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A point of sale (POS) system is one of the most crucial pieces in your operation puzzle. The importance of POS system in retail goes beyond managing transactions at your checkout counter. Today we’ll look at the 7 reasons why you need a POS system for your retail business.

Optimize the checkout process

A POS system speeds up your checkout process significantly. By having a centralized database of your products, pricing, and customers, you can quickly find the products, assign the order to a customer, and apply discounts with little effort.

If you’re using a barcode scanner, the process is even faster.

Customers never want to wait in queue for long to complete their purchase. With the help of an efficient POS system, you’ll reduce the chance of customers leaving your store without a purchase.

A fast and convenient checkout is one of the many benefits of a POS system. It can be a winning point in your customer’s eyes, keeping them loyal to your brand.

Importance of POS system: Optimize the checkout process

Provide more payment options

Payment technology has changed significantly in the past 5 years and retailers are under great pressure to adapt to these changes, hence the importance of POS systems.

In addition to cash and credit card, customers can request to pay with eWallet, in installments, or they may want to combine different methods to pay for one order. With a flexible POS system, you can offer more payment options for your customers and make sure they complete the purchase with a good impression of your brand.

Importance of POS system: Payment options

Offer discounts that benefit you and your customers

A POS system is important because it gathers all your data on sales, inventory, and customers. With this information, you can calculate and run marketing campaigns that encourage customers to come to your store while maintaining your bottom line.

Depending on your POS capabilities, you can set up flexible promotions based on items, order amount, membership tier, and more. Then the POS can apply these promotions automatically on any sales, saving you the time and effort to calculate everything manually.

Marketing report – discount and markdown

Run loyalty programs

In addition to promotion, running loyalty programs is a guaranteed method to attract new customers and increase repeat purchases. Integrating programs such as membership or gift vouchers into your POS makes sure your customers are rewarded for every purchase without extra work for your staff.

An advanced POS system can go one step further and display loyalty program information to encourage customers to purchase more. For example, your customer can see how many points they have or how much they need to purchase to qualify for free gifts.

The needs for a centralized customer database is one of the reason why many Magento merchants chose Magestore POS.

magento retail pos solution - case study

That’s so important to us to have an omnichannel experience and share customer data across the entire system that a lot of the other solutions didn’t have.

I just believe in this solution and I’m really excited about the future with it. I think that Magento is one of the big players. I really believe in the direction that Magento is going. I really believe in Magestore.

Matthieu, Store Owner of Upper LimitsE-cigarettes | United States

Eliminate human errors

If your staff is manually entering the products and prices, there’s a high risk of error, especially if they have to handle a high number of transactions every hour.

Another benefit of POS is that it ensures you’ll always have the correct product SKU, consistent prices across your system, and correct order amount at any time. All sales order data is recorded into your POS system, making it easier to go back and review the information if necessary.

Importance of POS system: Reduce human errors

Reduce your losses

Intuit Market Research showed that retailers with revenue of $300,000 can cut costs by close to 10 percent or $30,000 a year.

One of the biggest problems many retailers struggle with is inaccurate inventory. These losses can be quite painful to absorb if you can’t get to the bottom of the issue.

Keep good records of your inventory is an effective solution. By knowing how much stock you have in your store and where they are, you reduce the risk of misplaced or stolen inventory and have the ability to take action quickly.

A POS system is also important because it provides you with accurate financial information. You can track how much cash you have in your cash drawer as well as your profit and cost at the end of each day and month. If your POS is integrated with your accounting software, your finance department can access the information for accounting activities with ease.

Manage your employee

Coordinating and managing employees can be tricky if you’re using separate worksheets.

A POS system helps you keep track of who worked each shift. An advanced POS system can even provide you with reports on the sales performance of each staff and calculate the commission rate.

This helps you keep track of each staff’s progress towards their goals and decide how to support or reward them.

Benefits of POS: Manage employees

FAQs

What is a point of sale (POS)?

Point of sale is the place where all the transactions take place within a retail store, between the salesperson and end-user. Depending on the type of retail system utilized by the business, a POS may include both hardware and software to complete transactions, ranging from cash drawer to receipt printers and more.

What is a point of sale terminal?

