A POS system should do more than ring in sales
Five retail point of sale strategies that will grow your business
By Jeff Maine
There is no time like the present to re-evaluate your POS system. Advancements in software and hardware have turned what was once a ‘cash register’ into a complete business management system that helps manage sales, inventory, customer loyalty and employee satisfaction. Business owners now realize they need a contactless and e-payment system; those features of a POS system are just the tip of the iceberg. A POS system can enhance your crucial business strategies.
A sales strategy is a plan you execute to attain your company’s goals. With the help of advanced reports produced by your POS system, you can analyze and evaluate data that defines indicators for practical purposes for your sales strategy.
PRO TIP: Your POS should be able to track and compare Key Performance Indicators (KPI) such as sales by item, time, employee labor, sales vs. labor costs, etc.
Inventory management strategies
Inventory management can be tricky. You need to know what’s in your store, when it’ll run out of stock and how much you should order from the manufacturer that month.
PRO TIP: Your POS system should have real-time inventory monitoring and an optimized approach to inventory tracking and management.
An effective marketing strategy should offer to cross-sell items to complement a purchase.
PRO TIP: Your POS system should automatically suggest other products perfect for accompanying an item just purchased by the customer. Marketing tactics also can include gift cards, promotions and customer-loyalty cards to encourage your customers to come back and spend more.
PRO TIP: A good retail POS system can save time by determining the percentage or value of money you want to reduce for each item.
Employee retention strategies
Yes, your POS system can help with employee retention. They’re the critical component of your company’s success, and a high turnover rate is a difficult situation for companies. Effective communication and recognition are two tactics that can help.
POS software can have real-time employee performance monitoring to produce reports to identify top salespeople to recognize and reward and training opportunities.
PRO TIP: Eliminate post-it notes, which can easily get lost, with system memos between employees and managers so your front counter stays clear and the messages are delivered.
Customer relationship management strategies
A customer relationship management strategy provides you with the opportunity to know, collect and analyze your target market. Such a strategy allows you to dialogue with your customers and build their loyalty by meeting their needs in real-time.
PRO TIP: Your POS system should be able to let you know which products your customers enjoy or dislike most and their consumption habits.
Ask an expert
What does POS mean in retail? POS is short for Point-of-Sale. It is essential retail business equipment where the customer executes the payment for what they bought in a store.
How long does it take to receive the data from the advanced reports? POS systems produce reports in real-time. You will need to select what information you want to check and wait a couple of seconds for it to appear on your screen.
What is the difference between POS and EPOS? POS means Point of Sale. It’s like a cash register but with more helpful features. EPOS systems are essentially the electronic format of traditional POS systems. They store information on the cloud. Cloud reporting is a bonus so you can access your reports remotely and provide access to your accountant for your financials. Less work for you. Plus, if the internet goes out, you still can accept payments.
Jeff Maine is the founder and visionary of Pay Proudly. He founded the company not only to serve its customers but also local charities. Every transaction generates a donation to a local charity, and customers can reduce processing fees.