Quick, what’s your biggest seller? How much inventory do you have on hand? How successful was your last sale?
Do you have that information at your fingertips in real time? If not, you’re missing out on valuable data that could change the way you run your business.
Knowing your customers and their buying habits helps you make strategic decisions for your business. Having inventory data makes your ordering process more efficient.
But calculating that information manually takes time. Traditional systems make it difficult and sometimes impossible to collect the data you need.
That’s why your business needs a POS system. It does so much more than let you process customer sales.
Keep reading to uncover our top seven benefits of a POS system.
1. Improved Customer Experience
If you fail in customer service, you lose money. It’s estimated that American businesses lose $62 billion annually based on bad customer service.
POS systems streamline the checkout process. Customers can get in and out faster, which leaves them satisfied. At your busiest times, your staff can get customers through the checkout faster.
Mobile POS systems let you set up temporary checkout stations anywhere in the store. This can help ease the congestion at the registers when you’re busy. You can read this article to find out more about mobile POS and other types of POS systems.
The system allows for various payment options with quick processing. Some newer systems let people pay with ewallets for payments without cash or cards. That makes customers happy because they can pay in their favorite way.
Detailed receipts let customers look back at their purchases to see specific details. They can see exactly what they bought, how much they paid, and any discounts they received.
You can also track your loyal customers using the system. The data gives you insight into their shopping habits, including the type of items they regularly buy.
Repeat customer data lets you customize special offers. It helps you plan sales or special promotions.
All of those actions help you engage your customers more. It builds brand loyalty, which helps you grow your business.
2. Easy Implementation
Upgrading technology can seem overwhelming. Who has time to learn a complicated new system and train their employees to use it?
A POS system alleviates those concerns. They’re very user-friendly, which means your staff can learn how to use them quickly. Digital, touchscreen devices with intuitive interfaces simplify their use.
You eliminate lengthy training sessions for your employees. New employees can start working sales quickly because of the intuitive system.
3. Real-Time Inventory and Sales Data
Do you struggle with inventory management? POS systems accurately tell you what you still have in stock and what sells. You can quickly see how many green shirts in your most popular style you still have in stock.
Real-time inventory information is critical for keeping things in stock without ordering too much inventory.
Sales information also lets you know which items are popular and which items don’t sell well.
Sales data provides information on when you sell most. It might show an increase in sales during big promotions. You might discover that weekend afternoons see the heaviest sales.
This data helps you capitalize on those times. Looking at the slowest times shows you where to focus your attention to increase sales. You might start offering a special promo during your slowest times to draw in more customers.
4. Time and Cost Savings
Yes, you invest money when you purchase a POS system. The efficiency of the system can help you save money over time.
POS systems let your staff complete the checkout process much faster. They also streamline inventory management, sales data analysis, and other processes.
That time savings means your employees can get those tasks done faster and move on to other things. Not only does that help speed up business processes, but it also lets you maximize the dollars you pay for labor. You get more work out of your employees in the same amount of time.
You are also better able to manage your retail business with the POS system. The data helps you make smarter ordering and management decisions. You can stay on top of your finances with real-time information to inform those decisions.
5. Improved Accuracy
When you use a manual system, it’s easy for employees to enter information incorrectly. POS systems help reduce human error. They track and calculate everything automatically so your numbers stay consistent.
Many POS systems also integrate with your accounting software. The sales numbers automatically transfer to cut down on errors. Instead of sorting through piles of receipts, the system does all the work for you.
If you manually transfer the numbers, you might accidentally enter numbers wrong. Even one small number error or misplaced decimal completely mess up your company books.
6. Employee Tracking
You can’t always be at work. Do you know what you’re employees do when you’re gone? Do you spend hours tracking when employees work and how much they sell?
Robust POS systems let you track employee time to enable accurate pay for the hours they work. Employees can clock in and clock out using the system.
You can also see the sales for different employees. This data reveals your top performers and those who may need a little more coaching. If you provide sales-based incentives to employees, the system makes it easier to track that.
7. Pricing and Promotions Management
Sales, promotions, and loyalty discounts keep customers coming through your doors. Tracking those price fluctuations becomes easier when you use a POS system.
The system lets you automatically apply the appropriate discounts. This reduce the risk of calculation errors and makes the discounts consistent.
You can also gather data on the discounts you give. Which ones help generate the most new sales? Which ones weren’t effective?
The information lets you plan for future promotions to maximize the efforts.
Why Your Business Needs a POS System
Now that you know why your business needs a POS system, what are you waiting for? Switching to the system is easy, and you can start realizing the benefits immediately. Check out more of our small business articles for additional advice for running your business.