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RBR’s study reveals increasing adoption of automated deposit terminals

Research firm RBR’s new study has revealed that the number of automated deposit terminals (ADTs) installed worldwide have increased by 4% and have reached 1.4 million in 2018. Deposit ATMs, according to banks, are expected to become a tool for enabling customers to migrate transactions from the teller and save costs.

Sam Blackwell, who led RBR’s Deposit Automation and Recycling 2019 research, commented, “Although the technology has been available for decades, the number of deposit ATMs installed worldwide continues to demonstrate healthy growth. Banks are now expected to pivot further towards recycling as the ratio of withdrawals to deposits narrows and CIT costs grow, presenting increased opportunities for cost savings”.

The study also revealed that automated deposits grew by 10% in the core markets covered with the exception of China, where the increase in mobile payments adoption has stifled cash usage. Majority of the markets are expected to show an increase by 14% by 2024 to over 1.6 million. It stated that 52% of the ATMs around the world will be accepting automated deposits by 2024. USA is expected to see an addition of 40,000 ADTs in the next five years along with an extra 34,000 ADTs by 2024 for Brazil and India.

RBR’s research has stated that cash-recycling technology will become a viable option for banks worldwide as its usage helps in the reduction of CIT costs. Two-thirds of the deposit terminals are expected to begin recycling of notes by 2024. Banks are currently investing in machines for allowing them the flexibility of switching on the recycling function at a later date when the business case is established.

Recently, an RBR analyst at the Branch Transformation conference in London stated that branches play a critical role in customer recruitment and retention, despite record adoption of digital channels.

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