. Yet, across Canada, an unexpected trend is reshaping how retailers attract and retain customers. Despite digital innovation, ATM foot traffic is proving to be a powerful driver of in-store visits and local spending.
For many businesses, offering easy access to cash has become more than a convenience — it’s a strategic advantage. In this new payment mix, Canadian retailers that integrate cash accessibility through on-site ATMs are seeing measurable increases in visits, purchases, and community engagement.
Let’s explore how cash withdrawals, ATMs, and consumer behavior are revitalizing brick-and-mortar stores in an increasingly cashless economy.
1. The Digital Shift — But Not a Total Departure
There’s no denying that digital payments are growing rapidly. Tap-to-pay, mobile apps, and online checkouts have transformed how Canadians make transactions. However, cash remains an essential part of the payment mix in Canada. According to recent studies by the Bank of Canada, millions of Canadians still use cash regularly — particularly for small purchases, emergencies, and local retail transactions. For businesses, this means that offering customers the flexibility to choose their preferred payment method is more important than ever.
While digital adoption continues, many consumers value the tangibility and control that cash provides. This is especially true in rural areas and among older demographics, where cash remains trusted, accessible, and reliable.
The key insight? Digital and cash payments aren’t rivals — they complement each other.
2. Why ATMs Are Making a Retail Comeback
ATMs are often seen as relics of the past — but the data tells a different story. Retailers across Canada are discovering that installing on-site ATMs not only supports cash withdrawals but also increases store visits and spending.
Here’s how:
- Impulse Visits: Customers looking for a convenient ATM often enter a store to withdraw cash — and many make additional purchases.
- Loyalty Boost: Stores offering ATM access become part of customers’ weekly routines.
- Increased Visibility: ATM signage attracts new passersby who might not have otherwise visited.
- Transaction Fees: Retailers hosting ATMs often earn a share of surcharge revenue, adding another income stream.
This simple addition is turning ordinary retail spaces into high-traffic convenience hubs — the essence of ATM foot traffic growth.
3. The Psychology Behind Cash Access and Shopping Behavior
It might surprise some, but cash plays a unique role in consumer psychology. Research shows that people often spend more thoughtfully when paying with cash, leading to fewer returns and more intentional purchases.
Retailers benefit from this in several ways:
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Higher Conversion Rates: Shoppers who withdraw cash nearby are more likely to spend it locally.
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Longer Visit Duration: Customers tend to browse longer after using an ATM, especially in convenience stores, cafés, and gas stations.
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Positive Perception: Offering cash access enhances the store’s image as customer-focused and community-oriented.
In short, ATM foot traffic doesn’t just bring people inside — it keeps them there, driving engagement and impulse buying in subtle but powerful ways.
4. How Cash Withdrawals Create Real-World Spending
When customers make cash withdrawals inside retail locations, the money often doesn’t travel far. Many use it immediately for purchases, whether it’s a snack, coffee, or household essentials.
For example, small retailers in urban and suburban neighborhoods report that up to 60% of ATM users make a same-visit purchase. This circulation of cash directly fuels retail business growth, as every withdrawal can convert into local spending. Moreover, ATMs inside stores provide an added layer of convenience for consumers — no need to find a bank branch or pay extra fees at distant machines. It’s this intersection of ease and proximity that keeps brick-and-mortar locations competitive in a digital-first world.
5. The Retail Advantage: ATMs as Foot Traffic Engines
Retailers who integrate ATMs are seeing tangible benefits that go far beyond small gains.
1. Increased Foot Traffic
With millions of Canadians still preferring to handle cash for daily expenses, an in-store ATM naturally draws steady ATM foot traffic. It becomes a magnet for spontaneous visits from locals, commuters, and travelers alike.
2. Enhanced Customer Experience
An ATM adds value to your store’s ecosystem. It positions your location as a convenient stop where customers can shop, withdraw, and pay — all in one place.
3. Revenue Opportunities
Retailers hosting ATMs typically receive a share of the surcharge revenue. Combined with increased product sales, this creates a dual profit stream that strengthens overall retail business growth.
