Coming soon: ad breaks on ATMs

By THIS IS MONEY
Updated:

 

As if it wasn't enough that some banks charge you to use cash machines, now they are going to start pumping advertising at you while you wait for your cash.

Annoying for an unsuspecting public, maybe, but for i-design, the technology company that allows third parties such as New Look and Kwik-Fit to run video clips on ATM screens, it is proving lucrative.

I-design provides the IT and sells the advertising space. So far, only Nationwide is running the ads, but i-design has signed up HSBC and, in the six months to 31 March, generated £515,000 revenues, with a small loss of £176,000. Today it floats on AIM to raise £3.5m and value the business at £9.5m.

Advertisers signed up include British Airways, Vodafone, Orange and Camelot. Founder and chief executive Ana Stewart said: 'With the operational costs of ATM networks growing and significant customer opposition to bank and building society ATM charges, we believe network owners are increasingly looking for alternative ways to generate additional revenues to make their ATMs more profitable.'

For the benefit of potential advertisers, she added that there are an average of 86 cash withdrawals a second in the UK.

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