Changing
Changers
By Tom White
It
may seem like only yesterday for some of us, but change machines have
been around for 50 years now. They have proven to play an important
role in the success of the
self-service car wash industry. Over the years, there have been many advances in how a self-service car wash is operated. Change machine manufacturers have kept pace with those changes, providing convenient, secure, and practical ways for customers to help themselves while adding to the profit generated by these businesses. Follow along as we recount a brief history of changers, take a look at today's machines, and peek into the future of change machines from one manufacturer's perspective.
YESTERDAY
It was
during the year 1955, having seen a need for making change in the
vending industry, that Jim McNutt, Sr., founder of Standard Change-Makers,
Inc., introduced a simple mechanically-operated coin changer that
would return either five nickels or two dimes and a nickel for a quarter.
This original machine sold for a retail price of $89.50 - a real bargain!
There have certainly been many innovations and technological improvements
incorporated since the early mechanical designs of changers!
A year later, "technology" broke through with the introduction of a new series of coin changers. Among the technological advances was allowing the machine to change the well-circulated half-dollar coin and silver dollars. These changers were very popular in the vending industry, because vending machines could not yet accept such large coins. It was about this same time that coin laundry stores began to emerge on the national scene.
During the early 1960s, the acceptance of $1 bills was introduced in US change machines. This innovation was quite revolutionary for the times - and was even a popular exhibit at the World's Fair. During this time, self-service car washes emerged as a growing industry, and change machines were a major contributor to its success. Car washes everywhere began using change-making machines, which reduced the need for attendants, making it a truly self-serve business. Several years later - in the mid-'70s - $5-bill acceptance was added to change machines. By this time, the use of quarters had become more popular as the value of nickels and dimes declined during the high-inflation years of the 1970s.
Early change-making machines were equipped with tubes to hold and dispense coins. These changers would have as many as 10 separate tubes capable of dispensing a combination of nickels, dimes, and quarters. One way of describing tubes is to compare them to the belt changers service attendants wore back in the days when full-service gas stations were more prevalent.
Most of today's change machines are equipped with bulk-loading hoppers for coin or token dispensing. This improvement, introduced during the early 1980s, added much more coin capacity. A single hopper today can hold as many as 10,000 quarters. This design also makes changers much easier to fill and maintain.
Another improvement to changers in the 1980s was the ability to make change for $10 bills and $20 bills. All of this now could be accomplished using a single bill acceptor instead of using a separate acceptor for each bill denomination. This innovation brings us forward to the changers of today which come in a variety of sizes, capabilities and configurations.
TODAY'S CHANGERS
Entry-Level Change Machines
Today's entry-level machines can make change for $1- to $20-bill denominations, and with most machines operators can program the bill acceptor to only receive bills they choose to accept. For example, if you do not wish to make change for $20 bills, you can turn acceptance for $20 bills off with the flip of a switch. Bill acceptors utilized in these machines are made by various manufacturers and have good theft-deterrent systems. Most of today's changer manufacturers understand just how important it is to protect the money inside these machines from vandalism and theft.
Smaller changers will have one or two coin hoppers, depending on the manufacturer. These machines have a quarter capacity upwards of $800 or more per hopper. Even though the majority of changers will be programmed to dispense quarters, most changers can easily be converted to dispense dollar coins, nickels, dimes or even tokens.
To provide the same benefits as two separate changers, while only requiring the space of one machine, several manufacturers make what is referred to as a dual acceptor machine. Basically, you have two machines in one cabinet. In some cases, the two sides of the machine will communicate with each other providing true redundancy. For example, if bill acceptor "A" goes out of service, the coin hopper on that side of the machine will continue to function with bill acceptor "B", thus maximizing the changer's coin capacity.
There are many upgrades available for entry-level machines.
For example, you can add coin acceptors - either electronic or mechanical - that are capable of accumulating and converting nickels, dimes or even $1 coins to quarters or tokens. You'd be surprised at how many nickels and dimes customers will find in their dirty car. Car wash owners that have coin acceptors on their changers have reported that they collect as much as $100 per week in small change!
