Adopting cashless payment systems in the EV charging space is long overdue.
Already, nearly 80% of all transactions in the United States’ urban regions are done without paper cash or coins in sight. Many EV owners will agree that paying for charging with coins or cash is quickly becoming old-fashioned, less convenient, and risky. These challenges are becoming a concern for EV drivers, as well as the manufacturers and charging point operators.
As a result, many are clamoring for the full adoption of cashless payment systems such as cards, mobile wallets, and smart apps they should. Adopting cashless payment systems can make life easier for drivers and also boost revenue generation for charging point operators. It can make paying to charge an EV simpler and less stressful than paying for gasoline at fuel stations.
There is more to adopting cashless payment systems for EV charging, and this article will reveal them. Fasten your seatbelts and get ready to learn crucial reasons why cashless payment systems are vital to EV charging accessibility.
Contents
1. Driver Empowerment and the Right to Choose
No one likes to have limited options. The world has come a long way in ensuring empowerment for every individual regardless of status, beliefs, or the car they drive. Thus, restricting the payment options for charging an EV to coins and cash is the same as stripping EV drivers of the right to choose.
It can be frustrating for current owners and discouraging to those still considering getting an EV. Adding cards, online wallets, and apps to the list of payment options improves the user experience for drivers. It also empowers drivers and operators to choose what payment method suits them the most.
2. Simplicity and Familiarity
Adopting a cashless payment system for EV charging can be a game-changer in boosting the popularity of electric vehicles. Cashless payments are becoming simpler as the digital literacy levels globally keep increasing significantly. From purchasing groceries to paying for utilities, households and local market merchants perform complex transactions seamlessly with modern technology.
While app payments remain the most popular EV charging payment option, adding card payments can help ease into using apps. Due to the popularity and long-term use of cashless payment systems like debit cards and online wallets, many would opt for cards out of familiarity.
Navigating payment apps is getting less complicated by the day, thanks to the improved user-friendly features in modern apps. While the older generation may be catching up to innovation, the younger car owners have little problem navigating payment apps. It is one of the reasons why EV manufacturers target the young public.
Although navigating some apps may require a degree of digital literacy, you don’t need to be tech-savvy to use a debit or credit card for payments. This is crucial in encouraging the aging population to swap their manual drive cars for modern electric vehicles. Besides familiarity, cashless payment systems are so simple that virtually anyone, regardless of age or digital literacy, can navigate them.
3. Security Setback Prevention
Paying in cash can be a major security risk for customers and charging post operators. Accepting coins or cash requires installing a money-collecting machine where customers slot money into upon charging their cars. These machines are often targets of thieves and armed robbers who may vandalise the equipment.
It makes the charging spot a hub for criminal activities, making it unsafe for people wanting to charge their EVs. With time, EV charging stations with a reputation for insecurity may become deserted.
This causes a major setback for EV drivers and businesses. In times like these, alternative payment options or cashless systems will come in handy. For instance, the adoption of in-app payments will prevent the installation of on-site cash-collecting machines. This simple development can go a long way in making charging accessible for many living close to charging spots.
4. Fast Transaction Speed
There aren’t many faster ways of paying for items or services than digital wallets and debit or credit cards. Paying with cards has come a long way from slotting into a POS machine to simply tapping or swiping to confirm payment.
This is not only convenient but also faster than paying with cash, especially when you need change. In just a few seconds, you are done. App-payments are also famous for their transaction speed, with instant confirmation of the transaction sent to your email.
5. Improve Public Perception of EVs
EVs have been around for a while and are not showing any signs of slowing down soon. A recent study shows that over 90% of EV owners would only replace their current car with another EV. However, this perception might change without a solution to the charging crisis.
These charging challenges may also harm the public’s perception of EVs and discourage many from making their first purchase.
In an attempt to make EVs more appealing to the general public, EV makers and regulatory bodies can push for the adoption of cashless payment systems for charging accessibility. This step can make regions outside of Europe and North America more accepting of EVs.
6. More Income Generation for Charging Points
Establishing only cash or coin paypoints limits revenue sources. Therefore, adding other payment options such as debit and credit cards or mobile wallets almost guarantees that every EV driver parked at their charging site will pay for the service.
On a positive note, implementing this idea is easier than many might imagine. Charging point operators only need to install a card reader that allows drivers to pay conveniently at the charging station. This addition will make them some of the most sought-after charging units, as many will continue to search for charging points with unlimited payment systems.
7. Formidable Payment Security
Cashless payment systems edge out cash payments in terms of security. For instance, online wallets are run by major tech establishments with some of the most sophisticated technology in data security.
From contactless payment methods to EMV chips, modern payment systems like debit and credit cards use encryption technology to secure payment and user details. Apps are also secure, ensuring only the EV user can access them with their secret passcodes and other encrypted means of identification.
Conclusion
Being able to pay for charging an EV without stress should be the least of EV vehicle operators’ worries, considering the many advances in modern EV technology. Adopting cashless payment systems can solve this problem and also go a long way in improving the public perception of these vehicles.
In many ways, adopting cashless payment systems to ease EV charging benefits the drivers as well as the charging point operators. Secure and seamless cashless payment options will solve many current problems for existing and prospective EV owners. If you are an EV operator or charging point operator, there’s no better time to invest in futuristic payment solutions.
