I have been tracking the efficiency of financial services (Western Union, bill payment, phone recharge, credit card recharge, gift vouchers) in my newsagency. I’m concerned about return on labour and this is measured, in part, in the total margin on the sale. Given falling commissions from financial transactions we need to deepen baskets to achieve reasonable efficiency.
Western Union is the by far best performer. Customers with a Western Union transaction are more likely to make other purchases during the visit – regardless of whether they are there to send or receive money.