4. Improved Brand Perception
Offering financial accessibility can help independent retailers stand out from big-box competitors. Consumers increasingly value businesses that understand convenience and community needs.
6. The Evolving Payment Mix in Canada
Canada’s payment ecosystem is one of the most diverse in the world. The payment mix in Canada now includes cash, debit, credit, digital wallets, and even cryptocurrency. But each plays a different role — and cash continues to anchor in-person spending.
The pandemic accelerated contactless payments, yet post-pandemic data shows that cash usage rebounded as restrictions eased. This rebound highlights consumer trust in tangible money, especially during uncertain times.
Retailers embracing hybrid payment strategies — blending digital acceptance with reliable cash access — are better positioned to serve diverse customer preferences.
It’s this balance that makes ATMs a vital part of the retail experience, bridging the gap between convenience and flexibility.
7. Why Consumers Still Prefer Cash Access
While digital convenience is undeniable, there are compelling reasons why cash remains a daily necessity for millions of Canadians:
- Budget Control: Cash helps individuals manage expenses physically, reducing overspending.
- Privacy: Cash transactions are anonymous, offering security for those wary of digital tracking.
- Reliability: In areas with unstable internet connectivity, cash is always functional.
- Local Spending: Cash supports small businesses by avoiding high card transaction fees.
By hosting ATMs, retailers tap into this ongoing demand — maintaining relevance and providing a service that adds real-world value.
This is why ATM foot traffic remains strong even in a digital era: people want options, not restrictions.
8. Case Example: Community Retailers Leading the Change
Across Ontario, local businesses are partnering with fintech and ATM providers to reimagine cash accessibility. Small convenience stores, independent grocers, and gas stations are installing in-store ATMs not just for revenue, but for connection. In one case, a Timmins-based convenience retailer reported a 20% increase in ATM foot traffic after installing an ATM near the checkout counter. The same location saw higher sales in small-ticket items like beverages and snacks — evidence of how cash access directly stimulates retail business growth.
As digital systems expand, these community-focused initiatives ensure that cash access remains an integral part of neighborhood economies.
9. Cash in the Digital Age: A Balanced Future
The rise of digital payments doesn’t mean the decline of cash — it signals evolution. The future of transactions in Canada is about coexistence, not competition. ATMs are adapting too, integrating with fintech systems, contactless withdrawals, and hybrid services that merge physical access with digital convenience. These smart ATMs align perfectly with evolving payment mix Canada patterns.
For retailers, embracing both digital and cash-friendly models ensures inclusivity — appealing to every customer demographic while securing long-term stability.
10. The Takeaway: Cash Access Equals Opportunity
In 2025 and beyond, offering cash access isn’t just about convenience — it’s about strategy. Retailers that provide on-site ATMs aren’t resisting the digital wave; they’re enhancing it. By understanding consumer behavior, supporting local spending, and diversifying their income, these businesses are setting new standards for success.
Even in a world dominated by screens and swipes, people still value the physical connection of money — and that connection is what keeps them walking through the door. The continued rise of ATM foot traffic proves one thing: in the right environment, cash access drives not only transactions but community engagement and loyalty. And in a competitive retail landscape, that’s worth its weight in gold.
Conclusion
In Canada’s rapidly changing financial ecosystem, the smartest retailers are those who combine innovation with inclusivity. By maintaining on-site ATMs, they ensure access for all — supporting digital convenience while fostering in-person engagement.
As the payment mix continues to evolve, ATMs remain a bridge between generations, preferences, and technologies. They offer something no app can fully replicate: tangible trust and real-world connection.
So while the future of finance is digital, the future of retail is balanced — and ATM foot traffic is proving that even in a high-tech world, access to cash still keeps businesses grounded, profitable, and thriving.
FAQ’s
Q1. Do ATMs still increase customer foot traffic?
A: Yes. ATMs remain one of the most effective ways to increase ATM foot traffic, drawing in new customers who often make additional purchases after withdrawing cash.
Q2. Why is cash still important for local businesses?
A: Cash remains vital for local retailers due to low transaction costs, accessibility, and trust. It supports customer choice and stimulates nearby economies through immediate in-store spending.
