What does Dual Pricing mean?
Dual pricing is a pricing method in which the same menu item is charged two separate prices by a restaurant depending on the customer's payment method. The price charged in cash is usually lower than the price charged through credit cards or digital methods.
This enables the restaurant to offset payment processing fees associated with card transactions and offer the customer an alternative, cheaper, alternative for payment method.
How Does Dual Pricing Work in Restaurants?
Dual pricing works so that the correct price will be used based on how the customer pays on the restaurant's POS system. It typically happens like this-
Cash Price= $10.00Card Price= $10.30
In this case, if a customer pays with cash, they pay $10.00, and with a card, $10.30.