How to Choose the Right POS System for Your Business

The United States is home to more than 1 million brick-and-mortar retail establishments, and most of them have one critical thing in common: a POS system. Without a POS system, accepting and tracking sales and customer payments can be difficult, hindering an essential operation within your company. Fortunately, choosing the right POS system for your business doesn’t have to be a challenge. Here’s a look at how to approach it.

What Are POS Systems?

Point-of-sale (POS) systems include the technologies retailers use to facilitate sales and track payments. This includes both the physical hardware involved and the software that lets it all run correctly.

Generally, the simplest version of a POS system is a cash register. However, modern POS solutions have far more capabilities than a cash register does, integrating a variety of functions and features to simplify key parts of operations.

However, advanced POS systems can have additional capabilities. Some integrate with or serve as inventory-management solutions, which can assist with inventory monitoring or restocking and order planning. Retail analytics features are increasingly common, and some may include capabilities typically found in customer relationship management (CRM) solutions.

How Do They Help Businesses?

Investing in the right POS system provides companies with a variety of benefits. The main one involves the tracking of purchase transactions and managing payments. Essentially, they’re the primary solution for ringing up sales, making them an integral part of retail operations.

More advanced POS systems also do far more. They can provide reports to outline what’s occurred over a specific period or include analytics capabilities to support decision-making. Inventory-related features make maintaining stock levels easier, while CRM features can assist with customer management and engagement.

Ultimately, POS systems are becoming more robust, mainly due to advancements in technology. As a result, they can provide a wide array of benefits to assist with the management and growth of retail companies, often in surprising ways.

Tips for Choosing a POS System

When you’re getting ready to select a POS system for your retail business, the first step is to understand your company’s needs. You need to identify any must-have features, as well as any capabilities you don’t require. Additionally, setting a budget is essential, as POS systems can run the gamut when it comes to cost.

It’s also wise to consider cross-compatibility with your existing hardware if you have any in place, as new hardware is often expensive. Integration with other solutions you already have in place – such as an inventory-management system – is another critical consideration, as that can cause some POS systems to rise above the others due to other aspects of your existing setup.

Finally, consider any future needs. Even if a specific feature isn’t necessary today, you may want to consider acquiring a solution with it if it would provide value down the road. That reduces the odds that you’d need to replace the POS system if your business grows, allowing you to avoid a potential headache later.