By Joseph Mathieu
The Carleton University Students’ Association (CUSA) recently decided to change some of their campus businesses by getting rid of small change with the help of a new app.
A tablet in Henry’s Convenience Store and a smartphone at Oliver’s Pub & Patio are now equipped with ChangeJar, which allows customers to pay in cash and retrieve their coins on their phones.
“Anytime there’s an opportunity to add value to student life at the university, that’s something we’re interested in,” said CUSA President Zameer Masjedee. “Partnering with ChangeJar just seemed like a no-brainer.”
The Ottawa-based mobile cash app, which was started in 2014, has spread to smartphones and businesses throughout the city, from Morning Owl Coffeehouse and The Hintbonburger to all eight LUNCH locations. Now, with CUSA, the app will also be integrated into Rooster’s Coffeehouse.
The initial launch of the app on campus coincided with the fall term’s second edition of Thirsty Thursdays at Ollie’s. If students downloaded the app, they had their $4 cover paid by ChangeJar. Almost 300 students took advantage of the promotion on Sept. 21, and were greeted with a follow-up push notification the next week for a free coffee at Henry’s.
ChangeJar was based on an idea by serial entrepreneur Tom Camps, now CEO of the company. He didn’t like small change, found it aggravating, and wanted a simpler way to retrieve coins. A startup was born.
“We built a small petri dish in Centretown,” said Camps. “We didn’t want to grow outside of that before we got this right. And honestly, Carleton is way out in front on this kind of thinking so it made total sense.”
Fintech, or financial technology, is software that aims to change the way transactions and financial services take place. ChangeJar is doing exactly that — trying to change the way cash transactions always conclude with loose change.
Masjedee, a fourth-year software engineer, said three aspects of the app really made sense for CUSA. For one, it charges no fees. “Some of our CUSA businesses pay a percentage fee on debit and credit card transactions,” he said. “Over the course of a year, that’s several thousand dollars. As more and more students adopt the app, that will save us money.”
On top of offering a point of sale system, ChangeJar can also create a loyalty program. The benefit of rewards and incentives, like free cover or coffee, encourages students to take advantage of the CUSA-run businesses.
The ease of the app, and its ability to take payment from any smartphone, is also a boon for Carleton’s 300 clubs and societies. Fundraising has become increasingly difficult for clubs, especially with initiatives like bake sales that depend on the pocket change of passersby.
“Students might want to support the fundraiser but might not have change,” said Masjedee. CUSA has used Square magstripe readers for a few years, a device that allows phones and tablets to take credit card payments anywhere. But now, with the free app, small change can fund events and trips with just the click of a button.
ChangeJar is touted as being much faster than other swipe transactions, and the only mobile “cashless” app that’s integrated into Facebook Messenger. Getting it on a phone is as easy as typing its name into Messenger, where friends can transfer funds with relative ease.
The app also promises anonymity in ways that other payment apps don’t. A QR code — which is scanned by the club, society or CUSA business — is automatically generated with every transaction, instead of having a code permanently affixed to a phone or personal account.
ChangeJar offers CUSA businesses more opportunities, and students more rewards, while Carleton allows ChangeJar to improve their software. Camps and his team said they’ll have the biggest impact with young people who haven’t settled into credit cards yet, and with stores and restaurants that can’t afford to pay transaction fees.
Camps is also looking for a campus rep to engage in activities to promote the initiative. If all goes well, ChangeJar will roll out to other schools across North America. But they want to get it right at Carleton first.
Wednesday, November 1, 2017 in Feature Stories
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