Modern POS Systems: A Catalyst for Small Business Growth

Small businesses have it tough. It’s said that around 45% are doomed to fail within the first five years. For the people in charge of startups and small businesses, it often feels like there aren’t enough hours in the day to deliver across all goals. So, how do you make up the time?

Modern POS systems streamline your operations and help your business become more efficient. They automate many business processes so that the owners can put more time into the areas that matter.

You may be unsure whether a modern POS system is worthwhile or even necessary for your small business. If you have ambitions to grow, investing in POS early on in your journey will save you time further down the line.

With that in mind, here are five areas of your small business that can be enhanced by POS.

Reporting

The monotony of admin can be a major pain point for many small business owners. Ultimately, you want to be working on your passion project, not filing reports.

With modern POS systems, you’ll no longer have to concern yourself with manual reporting. POS software automatically gathers comprehensive and accurate reports on all areas of your business.

These reports could be related to sales, staff performance, or orders from suppliers. Once your POS system is up and running, it can process all this information and move it to one central database. From here, you can access all your reports together and draw insights from them.

Not only does this save you from completing admin yourself, but it also provides you with an easily accessible resource for business evaluation.

Inventory Management

Like business reports, stock takes are another area of business admin that is time-consuming and tedious. Fortunately, POS systems take complete control of inventory management.

Whenever a sale is processed or a new shipment arrives, POS software updates stock numbers accordingly. At any given time, you will be able to view precise levels of stock at that exact moment.

This gives you a greater level of accuracy when responding to customer enquiries and also allows you to make new orders only when you need them. Many POS systems can place orders on your behalf once stock reaches a predetermined level.

Payment

No matter how big or small the business is, customers expect a stress-free transaction process when they shop. In today’s world, traditional POS hardware, such as cash registers, is quickly becoming outdated.

The latest POS technology provides modern payment solutions that leverage convenience for the customer. This is key if you want to retain their loyalty.

Firstly, new POS hardware with barcode scanners reduces checkout times. Staff will no longer have to manually key in product numbers and quantities. This makes for a swifter transaction process and also helps to reduce human error.

Once all the items are through the till, POS systems can process a wide variety of payment methods. Contactless payment and mobile wallets are the new norm, so it’s important that your small business can cater to them.

If your POS hardware is unable to accept digital payment, this is a sign that you should upgrade your POS system.

Business Strategy

The reports generated by POS systems are filled with valuable data. Specifically, sales reports can be analysed to plan ahead and encourage growth.

Firstly, they enable you to see what’s working well in your small business. Information on the most popular products, high-profit items, and seasonal best-sellers can help you refine your product strategy moving forward

Equally, sales reports underline the unsuccessful areas of your business. By being alert to unprofitable products, you can phase these out of your product strategy and minimize losses.

Customer Retention

As a small business, it’s not uncommon to have a handful of key customers driving your sales. Whether these are personal friends or strangers who have connected with your brand, it’s important to reward repeat buyers.

Modern POS systems can help with your Customer Relationship Management (CRM). Reports are gathered on individual customers every time they make a purchase. These can be used to identify key consumers. You can then reward them with ‘VIP’ discounts to boost loyalty.

Additionally, POS software allows you to personalise your promotions. Customer reports highlight each individual’s product preferences, and these insights can be used to send tailored coupons as part of your marketing strategy.

Get in touch today for free quotes on the latest POS systems!