With feature-packed and intelligent software, point of sale systems are now more frequently being used by businesses. In fact, they're quite a necessity. Gone are the days of traditional cash registers that offer very little beyond checking items out at the counter. POS systems provide valuable insight into sales and customer information and accurately track day-to-day store activity, empowering business owners to make smarter decisions that help the business more efficiently render savings and increase revenue.
Let's talk in more detail about exactly how a POS system can help your business increase revenue.
How a POS System Will Help You Grow Revenue
1. Make Smarter Restocking Choices with Real-Time Inventory Tracking
It is crucial for retailers to accurately monitor and manage inventory, as too much or too little in stock can cause significant revenue loss.
Findings by the National Retail Federation show that American retailers suffer approximately $244 billion due to excess inventory, and $45 billion because of a lack of it. It's money that your business might be losing (or missing out on) without your even realizing it. But the manual checking of inventory entails a considerable amount of time and manpower, especially for retailers with a plethora of products; so it can be inconvenient to do regularly, to say the least.
However, with a POS system, you can reduce the need for manual checks as it automatically updates the inventory records once an item is checked out. This helps save time and resources on inventory tracking in the long-run and accurately monitors sales information so that you can make smarter restocking choices. The POS unit can track which products are selling well and which are stagnant on the shelves, so that you can invest more in profitable items and less in the ones that just don't sell.
2. Save More Through Better Supplier Negotiations
Some POS systems also keep track of historical supplier information, such as the rate most recently paid to a supplier for an item or the average price paid annually. This empowers you to negotiate for better deals, resulting in savings for the business. It's not just about making more money with your customers. It's about saving more money with your suppliers and vendors.
Keep a closer eye on the numbers that matter, with a method and tool that's streamlined and automated.
3. Keep the Lines Short and Customers Happy
Since the POS software stores all of the product and sales information in its system, this reduces the need for cashiers to manually input information at the register. This minimizes the risk of human error, so those manning the till can focus on attending to customers and keeping the line moving, enabling the business to serve more people throughout the day.
4. Anticipate Customers’ Next Purchases
A good POS system also comes with tools that allow you to understand and engage with your customers. It can store a customer’s historical purchase information, which can lend insight into their interests and what they are likely to buy so that you can anticipate and even encourage the next purchase.
For example, if a customer frequently buys instant noodles from a convenience store, you can alert them when their favorite brand is back in stock or encourage them to try out a new flavor that’s newly shipped in.
With a POS system, you can also easily determine which promos and discounts are worth repeating based on the tracked number of customers who availed of it. Through engagement, you can build better relationships with your customers and encourage repeat purchases. When you're able to build a more personalized experience for your customers, you'll bring more people in the door and keep them there.
5. Give Customers More Ways to Pay
Retail has evolved beyond the traditional physical store and cash payments. More and more, customers are utilizing diverse payment methods, such as credit or debit cards to contactless payment via NFC and mobile wallets. Many also prefer to shop online or via a mobile app.
Businesses that do not grow and evolve with the times run the risk of losing revenue opportunities if they do not provide the convenience that customers are now accustomed to and can easily get elsewhere. Make no mistake about it: Customers will walk out the door if your business doesn't accept the type of payment they strongly prefer.
A good POS system empowers you to cater to different kinds of payment methods and can even consolidate the sales information of both physical and online stores so that you can serve customers better, no matter how they choose to shop and pay.
A high-quality POS system will grow alongside you and your business, and it will easily adapt to your evolving goals and needs. If you want to take your business to new heights, investing in the right software and technology is an absolute must.
If you’re ready to make the switch and start maximizing your revenue with a point of sale system, check out True POS. We are the go-to hub for all POS needs and provide end-to-end solutions for customers. We can tailor fit your POS system so that you’re equipped with a powerful toolkit to grow and address your business’s specific needs.
New adopters need not worry, as beyond the tech, True POS also provides excellent customer support from setup and usage training to system maintenance, so that you don’t have to worry about getting your POS system up and running in a timely manner.