As business begins to pick up, it can be extremely hard to keep track of the items that your store is selling. Ideally, you may have an inventory control software in place. But, it might not integrate with your point of sale software. Keeping a mental tally of inventory and daily profits is a nightmare, which is why numerous vendors choose to implement point of sales systems.
Even if pencil and paper calculations work for the time being, the idea is to grow your small business, which means increased sales and profits, which demands a more robust tracking method. POS systems for small business are designed to make running a business a lot easier. These systems can help you track transactions, log customer data, and much more.
Take a look at these 5 reasons why small businesses should use a POS system if you still need a little bit of persuasion.
1. Eliminate Human Error
One of the biggest benefits of using a POS system is that they eliminate human error. If you’re manually calculating transactions, taxes, inventory, and other important digital business processes, your numbers are open to human error.
Incorrect calculations can have a domino effect and can greatly impact your bottom line. A 1% margin of error can result in the loss of thousands of dollars.
While you will pay a fee to use a POS system, the benefits far outweigh the cost. By using a POS system, all of the critical number-crunching will be done by the system. In turn, you can have peace of mind that your numbers are correct. This allows you to make better business decisions.
2. Increase Functionality
POS systems use hardware and software to complete transactions, log employee sales, and to manage inventory levels. The systems typically use an electronic cash register along with software that keeps track of sales data.
By using a POS system, your small business can improve its flow and function. These systems add a new level of convenience and flexibility for business owners, employees, and customers alike.
With a modern POS system, your business will be able to process a variety of transaction types, conduct returns, track employee sales, and even produce reports and analytics. POS systems offer EMV chip readers, digital signature pads, electronic receipts, and even hotkeys to make transactions much easier for customers and cashiers.
3. Improve Marketing
Successful marketing all comes down to the data that you’re able to collect from customers. With the right data, you can run more successful and targeted marketing campaigns. But, collecting that data is easier said than done. With a POS system, you can collect a wide range of customer data that can then be used for marketing purposes.
For example, a POS system is able to log:
- Customer name
- Email address
- Physical address
- Date of birth
The system can also keep track of shopping behaviors and a customer’s most commonly purchased products so that you can run tailored campaigns according to the latest digital marketing trends.
4. Product Tracking
Keeping track of every item in your inventory is a nightmare, especially if it’s done manually. Manual inventorying introduces the risk of loss. A modern POS system is able to track and evaluate a product’s lifecycle. Using the system you can see when an item was purchased from a supplier, where it was placed in inventory, and when it was sold to a customer.
With product tracking data you can pinpoint any losses and figure out any flaws in your product lifecycle process. By plugging holes and making the process more efficient, you can minimize losses and know exactly where each item is in the product life cycle.
5. Conduct Sales from Multiple Locations
Not only can a POS system be used at a brick and mortar store, but these systems are also designed for mobile use as well. With a mobile POS system, you can sell products and conduct business from anywhere. This is beneficial if your company opens another location or if you host a pop-up shop.
A mobile POS system allows you to expand the reach of your small business by being able to sell products to consumers from a variety of locations. These systems are highly streamlined and very easy to use. In fact, some systems allow you to turn your smartphone or tablet into a transaction device. This allows your business to make sales at craft shows, fairs, and other venues.
Mobile POS systems are also beneficial in a single brick and mortar store. With POS-enabled tablets, employees can walk around the store, allowing customers to check out without having to head to a traditional sales register. This increases customer convenience and allows employees to get to know consumers at a personal level.
Small businesses are most likely to succeed when they keep business expenses as low as possible. But, there are some business expenses that carry their worth in gold. Minimize the risk of human error and make your business more efficient by investing in a modern POS system. These 5 benefits just scratch the surface as to what a POS system can do for your business.