Spenda 17 November - 4 min read
The introduction of Point Of Sale (POS) systems revolutionised how people conducted business.
As technology evolved, cash payments and registers rapidly diminished as shoppers were gifted more payment options than ever before. Now there’s credit, debit and prepaid cards, contactless payments, electronic apps, Buy Now, Pay Later and even Bitcoin payments.
Why carry around the queen’s face on notes if all the above are instant and easy? In fact, three in four people in a US study admitted they barely use cash payments today compared to a decade ago. More than 80% of shoppers now use smartphones, tablets or some kind of digital equipment in stores for purchases. Retailers adapted to these payment methods by implementing digital POS solutions. Over the last five years or so, demand for these smart and user-friendly systems has soared.
In fact, according to a recent study, the terminal market value for POS systems will top almost $100 billion worldwide by the end of 2022. That’s on the back of a compound annual growth rate of nearly 14%.
Why? Because POS systems are evolving from glorified cash registers into clever, integrated systems.
How does a complete POS system benefit your business?
Customers will return to businesses if they are treated well and their shopping processes are made quick and easy. Not only can complete POS systems track your customer preferences, favourite purchases, history and debt owed, you can even attach individual loyalty programs rewarding their revisits to you.
Before you think tracking your customer history is stalker-ish, don’t stress. A US study found more than 83% of consumers in 2020 are willing to share their data to enable personalised shopping experiences.
One major issue for retailers losing sales is inadequate or misrepresented stock levels because simple POS systems don’t sync to these numbers in real-time.
If Walter wants a pair of croc shoes and your store has no pairs available, is unsure of numbers or when stock will be replenished … it’s likely he’s going elsewhere to keep his dress sense questionable.
Consumers are impulse driven. It’s why complete POS systems remove the chances of depleting or miscalculating inventory by letting you monitor everything in real-time across multiple locations. It’s no secret consumers also want fast sales processes, whether the purchase is premeditated or not. Integrated POS systems let retailers add photos, barcodes and descriptions to inventory items for easier navigating, slashing the time from browsing to checkout.
Managing sales and returns in a single transaction while keeping your policies open and transparent to customers is crucial. If Walter returns his pair of croc shoes because his wife yelled at him, he wants it to be a seamless experience.
Improved POS systems integrate all your invoices, payments and returns into your financial software and stock levels in seconds, not hours. By having everything digitally scored, receipts and paperwork don’t need to be chased up, meaning returns and reimbursements are processed faster for poor Walter.
It is estimated 82% of retailers closing down is because of poor cash flow according to a US study. That’s not just revenue, but also the time it takes managing financial tasks. This can take weeks to manage annually, not to mention require mountains of paperwork and repetitive data entry, which naturally leads to increased human error. Complete POS systems integrate in real-time with financial software platforms, including MYOB, Quickbooks and Xero, in seconds.
This saves a lot of time and resources because your general ledger accounts, invoices, compliance and vendor information is updated automatically. It also gives retailers peace of mind during tax time knowing you have all your data in one place.
New and improved POS modules are designed to be tablet based, meaning you can take it anywhere and everywhere and the data is safely stored on a secure cloud-based system. There is infinite staff access to complete POS systems too, meaning they are able to keep up with your business proceedings because communication and updates are made in real-time.
Users can also be assigned different access levels and business owners can approve admin to certain functionalities. Because the tablet based systems are user-friendly, businesses are saving time and resources by removing complicated training sessions.
Now that businesses are consolidating vital business components within complete POS systems, they are better prepared to make smarter decisions. These innovative POS systems also drive better shopping experiences for your customers without them having to enter a retail store. They have easy access to your products and can make payments rapidly.Having these expanded possibilities from your ancient POS system not only makes it easier to run your retail business at peak efficiency, but they are also faster, reliable and more secure.
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Many personal finance books such as Robert Kiyosaki’s classic, Rich Dad, Poor Dad, state that cash is king. It’s true — having ample cash reserves is a key part of having strong finances, both personal and business.
Point of sale (POS) systems are an excellent tool for taking and managing payments in your business. Payment features, however, are just the basics of a POS system.
Buy now pay later (BNPL) services have quickly become commonplace for consumers. Company reports for ASX-listed BNPL providers outline that the value of BNPL transactions grew by 55 per cent in 2019-20, and in the last two financial years, BNPL transactions have tripled.
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