Understanding POS System Basics
Point of Sale or POS is known in other terms as check-out or as cash wrap and this is mostly the location of a store or a restaurant with where transactions on the exchange goods and services happen. A POS mostly refers on the physical electronic hardware and peripherals that are being utilized for conducting transactions. This hardware would include a cash register, a mobile smart device and a dedicated computer. A Value Added Reseller (VAR) usually interchangeably utilize POS if they discuss on the hardware and also on the checkout location. The credit card industry will also add on the confusion. Merchant service providers to which have credit card transactions and ISO’s or Independent Sales Organizations mostly refers with the standalone credit card terminals as POS. A POS will only be the peripheral that will read the credit card, sending transaction data between the credit card processor and the store and is able to issue a receipt once it will be approved.
The very first POS hardware was actually a mechanical cash register that have been invented by a saloon owner named James Ritty in 1879. The main reason of it is in keeping employees and clients honest. It can be hard to find a mechanical cash register nowadays because most POS systems are actually now electronic, which means that it now uses a computer system or a cash register system. There are cases sometimes to where an electronic POS is called as ePOS. Electronic cash registers will help to streamline some end of day calculations which shop owners need to do daily. These are only used at shops who have not been automated, requires a backup system or does not have a lot of transactions daily.
The POS system actually is a hardware that is combined with a POS software and also with peripheral devices. Such hardware is going to help a store clerk or an associate in managing the sales process. In a basic level, a POS software will manage the transaction calculations.
You could actually get different advantages through a Web-Based Point of Sale (POS) System. These would be where you will get real-time POS solutions, compatible to most computers today with an internet connection, is customizable to help suit the needs of your business, will cost less from a traditional POS system and that the software is hosted to a secure server and in different data centers.
Whatever the kind of system you plan on buying, it’s best to make sure that you effectively do research on the options carefully before you consider buying any type of POS system. See to it that you assess your business needs, objectives and budget. Through this, you are actually going to benefit your business through saving time and money and increase the productivity of your business.