A point-of-sale system is how businesses—usually in retail and food service—directly receive and process purchases and transactions from customers. Most people will recognize this traditionally as the cash register, which is the most basic form, but POS systems today have advanced to further streamline the process for business owners to manage sales for all their stores.
Among today’s software solutions for commerce, there are plenty of options for POS systems Philippines based business owners can utilize to optimize sales procedures and to manage everything in one place.
If you think you’re retail business might need a new POS system, it’s good to understand first what it is and what it can do for you.
Basics of a POS System
POS systems are how businesses receive payments and process transactions directly from customers. These are often utilized by businesses that make transactions directly with customers, such as retail stores, cafes, restaurants, and groceries.
These usually consist of a POS input device such as a touch-screen monitor, a tablet, or even a smartphone through an app. To receive payments, the system can make use of a cash drawer, a credit card terminal, or both to provide options to customers.
In the case of stores and groceries, a barcode scanner may be used for easier logging of inventory. Lastly, POS systems must have a receipt printer or any means of providing a receipt to customers, depending on what they need.
POS systems can either be offline or online. On one hand, offline relies on a network of devices within a certain area, connected by a private server or wired transmission to a central computer. On the other hand, online often utilizes an app and a Wi-Fi connection to transmit all data to a central cloud service.
With all this in mind, here are some of the benefits that a good POS system can do for a retail business.
More Efficient Processes
When cash registers were used as the primary POS device, a lot of the work behind customer transactions had to be done manually. These machines didn’t keep data on product stock and information. Personnel would have to manually input prices into the register, while keeping track of inventory at the end of every day.
A POS system can automate a lot of these extra steps through specialized software, leaving personnel simply to receive payments and complete the transaction. Although they still need to operate the POS devices, they’re usually much simpler to use than the tedious work of traditional cash registers, along with sales and inventory reports, all the while minimizing human error from these records.
Furthermore, the lightened workload for personnel in retail translates to quicker transactions, resulting in shorter lines at counters and answering questions on product availability in-store is as easy as a digital inventory search. Overall, this is a huge plus for retail businesses that put a premium on customer experience.
Easy Access for Management
Bigger businesses with franchises and multiple branches would particularly benefit from a POS system that centralizes every store’s data and allows accessibility from anywhere to anyone with permission.
The cloud or online variant of POS software gives corporate management and business owners themselves the convenience of checking overall sales and inventory on their own devices anywhere. They need not wait for reports nor check on each store to gauge performance and check stock of products.
Because business owners can conveniently access this data, it’s also much easier for them to supervise and to make decisions for their whole company. They can address issues when certain products aren’t selling enough, or they can find out which branches are doing well or poorly.
Opportunities for Business Expansion
Using a modern POS system opens a lot of opportunities for a retail business to advance their operations and services to customers. Due to streamlined transaction with the help of software, businesses can try out new ways to increase sales.
Through special promotions by way of alternative modes of payment, they can attract more customers through coupons, gift cards, event discounts, and other deals that the right POS System can easily account for, versus manual input. In addition, the capacity for app-based transactions means that a business can begin offering delivery options for their products.
Lastly, a good POS system can set up a retail business for the future. All the digital processes, accessibilities, and functions offered by the system allow businesses to consider building an online store, especially to capitalize on the rapidly growing prominence of e-commerce.
Online retail is near impossible without a proper POS system, and many new customers will appreciate the convenience of doing all their shopping—whether for clothes, food, or groceries—from the comforts of home.
