To start with, what is a POS system? POS stands for Point of Sale. This is a system that can be used in any retail or hospitality business. It is a computerized system that is operated by a main computer and linked to several terminals. The system is also supported by different hardware features starting with bar code scanners, receipt printers, cash drawer, ending with card payment terminals. You can even link it wirelessly to handheld devices. The POS system can easily help you, as a business owner, to track sales, cash flow, inventory and many other functions.
Benefits of having a POS system:
So what are the benefits that will return on me when having a POS system? How will it differ
than the normal cash register that I already have?
Here are the advantages of the POS system over the cash register or cash box:
1. Reporting: The software provides you with detailed sales reports. You can analyze these reports in different ways. For example, you can analyze it by item sold, time periods, promotions, by store if you have more than one, or even by sales clerk. These different types of analyses can serve you and your business in different aspects.
2. Inventory system: Unlike the cash register, a point of sale system often includes an overall inventory management system. You can use a point of sale system to track your biggest sellers. It can also monitor your sales and alert you to reorder when a given item is at the reorder point. You can also see your real time inventory at any time. This is something that no cash register can do.
3. Faster: Point of sale devices provide faster service than old fashioned cash registers. This is true for every part of the process. From reading the bar code on the sold item to authorizing a credit card transaction and printing a customer receipt. All of these transactions are faster on a point of sale device.
4. Security: In your business, it is important to keep track of every cash receipt to prevent theft. Most of these systems provide an audit trail so you can trace any problems.
5. Human Error elimination: POS systems can eliminate human errors. Point of sale devices have built in checks to ensure that the information is entered. This in turn will save you money in the long term.
6. Supervision: Point of Sale system provides side access; so you can manage your business via internet from anywhere anytime. This way you can have full supervision on your sales and your staff even if you are away.
7. Simplifying accounting: Point of Sale system can simplify the accounting process. Unlike the old fashioned registers, you don’t have to sort through hundreds of receipts. You also don’t need to hire a number of accountants to maintain thousands of transactions. The financial personnel can simply use the built in reports in the system to follow up the accounts or they can even build their own reports to do so.
8. Promotions and discounts: You can also add your promotions and discounts on the POS system. If you have various promotions in different locations or on various items, you can easily track to what extent these promotions are using the system.
9. Better CRM: Point of Sale system helps you have better customer relationship management (CRM). You can easily find a record of a one or more customers. This will help the customers to easily return or exchange their purchase in no time. You can also add your customers to loyalty programs if you have one. If you have any promotions you can easily sent them to your customers using their data that you have.
Finally, this is an advice that you can bear in mind while searching for a POS system. When looking for a system, look for one that can start small and grow with your needs. If you are on a tight budget, you can begin with a basic setup; for example, it can be only POS system with just a drawer and a receipt printer. Then as your business grows, you can add on to it according to your needs.