As its title suggests, in this article I will try to answer the question when the time has come for your business to implement a new POS system. They are a number of tell-tale signs that it’s actually high time you invested in a new POS platform.
What Is a POS system?
Surprising as it may sound, there still are people out there who are clueless as to what exactly a Point of Sale System is, or how it works.
These technological Neanderthals should remember that: A point-of-sale (POS) system is the final stage of a monetary transaction in any kind of brick-and-mortar business.
It’s typically thought of like a cash register, but it can also be a computer or tablet with some POS software installed on it.
As digital technology is booming, POS tools have become more sophisticated and more essential to your retail business.
Why Should You Upgrade Your POS System?
Because upgrading your POS software will greatly impact the way you run your business. It will simplify many complex and time-consuming tasks and create a better customer experience. Also, it will help to make your business more productive.
If you feel you’re lagging behind the competition held back by that rudimentary POS you started out with, it may be time to re-evaluate your choice as your business grows.
How To Tell That It’s Time To Update Your Point Of Sale System?
1. Your Business Is Expanding Rapidly
When your business made its first feeble steps, you felt pretty OK using just a notebook and a calculator to track your sales.
But as your venture has become stronger and more viable, transcribing receipts onto a spreadsheet or manually adding up employee hours has become a task too complicated and cumbersome to deal with manually.
You have finally come to realize that streamlining your bookkeeping tasks into one efficient program will not only save you some precious time, but it will also reduce the chance of human error.
The cost of investing in a new POS system is infinitesimal when juxtaposed with potential profits loss and wasted man-hours.
2. Stocking And Inventory Management Slip Out of Control
Keeping the right quantity of products in your warehouse and on the shelves can either be a matter of luck, or an exact science. It depends on whether or not you have the right POS software to help you out.
Stock too much of the wrong product, and you’ll end up wasting your hard-earned money and some valuable shelf space. Stock too little of the right products and you’ll end up missing out on sales.
Your new POS software can alert you:
- When it’s time to resupply products that are running low
- How well or how badly certain products are selling
- If another location (or warehouse) of your business has a particular item in stock
A POS system can also help you track and manage your inventory. This is especially useful if you are planning to expand your business into multiple locations.
The system will also allow you to adjust your prices in real-time, so as to guarantee that they are always accurate and up-to-date.
3. You Want To Focus More On Marketing
In order to target the right group of customers, you should get to know who exactly they are. With the help of some modern POS software, you can store customer data as well as their purchase history to create a precisely targeted marketing campaign.
You can also use your new POS to put in place a customer loyalty and rewards program. It will encourage your most active customers to repeat their purchases and spend more money in your store.
Some of the immediate marketing benefits are:
- Redeeming accumulated points for a discount
- Trading loyalty points for free items
- Exclusive access to VIP customer promotions
- Get notifications about oncoming hot sales before the general public
4. You Feel That You Can Track your KPIs More Effectively
To be able to compile and enter all your financial data with relative ease is one thing. But having the time it takes to analyze the figures and determine your ROI is quite another.
Maybe your hands are so full that you’re not even sure where to start. Do not worry, because your new POS system can show you how your business is doing and help you identify the areas of improvement.
Some key performance indicators are:
- Transaction value per customer
- Consumer spending habits and sales patterns
- Employees performance
- Top-selling items
5. Your Old POS System Is Dying
If training new employees on your outdated POS system makes you ashamed of yourself, or your staff is constantly frustrated dealing with the unresponsive software, it is time for an upgrade. Your POS should make the life of your staff easier, not more difficult.
A truly user-friendly POS easily sync with other tools, such as your payment processor, and guarantees seamless transactions. Your employees will be smiling all the time and your customers will also be happier and more satisfied. It’s a win-win situation!
How to Choose The Right POS For Your Growing Business?
If any of the situations described above sounds familiar, it’s definitely time to take a look at your current system, whether it is some outdated software, a clunky cash register.
Running a successful business means that you are able to quickly adapt to the new market situation and you can tell when you’ve outgrown your existing practices.
Our consultants can tell you which Point-of-sale systems can best help you expand your business and always stay a step ahead of the competition.
When You Decide To Upgrade Your POS, Consult Your Employees
You do not need to be a business guru to understand the logic behind my idea. After all, your staff will be using POS every day.
Surprisingly, many business owners fail to realize that a successful POS implementation begins before the software has even been chosen. As a first step, you should engage your staff in the selection process.
Thank you for the time you took to read this article. I hope you now know whether it is time to implement a new POS system and what steps you should follow.