To say the digital evolution is arguably one of the most significant retail disruptors since credit cards made their debut in the 1950s would be an understatement. Just as credit card machines became the latest phenomenon, today an efficient POS system is an indispensable tool for any modern day brick-and-mortar retail location.
In fact, according to a recent point of sale industry report, the POS terminals market value is expected to reach $98.27 billion by 2022 — that’s a compound annual growth rate (CAGR) of 13.5 percent.
From customers demanding a more personalized experience to businesses relying on data to make smarter business decisions, a POS system is at the center of it all. It’s the intersection where business logic and real-time business transactions meet, and it’s where all the action happens.
As a merchant, it’s essential to stay on top of the latest trends in POS technology so you can stay steps ahead of your competition. Here are five point of sale trends to watch for in the near future.
Increase in mobile payments and tablet POS
With the digital age and new technology, cash and cash registers are quickly becoming a thing of the past. Shoppers have more options than ever — from credit, debit and prepaid cards to contactless payments and making purchases via electronic apps — all of which offer a variety of advantages that cash can’t touch. Cashless payments provide speed, convenience, guaranteed payment for merchants and security and transparency for both consumers and merchants.
In fact, 73% of shoppers say they use less cash than in the past and eight of 10 customers worldwide use a tablet, smartphone, a computer or some form of digital technology within the store as they shop. Not only that, but 82% of consumers say they first refer to their mobile devices to find out more about any purchase they’re about to make in a store.
A seamless personalized customer experience
A critical factor for success in today’s highly competitive market environment is the proper and timely use of technology to enhance customer relationships and improve the quality of the customer experience — all while streamlining the daily activities of your retail establishment.
Personalization is key, as 79% of consumers said that they will only engage with a brand if their promotional offers are customized to how they have interacted with that brand before, and in another survey, 91% of consumers said they tend to shop with businesses who are aware, can recall and give offers and suggestions relevant to them.
Looking ahead to the future
As POS technology continues to evolve — becoming more affordable, intelligent and ingrained into core business operations — merchants will have every opportunity to create a smart retail environment that not only offers the products customers want, but also the ideal customer experience.
1.Bring out offers that are affordable to your customers, but still profitable to you!
Applying promotional pricing for items correctly needs an in-depth detail of items and proper analysis. The retailer needs to know which items aren’t moving and just consuming the shelf space. For them, this information is vital for estimating the prices of those items. And, POS system perfectly plays its role here. It not only displays complete inventory information, but also renders the ability to generate deals, offers, coupons, etc. Moreover, it also lets you view their effect on entire sales. Isn’t this much valuable to any retailer? Of course, it is!
Besides, at the heart of the deal is the customer. Sharing customer information across the stores — their purchase history, interests and trends — can let your customers avail the offers across your all stores at different locations. And, POS supports this as well.
2. No downtime
Since data is stored on your computers and not a remote server, you can continue to run your business when your internet connection is down or slow. POS will start working again when your connection comes back.
3. Consistent pricing
Maintaining price consistency across your different outlets is not a big deal with POS. Using POS, retailers have access to the digital database of the products. Through this database, they view and amend the prices, apply special offers, generate discounts, etc. And, this gets automatically applied across all store locations.
4. 24*7 support
Clocking out is not what a business owner can really think of! And with POS, this can be made quite convenient. Being a cloud based application, the owner can check customer analytics, sales, inventory management, and purchase orders anytime and from anywhere.
5. Strong inventory management
It is very important for a retailer to know how much inventory they have, how much is moved out of the store, and how much they need. Traditional approaches to stock management require merchants to physically review their current level of stock on a regular basis. Naturally, this can be a laborious and time consuming process, especially for large scale businesses. Executing this without a POS involves a lot of manual counting and paperwork. More so, a lot of guesswork also at times. But, POS system automates the entire process and does the most of the work for you. What you need to do is: simply scan the barcode, enter the count, and specify the price. And, POS does the rest! It tracks your entire inventory, lets you know what is to be ordered, enables you to create purchase orders and keeps count of the on-hand inventory.
6. Easy returns
POS systems easily retrieve customer product history. So, you can anytime check what a customer purchased, when he purchased and for how much. This simplifies the return process, as and when initiated. Result: create a better business in the long term.
7. More happy customers
Automatic tracking of purchase orders, special orders, and work orders through POS systems saves time shunning delays and mistakes. And, the time saved can be better spent helping their valued customers.
8. No fear of thefts
Retail stores are always vulnerable to employee/customer thefts. And, these losses are quite painful to absorb. Acting as a vaccine, a POS system endows you with a stronger control on your items. The stronger your items are tracked, the less likely they are to be stolen. That is, you relish a well-maintained inventory. And, it is difficult to take advantage of a shop through shop-lifting, sweet-hearting or manipulations with well-maintained and tracked inventory.
9. Accept different payment modes
Different businesses get paid in different ways. Handling which can be cumbersome at times. But, not with POS. It supports all modes of payments whether it be a cash, cheques, or any other online transfers.