Point of Sale or POS refers to a financial transaction wherein the customer receives the products or services and then pays for them at the counter. In place of the traditional cash register, most retail applications are now using Point of Sale systems. Apart from recording transactions, the system is also useful for tracking inventory, printing informative invoices and receipts, as well as handling credit/debit card payments.
How it works
POS systems computerize retail transactions, thus reducing the time your customers and employees spend on processing a purchase. Typically, a shopper takes her purchased items to the register. With a handheld scanner, the cashier determines the price information from the tag of each item. The system then totals the amounts automatically, deducting appropriate discounts and then applying the applicable sales tax in the process. The transaction record goes into the inventory control system while the customer information is stored in the marketing database.
Sales and inventory
As it records each sale, a point of sale system allows the merchant to match their sales with their inventory in real time. In the event your sales and inventory figures don’t match, your point-of-sale system will bring these discrepancies to your attention. By tracking the issue, you can also determine the reason for the inventory shortage. This can help you prevent fraudulent activities within your company.
With a point of sale system, you can adjust your prices easily. Instead of getting your employees change prices manually using an old fashioned price gun, you can simply enter the adjusted price for the items. The updated price is then registered in the entire system.
Using point of sale systems can have minor setbacks, though. For one, you need to update your POS with newer versions regularly. Constant updates mean additional costs. Apart from the complications and costs that come with upgrading to newer software, you may need to put money in hardware updates as well.
POS components usually include workstations with screens, keyboards and bar-code scanners. They also feature check readers, cash drawers, receipt printers, and remote data scanning devices. When one of these components fails, the entire system may stop working properly. If this happens, contact a reliable depot repair service provider to fix the issue. Don’t attempt to troubleshoot the system to avoid further problems. Let a professional depot service handle everything and you’ll soon have your POS system up and running again in no time.