30 mrt 2026
Which payment solution suits your event? Take the quiz!
Have you ever organized an event? Then you know how challenging it can be to choose the right cashless payment system. You want payments to be simple, but the impact of that choice is felt everywhere: in queues, the visitor experience, transaction speed, stability, costs, and the data you collect.
For a long time, it seemed like you had to choose between two options: closed loop or open loop. In a closed loop system, visitors pay with an event-specific payment method, such as a personalized wristband or an anonymous cash card, while in an open loop system they use their own familiar payment method, such as a debit card, credit card, or mobile wallet.
Merel van Loozenoord
Logistics Manager
What makes choosing between systems so difficult?
When it comes to cashless payments, there are essentially two approaches: closed loop and open loop. With closed loop, visitors use a dedicated, event-specific payment method, such as a personalized wristband or an anonymous cash card. Open loop, on the other hand, aligns with what people are already used to: simply paying with their debit card, credit card, or mobile wallet.
Both models work very well, but they optimize for different priorities. As soon as organizers have to choose, a natural tension arises between control, ease of use, costs, risks, and overall experience.
The choice as we know it: Closed loop vs Open loop
Closed loop and open loop each have their own strengths. A closed loop payment system, like open loop, is built for stability and reliability, but it also offers a high level of control. Especially at busy events with many transactions, the system remains fast and dependable, even when network connectivity is limited. Organizers maintain full control over transaction flows, reporting, and data, and can fully integrate the system with their products. The downside is that visitors often need to top up their balance in advance, which can feel like a small barrier.
Open loop, by contrast, focuses on simplicity for visitors. People pay with their own familiar payment methods, such as a debit card, credit card, or mobile wallet. This makes the system intuitive and accessible, without requiring visitors to prepare anything in advance. It works well for diverse audiences and fluctuating visitor flows. However, as an organizer, you are more dependent on network connectivity, incur transaction fees, and have less direct control over data.
The hybrid payment system: a logical evolution
The divide between systems originated from technological limitations. Modern solutions now make it possible to strategically combine both models. With a hybrid payment system, you benefit from the stability and control of closed loop, as well as the familiarity and trust of open loop.
This approach is particularly useful when your event attracts different types of visitors. Think of a food truck festival where most people pay by card, while VIPs or guests with special packages receive a cash card. This way, you achieve maximum flexibility without having to choose between convenience and control.
You can see how a hybrid system works in practice across different types of events. At a large music festival, regular visitors might pay with their own bank card or mobile wallet, while crew, artists, and VIP guests use a wristband with a preloaded budget. At fairs, the setup may look different: parents pay with their own cards, while children use a preloaded card or wristband with a limited budget. At a student association anniversary week, members might use their wristband throughout the week, while family members attending for a day can simply pay via open loop.
For visitors, very little changes. Payments remain intuitive and effortless. You place your order, scan your card or wristband, and continue enjoying the event. For organizers, however, this approach provides a reliable system with valuable insights. Instead of making compromises, you combine the strengths of both worlds.
What hybrid payments mean for the visitor experience
Payment might seem like a small part of an event, but it has a significant impact on the overall experience. Any friction can influence behavior. When payments are easier and more natural, the atmosphere immediately improves.
A hybrid approach often results in:
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Fewer mental interruptions during the event, leading to more spontaneous purchases
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Faster throughput at points of sale, resulting in shorter queues
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Greater flexibility for different visitor groups, such as day visitors and VIPs
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Less operational friction, as different payment flows are unified within one system
Payment fades into the background exactly as it should.
Operational benefits without compromise
For organizers, hybrid payments are about more than flexibility. They allow you to spread risk, ensure performance, and gain deeper insights. By intelligently combining closed loop with open loop, you create a system that can better adapt to changing conditions.
In practice, this delivers:
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Stable transaction processing during peak moments
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Better management of network dependency
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More comprehensive and actionable data insights
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Greater flexibility in payment options
The system becomes less rigid and more scalable.
Future-proofing as a strategic advantage
The world of payments is evolving rapidly. New technologies, wallets, and regulations make flexibility more important than ever. With a hybrid system, you can easily add new payment methods without having to rebuild everything from scratch. A smart hybrid approach makes cashless payments simpler, more flexible, and ready for the future.
Conclusion: from choice to combination
The question is no longer whether to choose closed loop or open loop. The real question is how to combine simplicity, control, and stability.
A hybrid payment system removes the stress of choosing and replaces the old compromise mindset with an approach that adapts to your visitors, technology, and real-world operations.
Maybe you no longer have to choose between two worlds. Maybe they simply work better together.
