What You Need to Know About a Point of Sale System

Point of sale systems (POS) help improve the day-to-day responsibilities involved with running a business.

A POS system or point of sale system is a way to manage the sales and retail of goods. This term is used to refer to the software and hardware that is related with check-out stands and all of the bundled features which are included. To simplify, it is the location where a transaction takes place. Point of sale is also sometimes referred to as the Point of purchase or POP. A POP terminal is used to manage the selling process by a salesperson-accessible interface and the same system allows printing of the receipt of each transaction.

Almost all retailers make use of the point of sale system at their checkout stands or counters. There are even several major manufacturers that offer POS systems which are designed for different types of businesses such as grocery stores and clothing boutiques. With the use of a POS system, running a business becomes well-organized, thereby reducing the cost of business operations while improving customer service and making the business a more pleasant place to work in.

What is POS?

In the retail business, the “point of sale” is the time when a customer approaches the counter preparing to purchase the goods or items. The POS system is the one that handles the transaction whether it is in a form of using a machine or terminal or just by hand-writing a receipt. Small establishments or small businesses usually make use of a computer system for the POS.

Types of Point of Sale Systems

A cash register is the most basic POS computer system. With a cash register, the sales clerk can ring up the goods and produce a printed receipt for the customer. Most cash registers can also be used to print out a daily report which is used to reconcile the cash register and prepare for a deposit by the end of the day. There are also POS terminals that are more complex, featuring a more detailed report of transactions. These types of registers have memory functions where business owners can look up reports from the past transactions or even generate monthly and yearly reports.

A more intricate POS system has numerous bundled features. There are many POS systems that are capable of conducting inventory management which allows tracking of each merchandise entered into the system. Some systems even allow business owners to create purchase orders from within the system with the use of data about sales and product popularity. Other features can actually be incorporated into POS systems. Business owners may choose to add time clocks and other accounting features, such as credit card verification to improve service to customers. The human resources personnel may even store employee records in a password protected area, separate from the main system used for transactions.

Having your own POS system will allow you to take full control of over all aspects of your business. In addition, it will also aid in providing first class customer service which might be one of the reasons why customers will keep coming back to your store.