It’s tradition: a mob of people lined up outside the doors of Schneider’s Bakery at 1 a.m. Customers used to need cash in hand to buy a doughnut and a carton of milk for $1.25. But on May 12, 2017, Katie Zvolanek became the first person to swipe her card at Schneider’s in the 61 years it has been open.
The new owner of Schneider’s Bakery, Shaun Stonerook, has done away with the shop’s cash-only policy by installing a credit card reader.
“It just makes sense,” said Stonerook.
According to Stonerook, there won’t be any changes in recipes, names, prices or staff at the bakery.
Otterbein marketing professor, Michael Levin, said it's a good idea for Schneider’s to start accepting credit cards.
"Who carries cash?" said Levin.
According to Levin, the breakfast market is a competitive one. When people are used to paying with card, only accepting cash can potentially drive customers away from a small business like Schneider’s.
"On the days where I didn't have cash readily available I would just skip the doughnuts," said Zvolanek.
Installing credit card technology could open Schneider’s up to more business, but the transition won’t be without challenges. Levin said that it may be months before Schneider’s fully adjusts to the new pace of business. Employees will need to figure out how much more product they need to bake each day as sales go up as well as how to market themselves as a company now accepting cards.