Businesses of any size seek ways to streamline processes to save both time and money. For those in retail sales, technology has made it possible to sell all types of products and services from all types of locations, including stores, websites and from anywhere that a business has an Internet connection, whether the connection is wireless or through a land line. Point-of-sale systems can be used with smart phones, tablets, computers and cash registers. As a result, customers get their products quickly and businesses can reduce all kinds of costs associated with holding inventory and getting the purchased product to the consumer. Point-of-Sale or POS makes it possible for businesses to increase sales while being efficient, which translates into more profits.
How Does a Retail Point-of-Sale System Work?
Retail point-of-sale technology incorporates several aspects of sales into one system that can track sales from purchase to delivery, whether the purchase is made at a retail site or through a web-based store.
The software used in retail point-of-sale systems makes it possible for a retailer to collect payments immediately. When a consumer pays by credit or debit card, the point-of-sale system retrieves the funds from the customer’s account immediately. This is accomplished through an electronic connection to the retailer’s bank. The point of sale system allows the merchant to track all aspects of the sale, including payments, discounts and taxes.
Advantages of Retail Point-of-Sale Systems
A major advantage of using a POS system is the inventory control feature. The inventory-tracking feature in point-of-sale systems can remove items for inventory at the time of purchase. Having built-in inventory control makes it possible to inventory on an on-going basis. This can reduce the amount of work needed to assess inventory at the end of the year. When there is more than one retail site, all can be linked to the same system, which makes it easy to keep track of popular items and provides a means of evaluating what needs to be replenished. This helps a merchant avoid overstocking items that may not sell quickly.
Retail point-of-sale systems can save money and increase profits by eliminating processes such as data entry that may be required to collect credit card payments when traditional payment processing methods are used. This also reduces the work needed to keep track of inventory. Records of sales, taxes, inventory and other information related to sales can be retrieved and compiled into a single report or broken out into separate reports as needed. Retail point-of-sale systems are also a resource for email marketing. When consumers provide email addresses at the point of sale, a merchant can send information regarding upcoming sales, special events and discounts. This is an excellent way to build customer loyalty.
A POS system reduces the need for extensive data entry. With traditional payment systems, processing credit card payments might be done at the end of the day. It is easy for merchants to get started with retail point-of-sales system. NCR Counterpoint offers state of the art point-of-sale solutions.
This article is contributed by Matthew Rhodes