Point of sale terminal describes the hardware system that processes card payments at retail stores. The latest POS terminals are capable of not just reading the magnetic strips of credit cards, but also handling contactless payment and mobile wallets.

What are the features of POS software?

The most common and prominent features of any POS system include:

  • Sales management
  • Inventory management
  • Employee management
  • Analytics & reporting
  • Loyalty programs and offers
  • Marketing integrations

To sum up

The retail landscape is changing more and more rapidly, and you wouldn’t want to get left behind due to manual and outdated systems. It’s time to understand the importance of POS systems and consider an upgrade to your operations.

If you’re a Magento merchant considering different POS providers, grab a free copy of our Magento POS system comparison chart to save you research time.

Happy selling!

Magestore POS system for Adobe Magento

Optimize your business operations with our complete POS for Magento

  • Sync data between your online stores and physical outlets in real-time

  • Manage all inventory sources, orders, customers in one single system

  • Highly customizable, even with complicated business requirements

Jackie Tran

Author Jackie Tran

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Join the discussion 2 Comments

  • Leon says:

    Hey there, good to read this article. Indeed, The modern POS software helps the retailers to work efficiently along with taking smarter business decisions with quick and easy implementation of the same. Also, the real-time dashboard of the POS system gives access to all the important links of the business unit from a single place with few clicks. This is a clear and understandable post. Very well-written article.

  • Jessica Scott says:

    Your blog is an incredible resource for anyone who wants to start their own business. I’m so glad you shared your knowledge with us, it’s helped me out a lot!

Leave a Reply

Magestore | POS for Magento

Best POS (Point of Sale) System

for Magento

A complete omnichannel POS for Magento retailers
Sell online or in your physical stores seamlessly with real-time data synchronization.

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What is Magento POS

A Magento POS (point of sale) system is software integrated with the Magento platform to synchronize data between your online and offline stores and facilitate retail operations. Magestore POS is a web-based and Magento-native POS which requires at least one Magento website to work.

Who needs Magento POS system

The Magento POS system is developed for retailers with both Magento eCommerce websites and physical stores, and want to use the Magento website as a centralized place to manage all sales data and sell both online and offline.

Some features of Magento POS system

A basic Magento POS can work as a cash register to create orders, add discounts and taxes, print receipts, and manage sales. But a complete Magento POS system can assist you with more advanced tasks, such as inventory control, supplier management, loyalty programs, etc.

45-minute Live Demo

Let us show you how it all works

After you complete the registration form & schedule a meeting with us, we'll contact to ask for your confirmation. This demo session is completely FREE & requires no commitments.

1. Where we'll discuss

We do screen sharing, so the demo will be conducted using Google Meet.

2. What we'll do

Our specialists will guide you through the POS solution and answer any questions you have. All to see if our POS system fits your business requirements.

3. What you'll get

  • A LIVE demo session to see how Magestore POS works
  • A FREE demo site to explore every product feature
  • A FREE consultation with our expert to discuss the best-fit solution for your business.

4. Additional information

  • A demo typically lasts for 45 minutes, but we can adjust the duration based on your needs
  • No preparation required but it's nice to have your requirements clear
  • Additional team members are welcome to join
  • If you want to see how Magestore POS works in reality, you can contact one of our customers and ask for their experience
  • Magestore doesn't do cold-calling, we only contact you on request.

Magestore | POS for Magento

About the Magento platform

1. What is Magento?

Magento is an open-source platform that helps retailers create eCommerce websites, released on March 31, 2008, by Varien and developed on Zend Framework. In 2018, Adobe acquired Magento with a price of $1.68 billion. There are currently about 270,000 eCommerce websites running on Magento in 2022.

2. Why do retailers choose Magento?

Most of our customers say Magento is speedy and more customizable than others; it is suitable for medium and large enterprises or fast-growing businesses with complex requirements/customizations.

Not sure if you're using Magento, check your website here!

3. What to do next?

  • If you are new to Magento or searching for eCommerce platforms, you can explore more about Magento in this article.
  • If you are looking for Magento website development services, please reach our dedicated service team here.
  • If you've already had a Magento website and are searching for a POS system, please close this pop-up and continue exploring.