30% of Main Street Businesses Plan to Add Digital Wallet Payments

Main Street businesses’ investment and upgrade plans suggest that they intend to capitalize on new opportunities to gain and service customers.

Just over half of these businesses are planning for their future growth by investing in equipment, according to “The Main Street Index,” a PYMNTS and Melio collaboration that surveyed more than 750 U.S. businesses.

Get the report: The Main Street Index: Optimism Amid Inflation Edition

The survey found that 51% of Main Street businesses are “very” or “extremely” likely to buy or upgrade equipment in the next six months. In addition, more than one-third of these businesses plan to increase wages for their staff, increase spending on advertisement and increase the number of employees in their firm.

Among businesses in four of the five sectors included in the survey, buying or upgrading equipment is the plan cited by the greatest share of respondents. Fifty-five percent of those in food, entertainment and accommodation; 55% of those in personal and consumer services; 50% of those in construction or utilities; and 44% of those in professional services say they are likely to invest in equipment.

Firms in the retail trade sector are slightly more interested in advertising, with 45% of these businesses saying they’re likely to increase spending on advertisement and 43% saying they expect to increase spending on equipment.

Businesses of all ages have equipment at the top of their list, though the younger the firm, the more likely they are to plan such an investment.

Electronic payments systems are another priority for Main Street businesses. While many already use front-office systems that accommodate electronic payments and improve payments flexibility, their numbers are slated to grow substantially.

Thirty percent of the businesses surveyed plan to add the ability to pay with digital wallets, 26% plan to add the ability to pay with contactless cards and 21% plan to add the ability to pay with card on file.