The most important reasons why businesses need a POS system.
So you’re a business owner and you’ve either heard of Point of Sales systems or you currently make use of one. If you’re new to POS then it’s time to convert and if you’re not, then it’s time to make sure that your system is adding value to your business.
Let’s first start with an explanation of what a Point of Sale is exactly.
What exactly is POS?
POS stands for Point of Sale or Point of Purchase. It’s the place where a transaction is carried out between a seller and a buyer. Point of sale can also be the Point of Return or Refund.
So when you’re receiving a purchase from your favourite store and making a payment. That is the Point of Sale moment or ‘Kaching’ – A Point of Sale system is a combination of point of sale hardware and software, that allows a business owner to complete a sale or refund and take a payment.
Point of Sale systems vary in terms of the functionality, integrations and costing. It can get quite confusing especially when you’re new to POS systems and looking to invest in one.
We’re going to provide you with the key terms that you should take note of when looking to buy a complete POS system or if you’re looking to upgrade your current system.
A point of sale system is the heart of a business and is used for many essential operational tasks such as;
- stock and inventory management
- supplier management
- Provide real-time information and reporting
- staff reporting and management
- price adjustments
- sales reporting
- customer data gathering
- marketing initiatives
- customer loyalty
As a business owner you need this information to be able to make better informed decisions to ultimately help you increase your sales and grow your business.
What are the benefits of implementing a Point of sales system in your business?
- Run your business from anywhere
A cloud-based POS system allows you to run your business, literally from anywhere. The ability to be online and offline is a major plus for today’s environment, with customers wanting to have a seamless experience, from in-store shopping to online shopping.
Imagine running multiple systems for both an in-store and online environment? Without an integrated system this is a massively daunting task. You really do need to know what’s going on in your business at all times and this is only achievable by using a cloud-based, omni-channel POS system.
- Save time and money with an easy to use system
It shouldn’t take rocket science or a masters degree to set up and use a POS system. However, many POS systems are complex and not user friendly, forcing business owners to make use of archaic systems such as excel and even paper.
A user-friendly system won’t have you spending hours on setting up your products or hours on training your staff. Products need to be easily set up or imported, edited or removed as needed.
The Till screen itself can be customised to show your favourites, to make it quick to process sales. This also helps to speed up the checkout process and avoid queues, add the ability to run your system on a mobile device that can be moved throughout the store and you have a great customer experience.
With real-time reporting of stock and sales, you’re able to quickly understand what your top selling products are and what’s not, making it easier for you when it comes to replenishing items or when it comes to running promotions to drive sales.
- Real-time reporting and analytics to make better business decisions
Most importantly an all-in-one POS system will give you the data you need to successfully manage your business. Without this data you’re unable to accurately forecast, which has a major impact on your cash flow and business performance.
Let’s share a practical example:
If you’re a bakery and you know that you use between 100 – 200 eggs daily to make the delicious treats that you sell. If your stock management system is unable to know many eggs you have left for the day or how many you’ve used in a day. Well then, you’re going to either land up running out of eggs or you’re going to start a chicken farm
- Increased traffic and additional sales channels
It’s all good and well having a physical store, but what are you doing to get increased feet to your store and are you making use of additional sales channels.
Having an integrated POS system with an e-commerce online store will drive online sales, brand awareness and feet to both your online store and your physical store.
Consumers want the convenience of being able to buy from you where they feel most comfortable and with the digital age upon us, you need to have an online presence. The beauty of an integrated system is that you can sync your online store with your Point of Sale so that you can manage your stock, checkout and shipping in one place – Voila!
Now you can sell to customers regardless of your location and operating hours.
- Better stock and inventory management to reduce overhead costs
Stock management can be an absolute nightmare if you’re not getting the live reporting you need to accurately predict your business needs. With real-time data you’ll know what items move quickly, what days are your best performing and how to then allocate spend towards those. Easing up your cash flow and ultimately improving your bottom line.
The main benefits to note are:
- Manage stock orders, transfers and adjustments
- Never oversell or under order
- Audit trails on stock movements
- Better forecasting
- Supplier management
- Low stock level alerts
You can’t manage what you can’t measure is the name of the game here.
If you’re looking to compare how Point if Sales systems stack up here’s a quick table to help you make the right decision.
If you have a POS system or you’re looking to find out more about POS systems, let us set you up with a free online demo of our all-in-one humble POS system.
We’re trusted by thousands of retailer with the daily running of their business – Click HERE to set up your demo with one of our Retail POS experts today!