What Is A Point-Of-Sale (POS) System?
If you run a storefront, you might feel that your point-of-sale (POS) setup is a core component of your everyday workflow.
Having an efficient point of sale (POS) system can go a long way in making sure that all your operations are working in unison, and retailers that spend the time and resources to implement such a system before they need it will reap the benefits. In this article, we speak to two industry experts who’ll share tips on what you must have in a POS and how to choose the best option for your retail store or restaurant.
The “point of sale” refers to the time and place when a business rings up a customer’s order. The POS system employs a combination of hardware and software components for this purpose. It’s best to understand how these components work before shopping around for a POS system. This information is crucial to budgeting for systems best suited to your needs.
The benefits of a POS for businesses in Germany
The rapid growth of digital technology in the 21st century has expanded point-of-sale technology from just a sales portal into comprehensive payment processing systems that often integrate with other business tools. These POS systems have the following benefits for businesses based in Germany:
1- Planning and analytical thinking
For instance, a POS system can help you keep track of your inventory, notice and analyze trends in sales processes, and to analyze your sales reports and other data to predict future trends and your company’s needs.
2- Automated sales processes.
The most obvious benefit of POS systems is that they make transactions faster and easier for both you and your customers.
3- Increases your business’ efficiency in Germany
With a POS system, you can manage your company’s paperwork more efficiently. Managing orders and bills, sales numbers, and reports are very convenient. POS systems don’t only improve office productivity; they also increase everyday sales efficiency with barcode scanners and credit card terminals.
4- Card-reading capabilities.
If you’re running a storefront and don’t have space for a large cashier, mobile POS systems can help. Many POS systems convert your smartphone or tablet into a POS for accepting credit card payments – just connect your card reader to your device, keep your POS app open and when prompted, ask your customer to swipe, dip, or tap their credit card to complete the transaction.
5- Facilitates personal client communication
As customers complete their purchases, a POS system allows you to collect contact information about your best customers. Using this information, you can make personal offers and develop personal communications with your clients.
6- Sales and inventory tracking.
POS systems track all of your transactions and thus give you insights into your daily revenue. Some systems include inventory-tracking capabilities through which your stock counts automatically update every time a barcode is scanned into your POS.
7- Integrations with other platforms.
If your POS can integrate with your company’s other software platforms, such as its accounting services, you can better understand your cash flow. As such, you’ll have an accurate picture of how much cash your company has on hand due to sales.
Types of POS Systems
1. Desktop POS system
These kinds of systems run on a computer or laptop, either via an app, a web browser, or an on-premises system. This register works like a regular cash register since it has cash drawers, barcode scanners, and swipers.
Restaurants, grocery stores, fashion stores, bookstores, salons, and spas are great examples of businesses that benefit from Insoft Online desktop POS System.
2. Mobile POS system
When compared to a desktop POS, a mobile POS is much smaller but just as useful. It is primarily a phone app that is attached to a card reader. As a result, you can start selling as soon as you turn on the POS software. Optional accessories include barcode scanners and receipt printers.
With mobile POS systems, businesses can accept credit card payments from anywhere with an internet connection, while customers have more autonomy over how they pay
Depending on the system, businesses don’t need heavy equipment overhauls or complicated staff training to start accepting mobile payments. Mobile credit card processing services (like Square and PayPal Here) use a credit card reader attached to a smartphone or tablet with the necessary mobile app, while mobile wallet providers (Google Wallet, Visa Checkout, Apple Pay) and loyalty mobile apps (Starbucks, Daily Deals) allow customers to pay directly from their smartphones or by using a POS scanner to read barcodes or QR codes on their screens.
3. Tablet POS systems
The tablet POS is very similar to the mobile POS, both are installed on the devices with optional attachments. Tablets differ from smartphones only in that they are typically larger, so images are displayed in sharper detail with more vibrant colors on their larger screens.
Hardware components of a POS system
These are the common physical components required to get your POS up and running.
Monitor/tablet: Displays the product database and enables other functions, such as employee clock-in and viewing sales reports. Tablets—especially iPads—are popular for replacing bulkier monitors.
Barcode scanner: Automates the checkout process. Scanning barcodes pull product info and add it to the checkout total. Barcode scanners can also integrate with inventory management systems to automatically adjust stock levels.
Credit card reader: Since the EMV payment standard went live in 2015, secure and EMV-compliant credit card readers are a must-have. Non-compliant retailers face potentially huge losses on account of fraud liability.
Receipt printer: Email and text receipts may be gaining popularity, but paper receipts remain essential for providing customers with a quick snapshot of their purchases or returns.
Cash drawer: It may fade away in years to come, but cash is still king. Until then, you’ll need a secure place to store cash for transactions. Another benefit of cash: there are no associated credit card fees.
We’re ready to help you in your POS software search
Whether you’re a small retailer or you run a chain of restaurants, we hope that the information in this article has prepared you to make your POS system as efficient and up-to-date as possible.