What are POS systems?
A point-of-sale (POS) system is a device that allows merchants to accept payments from customers. It may be a single card reader that connects to a smartphone or tablet, or a network of interconnected terminals capable of scanning barcodes and printing receipts. Hospitality POS systems may also include printers that output order tickets in the kitchen after front-of-house staff enters orders, or after a customer orders online.
Unlike traditional cash registers, modern POS systems require both hardware and software to function. The software may be cloud-based, which means store managers can access sales data from anywhere.
Considerations when choosing a POS system
Data capture
POS systems can do a lot more than just process payments. They can also capture customer data that you can use for marketing campaigns. For example, if you want to set up a loyalty program, you could use a POS to collect customer phone numbers and emails at checkout to enrol customers.
Data reconciliation
The best POS systems for retail automatically reconcile transaction data, sync daily sales totals with receipts and cash drawers and reflect real-time inventory availability.
Detailed inventory management
Some POS systems for retail allow you to upload your product catalogue and create unique SKUs for every product, which is a helpful feature for tracking stock levels. This functionality may also alert retailers when it’s time to reorder. With some systems, you can even do this from the POS dashboard.
Employee time management
If your employees use a time clock, you might be able to use a POS system to track time instead. Some systems let employees clock in and out using a unique PIN. One benefit of tracking time this way is that managers can see transactions and average order value by employee, which can help identify top-performing sales associates.
Hardware required
Some POS systems may require you to purchase their proprietary hardware, while others may allow you to use your own iPad as a payment terminal. For ultimate flexibility, look for a system that lets you pay for only the hardware you want.
Payment methods
Retail and restaurant POS systems might need to accommodate a range of payment options, such as:
Debit, credit and gift cards
contactless payments
store credit
reward points
a field for gratuity
the ability to split payments among parties
refund-processing.
Integrations
B2C businesses may use a variety of essential software platforms. Make sure any POS system you’re considering would integrate with your preferred tools and platforms.
Security
When you’re processing customer payments, you want some assurance that your POS system is secure. The most secure platforms offer end-to-end data encryption, fraud detection and PCI-compliant hardware.
CRM functionality
POS systems with CRM features let you build customer profiles with notes and sales history. That information lets you demonstrate your commitment to customer service. For example, you can let a customer know when an item they frequently purchase is on sale or send them a discount offer for their birthday.
Onboarding and support
Learning how to use your POS system and all of its features is easier when you’ve got access to 24/7 support. Some POS systems even offer one-on-one onboarding.
Digital and on-premise use
With the right POS system, you won’t need separate platforms for managing an ecommerce store and brick-and-mortar locations. A single interface lets you sync inventory across your digital and physical stores to reduce the risk of stockouts.
Integrate your POS system with MYOB
Check out the MYOB App Marketplace to discover which POS systems integrate with your MYOB business management platform.
With MYOB, you can connect all the workflows you need to run your business — from serving your customers, to managing your suppliers, employees, projects, finance, accounting and tax. Have everything you need to run your business in one place.
Get started with MYOB today.
Disclaimer: Information provided in this article is of a general nature and does not consider your personal situation. It does not constitute legal, financial, or other professional advice and should not be relied upon as a statement of law, policy or advice. You should consider whether this information is appropriate to your needs and, if necessary, seek independent advice. This information is only accurate at the time of publication. Although every effort has been made to verify the accuracy of the information contained on this webpage, MYOB disclaims, to the extent permitted by law, all liability for the information contained on this webpage or any loss or damage suffered by any person directly or indirectly through relying on this information.