Digital/electronic payment systems...just WHO is it that actually benefits ?

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Makes sure every transaction is counted (no cash). Makes taxes easy; realize that Jazzfest uses to have auditora that had to go to each vendor. Just like casinos, you part the spender from actual money. They spend more.

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It’s actually probably an easier than that…. Almost no one carries cash anymore so digital/electronic payments are necessary if they want sales.

Also, for large events with lots of temporary workers you can really cut down on theft when there is no cash to steal.

If Vendors are smart they will just raise their prices 10-20% to cover the 2.5% processing fees and come out ahead. Although not being able to stuff 25% of cash sales in their pockets without paying taxes will hurt them across the board. If you think about the demographics of the entire fest there were certainly a few segments who came to Jazzfest with a certain amount of cash and spent no more than that. Now that it's card only the average spend per person will jump. It's not good for society or America, but in the long run or maybe even short run they will make more money and save time and money dealing with all the cash and preventing theft of any sort.

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just WHO is it that actually benefits

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The owner - Jazzfest, Gretna Fest, superdome food vendor and drink vendor company, etc.

Jazzfest didn't go cashless to make things easier, they did it so they could make sure they were collecting all the money they could. JF controls the beer inventory, if the booth is short, the booth pays for the shortage, JF is made whole. This could be controlled prior to cashless because JF knew what your inventory was at the start and end of each day.

But prior to being cashless, food vendors could sell food for cash and pocket it. JF wouldn't know and wouldn't get their cut. Now that it's cashless, all food vendor sales get recorded and JF takes 20% or so of the gross revenue.
It's all about money for whoever is in charge.

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With Jazzfest it was a major operation for them to keep up with all the cash. I know with the beer booths they would send armed security to the booths several times a day to make pick ups. The staff needed to record and track the cash each day must have been pretty big.

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Its primarily about profits for JF...but this was a huge deal. Most people never knew there was a huge bank for vendors in the grandstand with serious security. I was told the amount of cash going through that bank on a busy JF day was equivalent/greater than a triple crown horse race. Not sure I believe that but still getting rid/downsizing the cash bank is a big deal.

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Most people never knew there was a huge bank for vendors in the grandstand with serious security.

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Oh yeah.
1 beer booth can handle $30-$50k per day.