Other options include security enhancements to protect the money in a changer from vandalism or theft. High-end security lock upgrades should always be considered for areas that might have a threat of break-in or vandalism. Cabinet alarm systems with vibration detection are popular upgrades as well. These devices provide a siren and can also be interfaced with the building's security system or auto-dialer.
High-End/High-Security Changers
The next level of changers would be considered high-end or high-security. These machines are usually much larger than economy changers. Some have dual bill-acceptors and as many as four coin-hoppers to dispense quarters or a combination of different coins and/or tokens. These machines are more durable with many of the components made of steel instead of plastic. High-end changer cabinets are also built of heavier-gauge steel, some weighing as much as 400 pounds.
Some options you'll pay extra for in less expensive changers come standard in high-end models. For example, separating stackers with as many as three bill compartments that can sort the $1 bills from the $5, $10 and $20 bills. This can save valuable time compared to sorting bills by hand, as well as increasing bill stacking capacity to as many as 2,400 total bills.
Most manufacturers of high-end changers make their own bill acceptors that provide far superior security features to combat bill stringing, counterfeiting, and other forms of potential theft. Some of these machines also come equipped with a data terminal, which is a device used for programming the changer, collecting and retrieving auditing data, performing self-diagnostics, and adjusting security levels for bill acceptance, as well as many other features.
In addition to entry-level and high-security changers, many of tomorrow's hybrid changers are actually available today. These include credit-card-to-token machines and bill-to-bill-and-change machines.
Credit Card to Tokens
Over the past few years, many self-serve car wash owners have either switched to or have added the use of tokens to operate their coin-operated equipment. Car wash owners are finding that credit cards provide additional security and convenience for their customers. If customers don't have enough cash readily available or prefer not to use cash, they can purchase tokens from the changer with their credit card. Studies have shown that customers are more likely to spend more money at businesses that offer credit card acceptance over "cash only."
Bill to Bill and Coins
Adding more convenience for customers to make change for large denomination bills, the "Bill to Bill and Coin Exchanger" was introduced two years ago. This machine breaks tens and twenties into fives and quarters! A sample pay-out configuration for a $20 bill would be to dispense three $5 bills and 20 quarters. Now customers are more likely to pull that $20 bill out of their pockets, because they won't have to carry around 80 quarters! Also with bill acceptors being used in self-serve bays and on the vacuums, these change machines provide bills that will operate the equipment. Early reports from owners of this changer have demonstrated that customers are frequently feeding $5 bills into bill acceptors used in the wash bays.
TOMORROW'S CHANGERS
Would it be safe to say that the idea of a self-serve car wash is to provide a convenient and practical way for people to wash their automobiles and to allow the business owner to make a profit? The purpose of a change machine is to enhance that convenience by providing on-location automated access to the coins, tokens, or whatever form of payment is required to operate the equipment. The alternative might be to have an attendant on location to make change or pass out tokens, or even turn the equipment on (almost sounds like a full-service wash, doesn't it). Would you want someone there 24 hours a day, seven days a week to perform this task?
As technology improves and becomes more affordable, we are starting to see more bill acceptors and credit card readers in the wash bays. Will this eliminate the need for a changer? It is not likely. You can buy a hamburger at the drive-thru window now with your credit card, but does this mean they won't accept cash anymore? No, what they're doing is giving you another option of how you can exchange your money for their product.
As manufacturers of change machines, we are focused on developing machines that will enhance the way customers can take money from their pocket and put it in your cash drawer. Machines of the future will offer a combination of ways to accept money whether it is coins, cash, or credit cards and then convert it to whatever form is required to operate the equipment.
It has been said that the only constant in life is change. How true!
Tom White is central regional manager for Indianapolis, IN-based Standard Change-Makers, Inc. He can be reached via e-mail at twhite@standardchange.com.