Hardware Considerations

And while the software half of the POS system equation is probably most important, especially in a cloud-based solution, many retail businesses will still require a hardware half. In that vein, one of the most popular trends in today's POS systems is mobility. This refers to the ability to move POS functionality out from behind the cash register station and into the hands of roving employees for faster, more customer-centric business transactions. This trend adds new areas of importance to even the usual POS system setup, including an added focus on wireless connectivity, security, and support for tablet or even smartphone endpoints. Most modern POS systems run on generally available tablets such as an Apple iPad( at Amazon) or a Microsoft Surface Pro. Many also offer dedicated hardware systems and add-ons, such as card swipers, receipt printers, cash drawers, and barcode scanners.

The advantage of tablet-based systems is in their mobility. You can process payments on your store's floor (especially useful for cutting down lines at the register during busy seasons), at an expo, or at an outdoor pop-up shop. Systems such as Square Point of Sale are known for offering small dongles that connect to a tablet and let you swipe credit cards on the go. While you may not immediately need this type of mobility, it is good to know that it's available.

Another advantage is the amount of information that you can supply customers. A desktop POS device can sometimes be flipped so that the customer can sign on the screen or enter contact information. In addition, some states (such as California) now require some kind of customer-facing screen be available so customers can view sales information as a sale is rung up.

Back-Office Functionality

Today's robust POS systems are more than just about taking payments. They can effectively track your inventory, customers, and employees. A good POS system needs to be able to track what has been sold and how many items remain. When the items are sold out, a POS system can notify you ahead of time so you can restock. Businesses can expect their POS system to be able to subgroup items; for example, it should tell you if you're out of blue birdcages but still have three red birdcages. You should be able to print out barcodes for any items that don't already have Universal Product Codes (UPCs) so that you can scan them during a sale.

The ability to provide analytics is another key feature some POS systems offer. Analytics enables businesses to see what products sell when and to whom. If it is possible to predict that twice as many red coffee cups are sold in November than in April, then you'll know how many to order. If your sales of low-cost candy goes radically up every weekday when the local kids get out of school, then you might want to hire an extra salesperson in the afternoons to help handle things

Employee tracking is also useful. Your POS system should be able to clock your employees in and out, and offer different levels of security depending on a employees' status. This way, a cashier, for example, won't have access to the same back-office functions that a manager has.

Finally, it is useful for a POS system to collect customer information that can be utilized for loyalty programs and other promotional strategies. Some systems offer functionality which is close to that offered by CMS packages; for example, sending emails to customers to thank them for sales, advertise bargains or offer coupons, and offer other loyalty perks.

Something to be aware of: Make sure your POS system can function offline. Networks can go down at the most inconvenient moments, especially if you are selling at an in-person event. You'll want to be able to keep selling even though your POS system may be temporarily out of contact with your back office.

And if you want to do business online as well as in person, some POS systems offer the ability to create an online store that will pull from the same inventory database as your brick-and-mortar store. In fact, an online presence has become so necessary that some systems, such as Shopify POS and Vend POS, include it as part of their package. If you're starting a small retail business, then it could be an important feature to consider.

While all this data is certainly valuable, consolidating it to a central location, especially if you've got multiple retail locations, can get not only complicated, but also risks lots of personal data on the open Internet. To help, consider storing the data with a secure, business-grade cloud storageprovider, and making sure that all sessions between the POS system and any remote destination are secured by a virtual private network (VPN).

Processing Payments

Keep in mind that, if you are going to be accepting credit and debit cards (and most businesses must), you're going to need a service that can process those payments. That service is also going to cost you a percentage of your take. A few services, such as Square Point of Sale, offer POS services for free, as long as you process your payments through them. Others, such as Intuit QuickBooks Point of Sale and Shopify POS, charge a monthly subscription rate for use of the software and an additional fee for processing payments. Still others, such as NCR Silver and Vend POS, do not provide processing services themselves but work with a number of third parties. Others that do provide their own processing services will also work with third-party processors. Of the products we cover here in this POS system review roundup, only NCR Silver charges a single, one-time price for its software.

As a result, you will need to think about your needs and how they relate to the POS system that you choose. If you are already using a payment-processing service and want to stick with it, then you will want to look at POS systems which work with that system (usually called "integrated processing" since the outside company's payments are integrated into the POS). However, if you are starting from scratch, then a POS system that offers an all-in-one service can be very convenient. If something goes wrong, then you'll know who to call.

Product Support

POS systems are built to be as simple to operate as possible and most of them are. But things can always go wrong, especially when you're dealing with back-office functions such as inventory or personnel management. Therefore, it's always a good idea to have a good support system in place. Most POS system vendors offer a wide range of support, starting with articles, videos, and tutorials on how to use their products. Most also provide setup assistance, either as part of the package or for an extra fee.

If you operate a business that has weekend or late hours, then you will probably want to look for a POS system supplier that offers 24/7 support services as you don't want to find yourself without help during a busy Sunday sale.

To help evaluate each POS system, in each review we've included a SmartScore and Customer Satisfaction Rating from a website called FinancesOnline, which evaluates financial solutions. According to the FinancesOnline website, it calculates its SmartScores based on a POS system's main functionalities and features as well as its "collaboration features, customization, integration with other apps, customer support, and mobility. All these factors are taken into account when calculating the final score (on a 1 to 10 scale)." FinancesOnline draws its customer satisfaction ratings from its proprietary Customer Satisfaction Algorithm that "gathers user reviews, comments, and opinions across a wide range of social media and calculates a satisfaction rating based on what people think about the product."

Attract More Sales

In the end, a good POS system enables you to easily make sales, track sales, and enhance your ability to attract more customers, which depends on your special needs. Once you have selected the system that seem to suit your type and size of business, talk to its representatives. Then try it out and make sure that it offers all of the features that won't only fit your company now but also in the coming years.